Asda has reported a 1.3 per cent increase in like-for-like sales (excluding VAT and fuel) for the first quarter of 2013.
In a positive start to the year for the 'big-four' retailer, Asda also revealed a 16 per cent rise in its online sales and says that it is now Britain's second-largest online grocer. Andy Clarke, president and CEO of Asda, believes the retailer's strong commitment to delivering low prices, as well as its multichannel strategy, is helping to drive growth.
He explained: “This represents a strong performance in what remains a very tough market. Despite a difficult environment for our customers, we have continued to achieve growth on growth by lowering the prices of essentials and investing in technology to make shopping more convenient.'
The supermarket recently launched its£100 million Price Lock initiative, a commitment to keep down the price of everyday essential food items. Furthermore, as part of the Asda Price Guarantee, the retailer has pledged to provide a shopping experience for customers that is 10 per cent cheaper than rivals Tesco, Waitrose, Morrisons and Sainsbury's.
Innovation
Clarke says that Asda will continue to 'maximise' its relationship with parent company Walmart in order to bring new in-store technology. The retailer is currently trialling Scan and Go technology, which allows customer to scan and pay for items with a smartphone, in a number of stores.
In 2013, Asda will also open 10 new stores, including four new small format supermarkets, five superstores and one new non-food outlet.
Rivalry
In comparison to Asda's positive start to the year, Morrisons recently posted a 1.8 fall in like-for-like sales for the first quarter of 2013. Meanwhile,Sainsbury's announced earlier this month that pre-tax profits were down 1.4 per cent to £788m (€935m) from £799mfor the 52 weeks to 16 March 2013.
