Tesco launches low-cost calling card app


13:19, June 17 2014

Taking on Skype?

Tesco has introduced a new app that enables users to make low-cost calls to or from foreign countries via a Wi-Fi connection.

Named Tesco Calling Card, the app is currently available for the iPhone and Android devices, and is targeted at holidaymakers and football fans travelling to the World Cup in Brazil.

The app facilitates a 30-minute call from Brazil to the UK for 60p while an hour-long call from Spain would cost 30p. Tesco said that a comparable call from a hotel telephone would cost £60.

"The new app offers an even more convenient and cost effective way to keep in touch with loved ones over the summer, whether that be from the sun lounger to back home, or from the sofa in the UK to family living overseas," Tesco said.

Free to download, users can earn £1 for downloading and £2 for referring friends. They can also make calls and send app-to-app messages for free.

Customers can top-up via their handset or by purchasing cards in-store. The only downside is that credit is valid for only 90 days, unlike Skype credits, which have no such expiry date.

Tesco is exploring newer avenues outside of its core supermarkets business. It has already forayed into the financial services domain and offers 4G services via Tesco Mobile.

Recently it launched its own low-cost Hudl tablet, which the retailer says, has already sold over half a million units within the UK. Tesco is also planning to launch a smartphone.

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