Large food retail brands like Tesco are crucial in determining the effectiveness of health-focused food labelling systems, particularly how the systems influence consumer behaviour. The prevalence of labels on food packaging is a public health initiative. However, the business environment where packaged food products are sold can either boost or hinder the impact of health-driven labelling initiatives. According to Hastings and Angus (2023) emphasized that how supermarkets arrange shelves and position products, as well as the entire store layout, have significant impact on the label visibility and accessibility. Products displayed at eye level and near checkout counters are more likely to attract shoppers’ attention. Likewise, products positioned within health-themed sections also resonate with consumers. Regardless, displaying food products with health-focused labels in lower-shelf areas or corners that buyers seldom visit reduces the visibility, accessibility, and effectiveness of labels. This observation by the scholars aligns with the concept of “choice architecture” principles (that is, an idea that the physical environment where consumers make purchase decisions influences outcomes (Thaler & Sunstein, 2008).

In the context of this study, Tesco’s reputation as an influential retail brand in the UK hinges on the robustness of its health and sustainability agenda. Tesco incorporates aisle redesigns, strategic signage, and front-of-pack labelling standards that align with UK government recommendations in its business model (Tesco Plc, 2023). Additionally, Tesco participates in voluntary initiatives (i.e., Public Health Responsibility Deal) which supports implementation of clearer traffic light labels and reduction of product marketing activities for high-sugar food or drinks (Department of Health and Social Care, 2022).

Retailers like Tesco can also reinforce labelling efforts through promotional strategies. According to Kaur et al. (2023), marketing campaigns that openly link product labels to health benefits (such as labels with “heart-healthy” or “low sugar” options) have more capacity to attract consumers’ attention and increase label recall. When these campaigns align with in-store promotions or loyalty rewards, they can boost healthier decision-making among shoppers. Tesco’s Clubcard programme is an example of this strategic marketing.

Tesco’s Clubcard programme integrates data-driven analytics for real-time insights explored to design health-based incentives (such as bonus points for purchasing items with reduced-calorie alternatives or green traffic light labels) thereby promoting healthier choices. Tesco in 2025 launched a new health-based initiative offering personalized discounts for customers (Clubcard members) who choose healthier versions of frequently purchased items at Tesco stores.

Table 2.2: Daily Values and the %DVs

Nutrient	DV	%DV	Goal
Saturated Fat	20g	=100% DV	Less than
Sodium	2,300mg	=100% DV	Less than
Dietary Fiber	28g	=100% DV	At least
Added Sugars	50g	=100% DV	Less than
Vitamin D	20mcg	=100% DV	At least
Calcium	1,300mg	=100% DV	At least
Iron	18mg	=100% DV	At least
Potassium	4,700mg	=100% DV	At least

* Examples of DVs vs. %DVs based on a 2,000 Calorie Diet

The information on Table 2.2 shows how the Daily Values (DVs) relate to the %DVs and dietary guidance. For example, each nutrient listed in the table, shows there is a DV, a %DV, and dietary advice for certain goals. So, consumers can stay healthy when they follow dietary advice on the upper or lower limits for the listed nutrients recommended by public health professionals based on a 2,000-calorie daily diet.

Upper Limit – Eat “Less than”: This recommendation means that a consumer stay below or eat “less than” the daily value (DV) nutrient amounts listed per day. Where, for instance, the DV for saturated fat is 20g, that amount equals 100% DV for the nutrient. The goal of dietary recommendation is to consume “less than” 20 g or 100%DV per day.

Lower Limit – Eat “At least”: Where the DV for dietary fibre is 28g (i.e., 100% DV), it implies that the individual should consume “at least” this amount of dietary fibre on most days.

The identified nutrients that do not have a %DV include Protein, Trans Fats, and Total Sugars:

Trans Fats and Total Sugars do not list a %DV on the Nutrition Facts label. However, protein only lists a %DV in specific situations listed below. Accordingly, experts in Trans Fat could not provide either a reference value for Trans Fats or any other information that FDA believes considers sufficient to establish a Daily Value.

The Dietary Guidelines for Americans acknowledge availability of evidence that diets containing higher Trans Fats contribute to increased blood levels of low-density lipoprotein (LDL, also known as “bad cholesterol,” which, in turn, are linked to increased risk of developing cardiovascular diseases. Note: FDA in 2018 phased out most uses of artificial Trans Fats in the U.S. food supply.

One major problem with the health-focused marketing incentives is poor internal evaluation. Recurring inconsistencies in the effectiveness of food labelling initiatives across different Tesco store locations, particularly settings with diverse demographics like Middlesbrough, which features educational inequality, income disparities, and cultural preferences, are the reason for significantly low uptake of health-based promotions. Thus, the demographic context can either boost or hinder realization of the expected impact from retailer-led health interventions notwithstanding the presence and effectiveness of labels.

Furthermore, retailer priorities can create a gap between food labelling initiatives and outcomes, for example, when retail brands prioritize sales volume and profitability over public health goals. Pechey and Monsivais (2022) therefore argue that retail promotions always favour high-margin profits and ultra-processed foods that have red traffic light warnings. Tesco has shown a strong commitment to balancing commercial activities with health and sustainability targets. However, health promotion remains Tesco’s major challenge in UK’s food retail industry.

In conclusion, stakeholders in the retail sector are key mediators of food label effectiveness. Large supermarket brands like Tesco can also leverage unique opportunities from food labelling systems and sale of health-focused products to create competitive advantage and sustainable profits. To achieve these goals and more, the popular retail brand should apply consumer-centred strategies in store layout, marketing, and loyalty schemes. Regardless, the business development strategies cannot become fully effective if they are not context-sensitive and tailored to the behavioural tendencies and needs of local populations (that is, consumers who will benefit from the interventions).