Uk Supermarket Tesco To Become Isp

Computergram International, July 6, 1998

UK supermarket chain Tesco is to put another product on its shelves and become an internet Service Provider and - since it is aiming its service at family users looking for something easy to use - will offer customers tuition services on how to surf the net. The company, which is working to make a success of its online shopping service, will price TescoNet at 9 pounds a month.

TescoNet users will be able to purchase the service initially from their local store. Tesco is selling a CD-ROM containing the TescoNet software, which users will then load on to their PCs and enter their credit card details and Clubcard details, the store's loyalty card, if they have one. Clubcard holders will receive points which are transferred into money off vouchers when they user the service. Tesco is also offering a money back guarantee for users that do not like the service. With the TescoNet agreement, users will receive five email addresses and 5Mb of disk space so they can create web sites. A Tesco spokesperson said the company is not aiming to take market share from other ISPs, and is instead concentrating on getting its own customers hooked up to the web. British Telecommunications Plc will provide the back end technology of TescoNet. BT has worked with Tesco in the past on other technology ventures such as its Computers for Schools project and online shopping services.