Tesco blames bad weather for sales

January 13th, 2011 - 9:50 pm ICT by Aishwarya Bhatt  

London, Jan 13 (THAINDIAN NEWS) Sales figures of UK retail giant Tesco is out. The figures revealed that the company had very weak sales in UK last month.

The company believes that the heavy snow that did hit the United Kingdom and parts of Europe during the Christmas was responsible for the weakened Christmas sales. The company reports that when figures are compared, its forecasted rise of 1.7% sale from the third quarter failed. The company only managed a rise of 0.6 percent in sales for December.

The company’s main rivals, Sainsbury’s and Morrisons each recorded an encouraging 3.6% and 1% growth in sales respectively over the same period. However the Finance Director of Tesco, Laurie McIlwee believed that the other companies were not hit as much as Tesco was hit by the snow because they have fewer stores outside of the main towns where the snow did cut all access.

The company though was not that hit when it comes to Internet sales. Tesco Direct where the online sale of Tesco takes place reported 18 percent in growth. Both food and non-food sales were up and each were up more than a double digit percentage.

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