UK retailer Asda has posted a 1.9% year-on-year decline in like-for-like sales in the second quarter of its financial year.
However, the retailer reported a ‘significant improvement’ in performance on a quarter-on-quarter bases, following a 9.2% decline in like-for-like sales during the previous quarter.
The retailer witnessed positive like-for-like sales towards the end of the second quarter, driven by continued investment in price and quality in core categories, such as meat, fish, and poultry, among others.
Asda co-owner Mohsin Issa said, “Every week millions of customers visit our stores or shop with us online and we know many of them are struggling with rising living costs that show no sign of easing.
“We are determined to do all we can to support these customers during these tough times by keeping their grocery bills in check while delivering added value through initiatives such as Dropped & Locked and the Kids Eat for £1 offer in Asda cafes.”
In the second quarter, Asda accelerated the rollout of its new budget-friendly ‘Just Essentials’ range, initially launched in May,
Currently, the range offers approximately 220 products, including fruit, vegetables, fresh meat, fish, and poultry items.
Data from Kantar unveiled that one in three shoppers regularly purchased goods from the range, resulting in 19% growth, which is ahead of the market.
In addition, the retailer has expanded its ‘Dropped & Locked’ pricing campaign to include more than 250 popular products.
The prices will be capped for the rest of 2022 to give customers greater control over their shopping bills, Asda noted.
© 2022 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.