Tesco is set to revolutionize the shopping experience by introducing digital shelf labels across thousands of its UK stores, marking the end of an era for traditional paper price tags. The supermarket giant has announced plans to roll out electronic shelf labels (ESLs) throughout its network over the next two years, replacing the familiar paper tags that shoppers have relied on for decades.
Initial Rollout and Expansion
The initiative will begin with four pilot stores—one Tesco Express and three larger supermarkets—before expanding to approximately 3,000 locations nationwide. The digital labels will display prices electronically and can be updated instantly from Tesco's central systems, ensuring customers always see the most current prices while shopping.
This change means staff will no longer need to manually replace large volumes of paper shelf-edge labels, freeing them up to focus on customer service. Tesco says the technology is designed to improve pricing accuracy and increase store efficiency.
Partnership with Hanshow
Tesco is partnering with Chinese tech firm Hanshow for the rollout, following successful trials at its Royston and St Neots branches. Announcing the partnership on LinkedIn, Hanshow described the rollout as "a new milestone in digital store transformation."
The company stated: "Hanshow is proud to partner with Tesco on the rollout of electronic shelf labels across its large-format and convenience store network in the UK. By replacing paper labels with connected digital infrastructure, the project will help simplify daily store operations for associates, enable them to spend more time serving customers, and support Tesco's sustainability ambitions."
Industry-Wide Trend
Electronic shelf labels have become increasingly common across the supermarket sector as retailers look to modernize their outlets and reduce paper waste. Morrisons became the first UK supermarket to trial the technology last year, while Lidl, Co-op, Waitrose, Asda, and Sainsbury's have also introduced digital pricing systems in their branches.
The labels work by receiving remote updates, allowing price changes to be implemented instantly across the shop floor. As well as helping shoppers keep track of the latest prices, the system is expected to reduce the risk of inconsistencies between shelf-edge labels and checkout prices.
Sustainability and Efficiency
Tesco has stated that the rollout will further bolster its sustainability goals by significantly cutting paper usage across its stores. Kevin Tindall, Tesco's UK managing director of operations, said the technology would help bring its stores into the 21st century while allowing staff to dedicate more time to assisting customers.
The move forms part of a wider shift sweeping through the retail industry, as supermarkets invest heavily in digital technology to modernize their operations and improve the shopping experience. If the scheme proceeds as planned, Tesco's electronic shelf labels will be installed in around 3,000 stores across the UK over the next two years.
