By volume, ASDA has now overtaken Marks & Spencer to become the second biggest clothing retailer in the UK.
The chief executive of ASDA, Andy Clarke, has made the announcement that the George clothing line has performed well in the 10 weeks leading up to the end of June and was now considered to be the second biggest brand in the UK in terms of volume.
Data obtained from Kantar Worldpanel showed that in the 24 weeks leading up to 6th July, ASDA saw a 11.1% dominance over the clothing market by the volume of goods that were sold, contrasted with M&S’s 10.9%. A year previous, M&S had a share of 11.7% compared to ASDA 11%, according to the data gathered by the consumer research group.
Volume retailers, such as George and Primark for example, tend to expand their shares in the market during the hotter summer months, when consumers are tempted to buy higher volumes of cheaper items, such as strappy tops and t shirts, as well as good for going back to school. M&S typically performs better in the colder winter months, when consumers lend towards buying heaver items, such as coats and knitwear. It was also noted the M&S has cut back on promotions
However, those who work closely in ASDA said that the market share trend “does not appear to be a seasonal variation”. M&S declined to make a comment.
Mr Clarke said that George had benefited from placing a strong emphasise on quality, such as promoting its 100 day guarantee and offering same day delivery on certain products.
Mr Clarke said
We know that has given us an advantage, and given us volume growth.
These developments come as ASDA announced that sales from stores that have been open for at least a year rose 0.5% year on year, which was an improvement on the 0.1% ASDA gained in the first quarter. The supermarket giant said that the performance had been improved by moving away from gimmicks, such as vouchers and other distractions that were offered 2 years ago=, as part of its bid to spend £1 billion on lowering prices over a period of 5 years.
The other factor that has accounted for 10% of online sales was the introduction of click and collect as well as plans to revamp some of the bigger ASDA stores to potentially bring in other partners. Mr Clarke said
The world used to be about supermarkets, then it became superstores . . . now it’s going to be about super-destinations.