Marketing Newscast

(Edited 23 August 2024)

Tesco, the UK's leading retailer, is set to modify its Clubcard Prices logo following a court ruling against it in a trademark dispute with its discount competitor Lidl. Despite this, Tesco maintains that the verdict does not affect the essence of its discount scheme.

The conflict arose from Tesco's adoption of a yellow circle set against a blue background for its Clubcard branding, a design reminiscent of Lidl's distinctive logo.

Last year, the High Court determined that Tesco had unfairly capitalised on Lidl's established reputation for offering low prices through its Clubcard Prices discount initiative. However, the court rejected the assertion that Tesco had deliberately aimed to piggyback on Lidl's brand recognition.

Lidl, known for its yellow circle on a blue background logo, initiated legal action in 2020, shortly after Tesco introduced its discount program.

Although the Court of Appeal upheld the previous ruling of trademark infringement against Tesco, it overturned a decision in Tesco's favor regarding copyright.

Expressing satisfaction with the outcome, a Lidl spokesperson urged Tesco to adhere to the court's decision and alter its Clubcard logo to avoid similarity with Lidl's branding.

Tesco has announced its intention to update the logo soon, with the change expected to be implemented within weeks. Despite its disappointment with the judgment, Tesco reassured customers that the Clubcard Prices program would remain unaffected.