After Safeway tied the knot with Abbey National and Sainsbury’s
with the Bank of Scotland, Tesco chose St Valentine’s day to end its
nine-month relationship with NatWest in favour of the Royal Bank of
To headlines of ’store wars’ and ’Tesco bust-up’, Tesco’s plan to expand
into financial services received widespread praise from the weekend
editions of the nationals. With mentions of menage a quatre partners
Direct Line and Scottish Widows, coverage focused on Tesco’s chances of
banking success on goodwill and good customer service.
Citing the opportunity for the Royal Bank to develop a greater presence
’south of the border’, finance correspondents were quick to warn of
tighter margins ahead and a rough ride for banks in general. NatWest’s
’we only found out from the press release’ PR machinery seemed to be
caught off-guard by the announced rupture, which many referred to
unconvincingly as ’amicable’. Tesco let the media carry its party line -
a PR dream come true.
Evaluation and analysis by Carma International.
Cuttings supplied by The Broadcast Monitoring Company. ’What The Papers
Say’ can also be found at: http//www.carma.com/carma.