Leeds supermarket Asda confirms convenience store deployment as two other executives resign
The details come as the Leeds-based supermarket also revealed that two other senior executives had resigned, following the departure of chief executive Roger Burnley, who left earlier than expected last month.
The Asda On the Move sites will open at sites owned by brothers Mohsin and Zuber Issa, who bought the supermarket from US retailer Walmart through their EG group a year ago for £ 6.8 billion.
A wholesale deal between the supermarket and the oil parvis company will be signed and the bosses hope to open more in the years to come.
Each site will stock 2,500 products and will partner with Greggs and Subway, the company said.
The bosses released the details to investors on Friday as part of a quarterly update, although most of the information was reported last weekend by the Sunday Times newspaper.
The supermarket also revealed that sales, excluding fuel, fell 0.7% in the three months ending late June to £ 5 billion from a year ago at the height of the pandemic.
Customers traded and gifted themselves high-end products during the period, with a 23% like-for-like sales increase in Asda’s premium Extra Special line compared to 2019, the company said.
Online sales have gradually declined from levels seen in the first quarter of the year.
No details were provided on the decline in online grocery sales, but Asda said they accounted for 17% of total sales, up from 10% in the second quarter of 2019.
Sales of clothing and general merchandise at constant scope increased by 1.4% compared to the same period in 2019, driven by the continued good performance of the latter.
General merchandise sales on a like-for-like basis increased 9.6% year over year as customers continued to invest in their homes and gardens.
Asda has not disclosed the evolution of sales compared to a year ago.
The supermarket also revealed that operations director Anthony Hemmerdinger and chief strategy officer Preyash Thakrar have both resigned.
They are leaving less than a month after the sudden resignation of former boss Roger Burnley, having expected to stick around to ensure an orderly handover to a successor.
Asda owners have been criticized for the company’s poor governance and reportedly called on former Ocado chairman Stuart Rose to join the board.
Asda pointed out that Client Manager Meg Farren will be joining KFC soon and earlier this year Sam Dickson arrived from Waitrose alongside Carl Dawson from M&S as Chief Information Officer.
Mohsin and Zuber Issa said: “The Asda business has proven to be incredibly resilient in 2021 as customers continue to eat more at home and enjoy both fantastic quality and great food. Excellent value.
“Our Asda On the Move deployment plans will bring Asda to new customers, allowing them to get take-out, essentials for an evening meal, or indulge themselves with premium Extra Special products. in a range of convenient locations.
“We continue to see significant opportunities to drive innovation across the company and look forward to working with the Asda team to execute our growth strategy. “