Asda is looking to reinvigorate its business with a new selling slogan, ‘More for you, For less’, as we predicted last week.
The Grocer has learned that at an IGD trade briefing in Harrogate, Asda unveiled its
strategy to win back ground lost to Tesco and Sainsbury.
But the plan has received a mixed reaction from suppliers at the event amid fears that Asda is going to squeeze margins.
The ‘More for You, For Less’ concept, which will replace the ‘Pocket the Difference’ slogan, was announced by Richard Hodgson, Asda’s marketing and brands director.
He told delegates that it amounted to more new products, more value, more channels and more freshness.
One supplier who attended the briefing with a view to supplying Asda was not impressed and said now did not appear to be a good time to be an Asda supplier.
She said: “Asda was talking about how much it had slipped behind Tesco and how it wanted to win back customers.
“It was asking suppliers for innovation and quality but was also talking about remaining the cheapest supermarket. They didn’t say it but the underlying message was that the suppliers would have to pay for this.”
Another delegate criticised Asda for continually referring to Tesco and said that it was as if “Asda was a rabbit trapped in Tesco’s headlights”.
However, another supplier said: “It was great to see Asda challenging and reflecting on itself. It’s not an easy to thing to do in public and we admire its courage and honesty.”
Ronan Hegarty