UK’s second largest grocer Asda has today announced a 1.3 per cent rise in like-for-like sales in the three months to September 30th.
Profits have grown ahead of sales in the third quarter for the retailer despite the latest Asda Income Tracker revealing that the typical family’s disposable income was £4 lower in September 2010 than September 2009.
Asda.com hit record sales during the period and continue to grow at 30 per cent year-on-year, according to the retailer.
Andy Clarke, Asda CEO and President, commented: “After a particularly tough start to the year we’re pleased with the progress we’re making.
“As we approach Christmas we are in good shape and are clearly focused on delivering for our customers in three key ways - keeping our prices low, enhancing our quality and driving product innovation into our stores through the introduction of new ranges.”
The latest grocery market data produced by Kantar Worldpanel showed Asda dropping 0.1 per cent market share during the last quarter, with closest competitor Sainsbury’s increasing its own share by 0.3 per cent.
Just before the end of the Q3 period Asda re-launched its own brand product range, named Chosen By You, in an attempt to improve the quality perceptions of the retailer’s goods.
Doug McMillon, President and CEO of Walmart International, said: “We are encouraged by the recent sales momentum in the UK where we are well positioned for the holiday season. At a time where economists are forecasting very tough economic conditions, Asda remains committed to saving customers money every day.”
Dozens of new products have been introduced in time for Christmas as part of the retailer’s Extra Special range, and these items were promoted through a 25 per cent discount offer during October.
Two new stores opened over the three-month period, a further five have opened since September and one new store in Newquay opens on November 22nd.
Asda earlier today announced the creation of 7,500 new jobs in the UK to be filled in the new year.