Who is Tesco’s new CEO? Meet Ashwin Prasad
Tesco has named Ashwin Prasad as its new CEO for the UK and Ireland, in a leadership reshuffle that has raised some eyebrows but also drawn cautious optimism from the City.
Prasad, who currently serves as chief commercial officer, will step into his new role on 30 June, following the abrupt departure of Matthew Barnes after just 15 months in the post.
The appointment marks a significant moment for Tesco, which has been in robust health. With a 28.5% market share, its highest since 2016, and strong results from FY25, the supermarket giant is entering the next phase of its strategy from a position of relative strength.
If Prasad’s record is anything to go by, from revitalising product ranges to expanding digital reach, he may just be the steady hand Tesco needs to steer into its next era.
A surprise switch, made from ‘inside the tent’
In a research note from Shore Capital, retail analyst Clive Black calls the management change “a bit of a surprise,” especially given the short tenure of Barnes, a widely respected former Aldi UK boss who had only been at the helm since 2023, replacing former CEO Jason Tarry.
“Tesco has been going great guns in recent times, a view supported by the strong FY25 preliminary results… It comes as a bit of a surprise… to see the Group announce that after only 15 months, Matthew Barnes… is leaving his role imminently,” Black writes. Yet the analyst made clear that the succession has been handled smartly.
Tesco UK chief executive Matthew Barnes is stepping down at the end of June, just over a year after joining the business, to “pursue other opportunities”.
Tesco also praised Barnes in its announcement, noting that under his leadership, “our UK business has performed extremely well,” with gains in both growth and customer satisfaction.
His departure, however, sets the stage for Prasad, an internal candidate with a deep understanding of Tesco’s commercial machine, to take the lead.
A quiet force behind Tesco’s turnaround
Ashwin Prasad may not be a household name, but inside Tesco, his influence has been hard to miss.
He joined the retailer from FMCG giant Mars Inc. in 2009, as senior buying manager for confectionery. He held roles such as commercial director for general merchandise and group chief product officer before being promoted to chief commercial officer in 2017.
Since then, Prasad has helped shape Tesco’s product, pricing, and supplier strategies, key pillars of its successful recovery in the post-Booker, post-COVID era. In 2020, he was also appointed to the executive committee.
Noted among his biggest contributions has been the overhaul of Tesco’s own-label ranges. The supermarket chain’s Finest line alone is now worth £2.5bn, and more than 1,000 new SKUs were launched under his commercial leadership in the past year.
Elsewhere, Prasad has overseen the introduction of more personalised promotions and the scaling of Tesco’s Clubcard Prices programme, which has grown to serve over 18 million app users.
Meanwhile, his role in expanding Tesco’s rapid delivery service, Whoosh, to over 1,500 stores has helped the supermarket better compete in the fast-growing convenience and immediacy space.
Tesco Group CEO Ken Murphy described Prasad as “an exceptional leader with a strong track record for delivering for our customer,” adding that his “experience leading our product and customer strategy makes him the ideal person to take over as UK CEO.”
The appointment has also seen analyst backing and boosted market confidence. Shore Capital reiterated its ‘Buy’ stance on Tesco shares following the announcement.
Black notes the decision may even simplify Tesco’s senior structure, with Prasad reporting directly into Murphy, offering “a simpler senior management structure.”
What will be on Prasad’s to-do list?
Prasad’s remit as CEO will be to continue Tesco’s core strategy while fine-tuning it for a shifting landscape. One key area Prasad is likely to continue to focus on is protecting Tesco’s value credentials.
Tesco’s price perception has been carefully managed, in part through its Aldi Price Match across more than 600 lines. Maintaining that edge in the face of inflationary pressure and discounter aggression is likely to be critical to Prasad.
Another key area is accelerating digital growth. Tesco plans to launch F&F Clothing online and expand Whoosh, meaning that digital and convenience are set to remain front and centre.
One of Prasad priorities for his new leadership could be continuing Tesco’s recent sustainability push
Prasad may also choose to prioritise loyalty evolution, as Clubcard continues to be one of Tesco’s biggest strategic tools. Tesco is expected to achieve this by initiatives aimed at deepening the use of customer data to drive personalisation and trip frequency, such as its new ‘Your Clubcard’ trial scheme, debuted in February.
Other targets include sustainability improvements, after Tesco Group chief executive Ken Murphy earlier this year warned that businesses that won’t adopt sustainability practices risk being “punished” by consumers.
Speaking at London’s Sustainable Retail Summit in January, the chief executive added: “The days of the [1980s] mantra that ‘greed is good’ is gone.
“What is expected of a CEO and a management team is how do we balance across all our stakeholders? Our customers, colleagues, our supplier partners, the planet, and our shareholders.”
Tesco has announced it has already cut Scope 1 and 2 emissions by 65% since 2015/16 and is aiming for net zero by 2035. Movement on this front is expected to remain a board-level priority.
Challenges remain
Despite the tailwinds, Prasad will have to navigate growing competition from Aldi and Lidl, global economic uncertainty, and evolving consumer expectations in areas such as health, sustainability, and convenience.
He also steps into the role at a time of increasing scrutiny of supplier relationships. Tesco’s fulfilment fee proposal earlier this year raised questions about its leverage over branded suppliers, a pressure point that may resurface.
Many in the industry will question whether the appointment was a safe choice, or simply a stepping stone. However, experts in the sector point to Prasad’s appointment as feeling less like a risk and more like a continuation. He is a company veteran, a commercial strategist, and, by all accounts, a steady hand.
Whether he brings transformative change or leans into the status quo may depend on wider market forces as much as on personal ambition. For now, Tesco appears focused on consistency.
As Black put it: “Tesco has a superb replacement for Mr Barnes… keeping a good thing going from inside the tent.”
9 Comments. Leave new
It’s good what’s being done giving fruit to children but what about OAP’s who can’t afford fruit. Too much is being done for people on benefits whereas OAP’s are being ignored.
I knew Matt Barnes whilst acquiring sites for Aldi. A pleasant and positive man. A good leader. Tesco’s loss I feel.
Their new spice and herb jars are rubbish. Contents leak between the top and the jar. Definitely not air tight!
Too many chiefs and not enough Indian’s IE: Too bosses and not enough workers. As a retired colleague of Tesco I see Ken Murphy as the CEO of Tesco. That’s how I see Tesco.
Best of luck Ashwin, done a great job previous
I have made a complaint to Tesco and the insurance company for tesco as a tesco delivery driver damaged property on my land with his van and I’m not getting any correspondence from Tesco.Appauling service.
I too am having a horrific time with Tesco Home Insurance. Claim has been on going for over a year after an escape of water claim and now getting told after a year that their Loss Adjusters AED will not be supporting with works.
Shocking customer service ordered phone 9 days ago and my order is stuck in your system no one in you CS team can un stick order, 4 phone calls & no further forwards in getting my delivery, now escalated to communication ombudsman.
Interesting, you don’t tell us Ashwin Prasad early history. OK, so we know about Aldi, but where is he from? Do we, the customer, want him or don’t we matter?