Tesco Slaps New Charges on Suppliers – Sparks Outrage
Tesco has hit suppliers with a new “fulfilment fee” warning they’ll face penalties if they refuse. Sources say the fee could be as high as 12p per branded item and 5p on own-label goods – no matter the price.
Experts Slam Tesco’s ‘Outrageous’ Move
Retail insiders have branded the charge “outrageous,” pointing out that no other major supermarket uses this sneaky business model. Tesco defends the fee, saying it’s needed to “shoulder the costs” of booming online shopping. The supermarket boasts it now handles more than one million online orders per week and supports thousands of retailers and caterers.
Small Biz Exempt – But Big Suppliers on the Hook
Firms making less than £250,000 a year get a free pass. However, online sales via Tesco’s wholesale arm, Booker, won’t dodge the fee.
Suppliers refusing to sign up risk range reviews and new pricing plans – a threat Tesco made clear in an email.
Suppliers Furious as Tesco Tightens the Screws
Retail consultant Ged Futter warns this comes at the worst time. He says Tesco’s stiff refusal to accept supplier price hikes means empty shelves soon. On Thursday alone, Mr Futter took 15 calls from angry suppliers, all vowing to reject the fee.
“Tesco has chosen the wrong time to do this,” said Mr Futter. “I’m hearing from suppliers who will stand their ground and refuse to pay.”
