Tesco plans to launch a premium smartphone to rival the Samsung Galaxy S5 and a second version of its Hudl tablet later this year.
The Hudl tablet was designed to provide users with easy access to Tesco’s digital services. The supermarket giant had hinted in its results last month that it would launch a new digital device in 2014 as a way to drive digital transactions, as it found that customers using Tesco digital services or products spent 13 percent more.
According to the BBC, the phone, like the Hudl, will run on Google’s Android operating system, and the “specification will be comparable to the Samsung Galaxy S5”.
However, it will be priced more competitively than the S5, which retails at £579.
The Tesco phone will also come with apps providing direct access to Tesco’s digital services. Apps currently available on the Hudl include Tesco’s online grocery shopping, its loyalty programme Clubcard and its movie streaming and e-book service Blinkbox.
A second version of the Hudl, which has seen 500,000 sales so far, will be available in September, Tesco CEO Philip Clarke told the BBC.
In the results last month, Clarke also mentioned plans to launch an e-wallet, which he said would be “transformational, leaning straight into the connected consumer who is now shopping instore, on mobile or online”.