Tesco has officially cancelled plans to launch a low-end Hudl smartphone they had been working on because the timing just wasn’t right.
The supermarket giant in the United Kingdom has enjoyed strong success with a Hudl tablet, and planned on introducing the smartphone with the new Hudl 2 tablet. But Tesco scraped their plans due to the changing marketplace.
“We just saw the bottom end of the smartphone market dry up. The Chinese manufacturers, they have pretty much got it covered,” Michael Cormish, the Digital Officer for Tesco, told Trusted Reviews. “So, we were able to say, our customers are being served and that’s not a place we want to compete. So let’s double down on the Hudl.”
The company had extensively researched the smartphone market when they began working on the Hudl phone, and at the time, they had a product that was unique and far superior to other smartphones on the market. But a number of Chinese and Indian manufacturers are now focused on developing cheap smartphones, so Tesco no longer has an edge in the industry.
Another concern on Tesco’s end is the cost of mass production and development, which includes a series of tests to ensure that usability is at its best.
Cormish suggested the company will not be revisiting the idea for the phone in the near future, saying, “If there’s an unmet consumer need then you go after it. But if consumers are happy and satisfied as they are at the moment, you look for something else.”