Unsupported browser

For a better experience please update your browser to its latest version.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies.
Learn more

Blog: A new era for Asda

  • Comments (2)

We’ve seen Tesco boss Phil Clarke outline his strategy over the past year and now it’s the turn of Asda’s chief Andy Clarke.

As Retail Week exclusively revealed today, Asda has drafted in consultants McKinsey to draw up a new five-year strategy.

The strategy will eclipse the five-year plan that former Asda boss Andy Bond set out three years ago, and aims to reflect the changing landscape.

When Bond set out his strategy, many criticised some of the targets. Opening 150 new Living stores seemed crazy at a time when a lot of non-food shopping was moving online.

Bond did want to create a “world class dotcom operation” which is an ambition that is likely to still resonate. As Clarke is likely to outline in his new strategy, online and indeed multichannel will surely be a key part of future growth.

McKinsey’s review is likely to look at Asda’s USP - its Every Day Low Prices proposition. Bond hailed a return to EDLP and said that the grocer had gone too promotional. At the time that was the right strategy.

But some believe that Asda is a one trick pony with price and while this will always remain core to the business, it needs other strings to its bow. Perhaps this is what McKinsey will look into.

And as we are in the midst of the horse meat scandal where customers are looking twice at cheap products, it’s not a bad thing that Asda explores other options.

  • Comments (2)

Readers' comments (2)

  • Anonymous

    Anyone know which management consultancy firm Andy Bond used for his strategic review 3 years ago? Wouldn't surprise me at all if it were McKinsey...

    Unsuitable or offensive? Report this comment

  • Anonymous

    We have had new dawns at Asda before - without a stronger board and leader in place, any new plans should be taken with a pinch of salt. The business is fundamentally lacking in credible ambition and has lost the appetite for selling.

    Unsuitable or offensive? Report this comment

Have your say

You must sign in to make a comment.

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions.

Links may be included in your comments but HTML is not permitted.