LONDON – Tesco has launched a massive campaign to counter loss of shoppers to “pound” shops, which are similar to U.S. dollar stores, the Daily Mail reports. The U.K. supermarket giant has started promoting “pound stores” within its stores, in an effort to capture customers who shop at Poundland and other budget chains.

The new areas have debuted at more than 60 Tescos, with the chain planning to increase that number to close to 300 by early summer. The products, which cost 50 pence and up, range from health and beauty products, to cleaning supplies and paper towels, to pet food.

Tesco’s move shows just how successful pound stores have become in Britain, with no-frills outlets rising to become a huge force on the retail landscape. The three largest chains are Poundland with 450 stores, Poundworld with 200 locations and 99p Stores with more than 200 units.

“This is a project that Tesco is taking very seriously. As a new concept, implementation will be absolutely key to success,” said Paul Bangs, Tesco Pound Shop buying manager. Tesco will support the Pound Store launch with in-store signage, POS materials and other in-store marketing.

Some analysts view the move as not likely to do much to stem the flow of shoppers to pound stores. “Tesco had to do something about the likes of Poundland but I think shoppers would rather find deals through the normal course of their shop than go down a couple of separate aisles,” said Steve Dresser, an analyst with Grocery Insight.