Asda might target ROI

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Without any stores in the Republic of Ireland, leading UK grocer Asda may start advertising to customers based there



8 February 2009

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While direct advertising to customers in the Republic of Ireland is not currently part of Asda’s marketing arsenal, a spokesperson has confirmed the supermarket chain will consider it in the future.

“In terms of marketing, specific ROI marketing is not something which is currently in Asda’s strategy however it is something which they will look at going forward,” she said.

Asda has been one of the major beneficiaries from southern shoppers heading North. It has been reported that in Asda’s second highest performing Northern Irish store, Strabane, at least 40% of takings are in euro. Following the success of its top performers, Enniskillen and Strabane, the group now plans to open a flagship store in County Antrim.

The €28m store will have a net sales area of 55,000 sq ft, making it the largest Asda in the North; offering grocery and non-food.  

Asda property communications manager Philip Bartram told ShelfLife the store is currently at “the tail end” of its planning permission process, which should be completed in two to three months.

“We are over most of the hurdles,” he said, envisaging that the building would be finished by the end of the year.

During the peak trading week before Christmas, Asda reported that of its 14 stores in the province nine achieved sales of over £1 million. The top two, border stores Enniskillen and Strabane, brought in sales of over £3 million and £2 million respectively.  

Enniskillen was identified as the second highest performing store in the supermarket’s UK-wide chain and the sixth top store in Wal-Mart’s global empire. On average it registered a 150% rise in sales compared to Christmas 2007. Asda’s sales in Northern Ireland generally were up 45% on the same period last year.



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