Tesco announced yesterday that its UK CEO Jason Tarry will step down in March next year after more than 33 years at the retailer.
He will be replaced by Matthew Barnes, who was previously Aldi’s UK & Ireland CEO for three years before being promoted in 2018 to co-head of Aldi Sud’s Executive Board, where he had responsibility for many of the discounter’s international businesses and its global sourcing, buying & supply chain.
Tarry has spent the last five years leading Tesco’s UK division. He joined the business in 1990 on its graduate recruitment programme, working his way up to become the right-hand man of renowned former boss Dave Lewis and playing a key role in Tesco’s turnaround following the accounting scandal in 2014. In comments yesterday, Tarry noted that the decision to leave Tesco was not made easily, but he felt it was the right time to move on.
“Jason has made an immense contribution to our business,” said Tesco’s Group Chief Executive Ken Murphy. “Under his leadership, Tesco today is the most competitive we have ever been.”
Barnes is widely credited with helping transform the discounter format in the UK, enabling Aldi to shake up the grocery sector and gain a significant share of the market. He had previously been tipped as a potential successor to David Potts at Morrisons.
Commenting on the appointment, Murphy said: “I believe the combination of Matthew’s extensive retail experience, competitive spirit and challenger mindset will help us continue to win in the UK market and evolve our thinking about what customers will want from Tesco in the future.”
Barnes, who resigned from Aldi earlier this year, said: “I come to this role with a real sense of determination to ensure that we build on the progress of the last number of years and deliver for our customers and colleagues.”
Earlier this month, Tesco raised its annual profit forecast and said it was upbeat about its prospects for the Christmas trading period.
NAM Implications:
- Tesco’s gain: ‘the combination of Matthew’s extensive retail experience, competitive spirit and challenger mindset’
- (Along with a bit of direct experience of the discounter model…)
- The key issue will be the extent to which Tesco can or will be willing to tailor Aldi principles to the Tesco model.
- But suppliers should anticipate some changes…
