Asda boss says price policy is key to their success
Asda chief Andy Clarke has hailed an improvement in quarterly sales growth and claimed its supermarket rivals were scrambling to keep up. Like-for-like sales grew just 0.5% in the 10 weeks to the end of June but Mr Clarke said the business was outperforming competitors in a sector where the major grocers were being squeezed by discounters Aldi and Lidl.
The rise comes after growth of 0.1% in the previous period and with latest trading updates from Tesco, Sainsbury's and Morrisons all showing declines. Asda said it was benefiting from its £1bn investment in lowering prices and Mr Clarke said rivals were only now catching up with its approach of ditching "gimmicks" and focusing on "every day low price".
The retailer, which is the second biggest UK grocer and owned by US giant Walmart, said the price gap with the other three major supermarkets was growing and that the difference with the discounters was as narrow as ever.