Tesco's "indie" coffee shop should worry defenders of capitalism

Free markets rely on informed choices, and those seem lacking in the case of Harris + Hoole.

There's been a lot of chatter about an article in today's Guardian (by which, I guess, I mean that I've been talking about it a lot). Headlined "Customers criticise 'indie' image of the coffee shops part-owned by Tesco", it details the reaction of customers in North London to their discovery that Harris + Hoole, an independent-looking coffee shop, is actually part of a ten-branch chain, of which 59 per cent is owned by Tesco.

Rupert Neate writes:

"I thought: 'That's very brave, opening up next to Starbucks,'" Bridget Chappell, a full-time mum, said of Harris + Hoole, a new coffee shop in north London next door to a branch of the US behemoth and four doors down from a Costa Coffee.

"I like to try independent shops, and it was really very nice with great coffee," she said. "But when I got home, I looked it up and discovered it was a chain."

The people who are shocked to learn that they've just had a pleasant cup of coffee at a shop part-owned by Tesco have come in for a fair amount of criticism. After all, they clearly don't care about anything that matters, otherwise they'd have been unhappy before they learned the technical fact of the shop's ownership.

More to the point, this is supposed to be what capitalism's about, right? Tesco has identified a desire that customers have, and joined forces with a coffee chain to provide that desire. As the lead barista tells Neate:

We try to be independent. We want to be independent. We want to have that feel.

The question which no-one seems to have addressed is what it is that the customers actually desire. If what they want is an independent-feeling café, with mismatched furniture, blackboards for the menus and stacks of hand-made sandwiches, then Tesco can fulfil that need. But if what they desire is an actual independent café, then Tesco can't profit from that desire without the customer being mislead.

That's not to say that Harris + Hoole is necessarily to blame for those customers' mistake. As its chief executive tells the Guardian when asked about Tesco's stake:

If you Google it, you'll find it. Go to our webpage – it's not hidden. Putting it any more prominently would not reflect who we are as a business.

We can't know conclusively whether customers do desire independence or an independent feel, but my hunch is the former. That's certainly what the three interviewed in the Guardian piece claim, anyway.

The problem is, if you desire independent coffee, that's a relatively tricky desire to satisfy conclusively. You could research the corporate ownership of every coffee shop you go in to, but that would get difficult the first time you needed coffee in a strange city with no internet access. As a result, people have developed proxies to work out whether somewhere is part of a chain or not. Blackboards, mismatched furniture, hand-cut food: these things don't normally scale to a big chain, and so are usually a good indicator that somewhere has at most a couple of branches.

It may not seem that important, but it's pretty key to the claims free markets have for being an efficient way to run things that, when people think they are handing over money for a specific reason, they are in fact doing so. That's why we ban calling something organic when it's not, or slapping a union flag on Danish bacon. That even stretches to things which, in your opinion, may not be a choice that matters. Homoepathy is bunk, but it still would be bad for capitalism if anyone could put "approved by 90 per cent of homeopaths" on their sugar pills without that actually being the case.

But unfortunately for these specific customers, Harris + Hoole didn't mislead them. Purposefully or not, making yourself look like an indie coffee shop is not the same thing as telling customers you are an indie coffee shop.

If ethical consumerism is your bag, you're going to have to start putting a lot more effort into making sure you're doing it right, because these things are only going to get more common.

Baristas take part in a latte art competition. Photograph: Getty Images

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

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In her first interview of 2017, I pressed the Prime Minister for Brexit clarity

My week, including running out of cat food, reading Madeleine Thien – oh, and interviewing Theresa May on my show.

As the countdown to going live begins in your ear, there’s always a little rush of adrenalin. Especially when you’re about to launch a new Sunday morning political programme. And especially when you’re about to conduct the Prime Minister’s first interview of 2017. When you hear the words, “Cue Sophy,” there’s a split-second intake of breath – a fleeting moment of anticipation – before you start speaking. Once the show is under way, there’s no time to step back and think; you’re focused on what’s happening right now. But for that brief flicker of time before the camera trained on you goes live, you feel the enormity of what’s happening. 

My new show, Sophy Ridge on Sunday, launched on Sky News this month. After five years as a political correspondent for the channel, I have made the leap into presenting. Having the opportunity to present my own political programme is the stuff that dreams are made of. It’s a bit like having your own train set – you can influence what stories you should be following and which people you should be talking to. As with everything in television, however, it’s all about the team, and with Toby Sculthorp, Tom Larkin and Matthew Lavender, I’m lucky enough to have a great one.

 

Mayday, mayday

The show gets off to a fantastic start with an opportunity to interview the Prime Minister. With Theresa May, there are no loose comments – she is a cautious premier who weighs up every word. She doesn’t have the breezy public school confidence of David Cameron and, unlike other politicians I’ve met, you don’t get the sense that she is looking over her shoulder to see if there is someone more important that she should be talking to.

In the interview, she spells out her vision for a “shared society” and talks about her desire to end the stigma around mental health. Despite repeated pressing, she refuses to confirm whether the UK will leave the single market as it leaves the European Union. However, when you consider her commitment to regaining control of immigration and UK borders, it’s very difficult – almost impossible – to see how Britain could remain a member. “Often people talk in terms as if somehow we are leaving the EU but we still want to kind of keep bits of membership of the EU,” she said. “We are leaving. We are coming out. We are not going to be a member of the EU any longer.” Draw your own conclusions.

 

Women on top

This is probably the kind of thing that I should remain demurely quiet about and allow other people to point out on my behalf. Well, screw that. I think it’s fantastic to see the second female prime minister deciding to give her first interview of the New Year to the first woman to front a Sunday morning political show on television. There, I said it.

 

Escaping the bubble

In my view, every journalist should make a New Year’s resolution to get out of London more. The powerful forces that led to the political earthquake of 2016 came from outside the M25. Every week, I’ll be travelling to a different part of the country to listen to people’s concerns so that I can directly put them to the politicians that I interview. This week, it was Boston in Lincolnshire, where the highest proportion of people voted to leave the European Union.

Initially, it was tricky to get people to speak on camera, but in a particularly friendly pub the Bostonians were suddenly much more forthcoming. Remain supporters (a minority, I know) who arrogantly dismiss Leave voters as a bunch of racists should listen to the concerns I heard about a race to the bottom in terms of workers’ rights. Politicians are often blamed for spending too much time in the “Westminster bubble”, but in my experience journalists are often even worse. Unless we escape the London echo chamber, we’ll have no chance of understanding what happened in 2016 – and what the consequences will be in 2017.

 

A room of one’s own

Last December, I signed a book deal to write the story of women in politics. It’s something I’m passionate about, but I’ll admit that when I pitched the idea to Hachette I had no idea that 2016 would turn out to be quite so busy. Fitting in interviews with leading female politicians and finding the time to write the damn thing hasn’t been easy. Panic-stricken after working flat out during the EU campaign and the historic weeks after, I booked myself into a cottage in Hythe, a lovely little market town on the Kent coast. Holed up for two weeks on my own, feeling a million miles away from the tumultuous Westminster, the words (finally) started pouring on to the page. Right now, I’m enjoying that blissful period between sending in the edited draft and waiting for the first proofs to arrive. It’s nice not to have that nagging guilty feeling that there’s something I ought to be doing . . .

 

It’s all over Mao

I read books to switch off and am no literary snob – I have a particular weakness for trashy crime fiction. This week, I’ve been reading a book that I’m not embarrassed to recommend. Do Not Say We Have Nothing, by the Canadian author Madeleine Thien, tells the haunting story of musicians who suffered during the Cultural Revolution in China. It’s also a chilling warning of what happens when anger towards the elite is pushed too far.

 

Political animals

However busy and exhilarating things are at work, my cat, Ned, will always give me a reality check. In the excitement of the first Sophy Ridge on Sunday, I forgot to get him any food. His disappointed look as he sits by his empty bowl brings me crashing back down to earth. A panicked dash to Sainsbury’s follows, the fuel warning light on all the way as I pray I don’t run out of petrol. Suddenly, everything is back to normal.

“Sophy Ridge on Sunday” is on Sky News on Sundays at 10am

Sophy Ridge is a political correspondent for Sky News.

This article first appeared in the 12 January 2017 issue of the New Statesman, Putin's revenge