// Q3 like-for-like sales up 4.7%; the strongest quarterly performance since Q1 2021
// Just Essentials value range helps to attract 400k new shoppers from other supermarkets
Asda has returned to sales growth for the first time this year as its focus on value attracted 400,000 new shoppers from other supermarkets.
With total revenues (excluding fuel) of £5.2 bn, the supermarket giant revealed that like-for-like sales rose 4.7% for the three-month period to the end of September (Q3 2022), its strongest quarterly performance since Q1 2021.
The boost comes as Asda continues to step up its commitment to supporting families during the cost-of-living crisis.
Asda attributed the return to growth to its budget-friendly Just Essentials value offer, which has been further expanded over the quarter, taking the total number of products available to 270.
The UK’s third largest supermarket revealed that around 70% spend on the range comes from new customers who have made the switch from “more expensive supermarkets”.
Prices are also being kept low elsewhere across the supermarket’s offer with ‘Dropped & Locked’ price freeze across 250 staple products until the end of 2022.
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Asda’s co-owner Mohsin Issa said: “The financial pressures on families across the UK is worsening and they are looking to us for help. Asda has a long-standing reputation for providing customers with outstanding value and it’s more important than ever that we deliver on this for them.
“We’re absolutely committed to ensuring that Asda remains the best value traditional supermarket – while introducing new value initiatives such as Asda Rewards that can make an immediate difference to customer budgets.”
The new Asda Rewards loyalty programme, which rewards customers with money off their shopping rather than points, was also rolled out to all stores and online during the quarter. It currently has 2.7m active users.
The three-month period also saw the grocer accelerating its strategy to enter the convenience market, as it completed the acquisition of 132 grocery retail sites, with attached petrol stations, from The Co-op.
It also revealed its new standalone convenience offering under the new ‘Asda Express’ brand. The first Asda Express store opened in Sutton Coldfield last week, with two more opening by the end of 2022 and 30 more planned for next year.
“Although we have more the 600 stores across the UK, there are still many communities that don’t have an Asda nearby,” added Mohsin Issa.
“We want to change this and bring Asda’s great products and value to even more people through these new stores.”
In the run-up to Christmas, the supermarket has boosted its online delivery capacity with more than one million home delivery and click and collect slots available the week before Christmas.
It will also be recruiting up to 6,000 temporary colleagues throughout the busy festive period.
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