Asda’s small supermarkets and £5-off deals have helped to drive up like-for-like (LFL) sales by 1%, excluding VAT and petrol, in the 14 weeks to 7 January 2012.
The supermarket business, owned by US retail giant Walmart announced yesterday (21 February) that its move to convert 170 Netto stores, acquired from Dansk, into new-format stores in 2011, helped its fourth-quarter results. In addition, Asda’s Price Guarantee (APG) to help customers save £5 on a £40 shopping bill brought in one million basket checks every week during December.
Andy Clarke, president and chief executive at Asda, said that listening to customers would remain at the heart of the company’s 2012 strategy, including the continuation of its APG: “Asda will do what it loves to do – ensure money stays at the most important parts of the supply chain, with the producer and the customer. There is more to come with APG. We have only just scratched the surface of what it can do for our customers – offering real pricing transparency and a guarantee when every penny or pound matters.”
Clarke added that it would continue to invest in colleague training programmes in the next 12 months, including apprenticeships.
It only saw a 0.5% rise in its 2011 LFL sales, but had reported a 17.5% share in the marketplace – an increase of 0.6% year-on-year. The company reported a 1.3% increase in sales during its third quarter.
The latest retail data from Kantar Till Roll (12 w/e 22 January 2012) showed continued market outperformance, with Asda’s growing sales at the fastest rate of the top four supermarkets.