Tesco

New Tesco subsidiary Transcend Retail Solutions – which provides store-pick online fulfilment solutions – has signed its first deal, with New Zealand retailer Foodstuffs North Island.

According to The Sunday Times, the deal will see Foodstuffs roll out Tesco’s cloud-based picking software. The software takes online orders and maps the most efficient route for pickers to take around stores, via handheld devices.

Transcend Retail Solutions was quietly established by Tesco in 2023. The supermarket’s director of strategy and transformation Oliver Vogt was revealed as its CEO this month. Transcend’s chief customer officer is Keith Chapman, Tesco’s head of consulting.

“Our solutions are tried and tested,” Vogt told The Sunday Times. “We set up Transcend because we truly believe we have something to offer the market.”

The technology is reportedly live in two Foodstuffs stores, operating under the Pak’nSave and New World brands, with plans to extend the rollout across 150 locations. Transcend is also expected to deploy micro fulfilment centres inside partner grocery stores.

The subsidiary is also expected to offer consultancy services for grocers.

Transcend company directors include Guus Dekkers, Tesco’s chief technology officer; Andrew Woolfenden, UK distribution & fulfilment director; and finance director Scott Hood.