Asda is to launch an Android app later this year as it bids to increase m-commerce sales.

Asda boss Andy Clarke said the app is in development as the retailer targets the smartphone market.

Asda said it had reached 10,000 mobile transactions a week through its mobile site and iPhone app in the last quarter.

Finance director Rob McWilliam said the mobile shopping success had “taken us by surprise” and that Asda is likely to invest more in marketing the multichannel option.

Online sales rose almost 20% in the grocer’s fourth quarter, which it updated on this week.

The grocer’s like-for-likes increased in its fourth quarter as the Asda Price Guarantee drove sales over Christmas.

Clarke said Asda had “won Christmas” – a statement reinforced by Nielsen data released last week which revealed its market share increased from 16.3% to 17.1% in the 12 weeks to February 4.

Clarke said: “Our focus will be on price leadership. We will invest in quality.”