Tesco in the UK has a lot more competition which will drive down prices and profit margins. Sainsbury’s, Asda and Morrisons limit the prices Tesco can offer if they don’t want to lose market share, much more so than SuperValu and Dunnes.
Also if they’re launching a product in the British market it will likely have much more economies of scale than doing something similar just for the Irish market.
Aldi and Lidl are in both markets with Tesco and will help drive down prices to an extent, but Tesco Ireland doesn’t also have Asda/Morrisons/Sainsburys pushing prices down.
You aren't a billion euro company. They consistently make billions while undermining their competition, this is how the oligarchs have taken over everything.
Competition is healthy, 3/4 huge monoliths controlling any sector is not competition.
A lot of UK retailers don't think of Ireland as "treasure Island" but rather as an often very difficult and expensive place to do business if we're being realistic.
Higher wages, energy costs, rates, general regulatory issues, liability, insurance.
Friend of mine worked high up in Harvey Norman not too long ago, it's apparently used there about us all the time. A big part why is because nobody feels the need to compete with the others, as we will just continue to buy buy buy without a moments thought.
I've been living abroad for a few years. When I go home I grab teabags, biscuits etc. I'm absolutely disgusted with tesco. The club card doesn't give you a discount. It just brings it to the normal price I'd find it in a different supermarket. It's not that you get better prices with the card, you just get fucked over without it.
You need the vouchers to make dunnes worthwhile.
Always a pain managing those.
Dunnes used to have decent quality in their own brand stuff but now it's mostly the same.
Honestly feels like they've all got similar quality in their own brands at similar prices.
Dunnes can probably work out cheaper if you get a 5 off 25 and spend exactly 25 so you're getting 20% off.
They are definitely more expensive generally but 20% off brings them below.
Last time I spent 40 so it is 12% off. And then I didn't have a voucher as the 5s expire quick.
I reckon they know they can overprice by 10-15% on average as people won't work out vouchers exactly.
State of you. You don't even have anyone to disagree with yet but you're pre-emptively calling them bootlickers. Online discourse is trash, but you're actively making it worse.
I mean they're a private business selling groceries available for any vendor to sell it's hardly some nefarious monopoly here. If they're making egregious profits selling things at insane markups anyone else would be free to sell Frosties cheaper and take the business away from them.
What a really bad take - Supermarkets operate in an oligopolistic market with massive economies of scale, so not "anyone" could come along and sell cheaper
The most common element of an oligopoly is that the high startup costs prevent new competitors from entering the market so that the few competitors that do exist in that market can indeed price gouge
It’s a thing people do here, they post what they think is the populist opinion, pop in a little anger or aggression for good measure and hope they get upvotes
As I sit here in the cold because I can't afford to put the heating on for my family. I am warmed with pride for all of the shareholder value I have been adding with my purchases. Truly a great day.
Why are you sitting in the cold typing on reddit, instead of going out and working (or working a second job) to make enough money to put the heating on?
Their staff, a huge amount in Ireland, are part of their share holders and employees have a good share scheme. This feeds into staff bonuses and their share holdings.
Share holders aren't stereotypes of fat men behind mahogany desks smoking cigars.
They're selling absolute muck and charging an arm and leg for it since Brexit. I've no idea why people continue to go there. Dunne's has a much much better selection.
Well I don’t know about others but my reason is, my local Dunnes has shite parking and the aisles are always full of stock cages for the lack of staff to stock the shelves and it costs a bit extra for the same stuff
The nearest Dunnes to me is 15 min walk away and it's a quarter of the size of the Tesco that's a 5 min walk from me. Sadly, also work in the Tesco so the staff discount plus it's just easier to get shit as I'm finishing work.
Judging by their Tesco Express Store on Talbot Street in Dublin, none of that profit is being spent on stores or competent staff.
Useless self checkout machines that don't scan items the first five attempts. Products not recognised. Meal Deal items not recognised as Meal Deal discount items. Staff not knowing how to deal with the above. Dirty counters/machines. Deposit Return machines out of order for a week.
I think Tesco is considered a relatively solid investment. It's number 1 in the UK by a large margin and beat off the competition relatively solid. Lots of macro conditions that likely impact Tesco.
Tax declaration may mean they are one unit. Maybe. 3 billion profit. Thats alot. Mind how much turn over is that profit from. 30 billion sales i think. Thats 10 percent profit. Which is on the high size. 5 percent been average.
£4.5 billion with a clubcard,
Still aren't giving a breakdown of Irish profits separately to the UK..
I wonder why, seeing as prices here are significantly higher for many products..
3 billion is the Irish part of that, the rest is UK.
They do. It's been proven to be lower single digit percentages.
Ok. Link?
https://www.irishtimes.com/business/2025/10/25/tescos-irish-operation-made-a-profit-last-year-of-184m/
Ok.....
Ok. Around 30% higher profit margin in Ireland, if my maths are right.
(2024, Uk 4.1% vs Ireland 5.4%)
Tesco in the UK has a lot more competition which will drive down prices and profit margins. Sainsbury’s, Asda and Morrisons limit the prices Tesco can offer if they don’t want to lose market share, much more so than SuperValu and Dunnes.
Also if they’re launching a product in the British market it will likely have much more economies of scale than doing something similar just for the Irish market.
I would have thought we have more competition these days with the proliferation of Aldis and Lidls but I guess not.
Aldi and Lidl are in both markets with Tesco and will help drive down prices to an extent, but Tesco Ireland doesn’t also have Asda/Morrisons/Sainsburys pushing prices down.
It says the 5.4% is due to some property shenanigans and the actual is 5.1%
While it's higher than the UK, 5% margins is still very small in my opinion.
You aren't a billion euro company. They consistently make billions while undermining their competition, this is how the oligarchs have taken over everything.
Competition is healthy, 3/4 huge monoliths controlling any sector is not competition.
So should they make exactly the same? Less, more?
[deleted]
https://www.irishtimes.com/business/2025/10/25/tescos-irish-operation-made-a-profit-last-year-of-184m/
Put some effort in.
So are costs
Fair
A lot of UK retailers don't think of Ireland as "treasure Island" but rather as an often very difficult and expensive place to do business if we're being realistic.
Higher wages, energy costs, rates, general regulatory issues, liability, insurance.
Around 30% higher profit margin in Ireland, if my maths are right.
(2024, Uk 4.1% vs Ireland 5.4%)
https://www.irishtimes.com/business/2025/10/25/tescos-irish-operation-made-a-profit-last-year-of-184m/
https://www.tescoplc.com/preliminary-results-202425/
One is Ireland alone and one is the whole group so it's not UK only
The Ireland trading profit is really 5.1% aswell
Friend of mine worked high up in Harvey Norman not too long ago, it's apparently used there about us all the time. A big part why is because nobody feels the need to compete with the others, as we will just continue to buy buy buy without a moments thought.
But we have to buy buy buy now as the Harvey Norman sale is Now On
They always advertise they price match so obviously do feel the need to compete.
Wait till it comes out they were always working together and the price matching was actually price fixing.
Fuck them. Hit Adverts and DoneDeal.
Ah they have released independent figures for the last few years now
Prices are higher here due to costs/taxes/import charges etc we are an island
I've been living abroad for a few years. When I go home I grab teabags, biscuits etc. I'm absolutely disgusted with tesco. The club card doesn't give you a discount. It just brings it to the normal price I'd find it in a different supermarket. It's not that you get better prices with the card, you just get fucked over without it.
Now I go to supervalu and dunnes.
The clubcard is basically a 'use me or we'll price gouge you' gimmick. How much do they make off tourists/visitors that don't have a clubcard?
You need the vouchers to make dunnes worthwhile. Always a pain managing those.
Dunnes used to have decent quality in their own brand stuff but now it's mostly the same.
Honestly feels like they've all got similar quality in their own brands at similar prices.
Dunnes can probably work out cheaper if you get a 5 off 25 and spend exactly 25 so you're getting 20% off. They are definitely more expensive generally but 20% off brings them below. Last time I spent 40 so it is 12% off. And then I didn't have a voucher as the 5s expire quick.
I reckon they know they can overprice by 10-15% on average as people won't work out vouchers exactly.
In before the bootlickers start talking about how small the margins are and uhm actually poor Tesco are only scraping by...
Also people who don't understand the difference between "not a charity" and "can do whatever they want with no criticism"
Poor Tesco, only billions in profit.
Meanwhile for every store that opens a handful of small independent shops close..
https://www.lowimpact.org/posts/supermarkets-destroy-jobs-and-local-resilience/
State of you. You don't even have anyone to disagree with yet but you're pre-emptively calling them bootlickers. Online discourse is trash, but you're actively making it worse.
Don't worry, there are plenty of people here dying to jump to the defense of poor little Tesco
I mean they're a private business selling groceries available for any vendor to sell it's hardly some nefarious monopoly here. If they're making egregious profits selling things at insane markups anyone else would be free to sell Frosties cheaper and take the business away from them.
What a really bad take - Supermarkets operate in an oligopolistic market with massive economies of scale, so not "anyone" could come along and sell cheaper
Ah yes Schrodingers supermarket. Simultaneously price gouging to extreme levels and yet also so cheap nobody else can ever manage to compete.
The most common element of an oligopoly is that the high startup costs prevent new competitors from entering the market so that the few competitors that do exist in that market can indeed price gouge
It’s a thing people do here, they post what they think is the populist opinion, pop in a little anger or aggression for good measure and hope they get upvotes
It’s only £1m per store. Call me a bootlicker all you want but it’s not that much.
Treasure Ireland they call us
Reddit with the misinformation over and over.
Like reading my grandmother's Facebook these days.
I think that was proven to be a myth.
So what is the correct story?
Fair enough
I used to work there, it's such a shitty company
That's your inflation right there.
Every little helps ...them
As I sit here in the cold because I can't afford to put the heating on for my family. I am warmed with pride for all of the shareholder value I have been adding with my purchases. Truly a great day.
Why are you sitting in the cold typing on reddit, instead of going out and working (or working a second job) to make enough money to put the heating on?
Their staff, a huge amount in Ireland, are part of their share holders and employees have a good share scheme. This feeds into staff bonuses and their share holdings. Share holders aren't stereotypes of fat men behind mahogany desks smoking cigars.
Why not improve your situation instead of hoping it’ll worsen for others
They're selling absolute muck and charging an arm and leg for it since Brexit. I've no idea why people continue to go there. Dunne's has a much much better selection.
I find Dunnes to be pricier
You're obviously not familiar with my local Dunnes or Tesco.
Doom Stores
.
U must live in Collig
Dunnes HISTORICALLY has shittiest carparking in every county.
Lol, they sell the same stuff as every other supermarket.
Well I don’t know about others but my reason is, my local Dunnes has shite parking and the aisles are always full of stock cages for the lack of staff to stock the shelves and it costs a bit extra for the same stuff
My local Dunnes has a small grocery section and I wouldn't be able to find what I want there.
On the other hand, there's a Tesco Superstore in town with a large selection of groceries.
So yeah.
The nearest Dunnes to me is 15 min walk away and it's a quarter of the size of the Tesco that's a 5 min walk from me. Sadly, also work in the Tesco so the staff discount plus it's just easier to get shit as I'm finishing work.
About £1m per store. I dont think that’s unreasonable.
Peedy Grigs
Absolute state of tesco. The one in stillorgan is the absolute pits
Judging by their Tesco Express Store on Talbot Street in Dublin, none of that profit is being spent on stores or competent staff.
Useless self checkout machines that don't scan items the first five attempts. Products not recognised. Meal Deal items not recognised as Meal Deal discount items. Staff not knowing how to deal with the above. Dirty counters/machines. Deposit Return machines out of order for a week.
But they're definitely NOT price gouging...
Mate if you think a 5 % profit margin is gouging, wait til you hear what some industries make
Big profit but on big sales total. Operating margin of only 4.5% which is tiny as the groceries market is very price sensitive.
But hey profits are bad!!
Price sensitive? Can you tell that to the supermarket chains. Prices have risen by up to 30% in the last few years.
You think supermarkets haven't had cost increases on their side too and it's all one way increase?
They should be doing it for free apparently
Anyone can chime in if you don't just want to downvote
Cost of living crisis
This is a vile company. What are people doing?
Getting downvoted by Tesco simps, that's a new one. Enjoy your Great British Beef
So better to buy from Mrs Heffernan at Dunnes?
Avoid shopping there. I go to that shop that isn't absolutely fucking over their customers.
Where’s that
It's shares are down more than 6% from what I can see, so it can't be all good news! Hard to see why.
I think Tesco is considered a relatively solid investment. It's number 1 in the UK by a large margin and beat off the competition relatively solid. Lots of macro conditions that likely impact Tesco.
Tax declaration may mean they are one unit. Maybe. 3 billion profit. Thats alot. Mind how much turn over is that profit from. 30 billion sales i think. Thats 10 percent profit. Which is on the high size. 5 percent been average.
Uk alone is over 60 billion turnover so less than 5%