Tesco to charge £2 on Click & Collect Orders below £30

You might have noticed this already. But supermarket Tesco is now charging a £2 surcharge for any Tesco Direct Click and Collect order under £30. The new fees came into force on the 2nd February.

As Tesco said: “To ensure our Click & Collect service remains sustainable for the future, from 2 February we will be introducing a £2 surcharge on all Tesco Direct Click & Collect orders under £30. We want to provide customers with a great online experience and continue to offer customers the convenience of our Click & Collect service at every Tesco store across the UK.”

It’s a move that’s of interest for several reasons. Obviously, John Lewis introduced similar charges back in 2015 and we also know that Tesco has had bother in recent months with profitability. They’re scaling back 24hr opening for starters.

But it does also demonstrate that Click and Collect in itself doesn’t necessarily drag in the additional footfall that Tesco stores perhaps hoped it would. And such a charge is perhaps an incentive to customers to increase their minimum basket values.

Equally it highlights the cost of carriage. If even Tesco is charging £2 for delivery to stores on sun £30 baskets, then there is a question if other carrier charges are still too cheap and losing money.