Tesco Direct to cease trading in July

Tesco has called time on its attempt to out Amazon Amazon. It is closing its loss-making clothing and homewares website Tesco Direct, putting 500 jobs at risk. The venture has faced a number of significant challenges, including high costs for fulfilment and online marketing, which have prevented it from delivering a sustainable offer as a standalone non-food business, the retailer says.

“This decision has been a very difficult one to make, but it is an essential step towards establishing a more sustainable non-food offer and growing our business for the future,” says Charles Wilson, Tesco CEO, UK & ROI. “We want to offer our customers the ability to buy groceries and non-food products in one place and that’s why we are focusing our investment into one online platform.”

The site will cease trading on 9th July, with the closure of the Milton Keynes distribution centre which handles Tesco Direct orders.

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