Tesco Hunts Sales In Premium Brand Relaunch
Supermarket giant Tesco has relaunched its premium food brand for the first time in 15 years, as it tries to stem a slump in profit.
The new lines have been released just days after it revealed a 23.5% pre-tax profit plunge in its half-year result.
Britain's biggest retailer said the update to its 'Tesco finest' food lines will include 400 new products, with 75% of the 1,500 product range being either new or improved.
But more than 200 products in the food brand, which was launched 15 years ago, will remain unchanged.
Sales of the brand bring Tesco revenue of £1.4bn a year.
The company said: "And with today's relaunch, Tesco is committing to lead the premium food market on quality and taste, reflecting how customers' tastes have changed in the past 15 years."
The range was first launched in 1998 at select stores, with a focus on ready-made meals.
Tesco is expected to launch an advertising blitz to promote the range in mid-October.
The supermarket group has also changed strategy for its international businesses in recent months.
It sought a buyer for its Fresh & Easy chain in the United States and last week confirmed a £300m joint venture deal in China.
Tesco suffered a 71% tumble in European H1 trading profits to £55m and admitted the hit was worse than expected after conditions suffered in countries such as Ireland, Turkey and Poland.
Profits also fell sharply across Asia, down 12.4% to £314m, excluding China.
Tesco said the overseas woes would offset some of the benefit of its UK profits' improvement over the full year.
Chief executive Philip Clarke has spent £1bn overhauling the firm's stores to halt the decline in UK sales.