Asda focuses on price for Christmas

Asda says its Christmas advertising campaign will not follow rivals Marks and Spencer, Morrisons and Waitrose by featuring celebrities in its ads but will focus on price.

Asda advert

The supermarket also announced it has relaunched its Extra Special range, and has added 100 new products, including 60 Christmas lines.

The supermarket says it is aiming to save its customers £150m during the festive season with price promotions.

It claims that it has already saved its customers £50m compared to those shopping at rival supermarkets following six weeks of price comparisons on

Asda makes its claim as it reports like-for-like sales, which exclude new stores, are up 5.6% in the third quarter.

Chief financial officer Judith McKenna, says the “strong, consistent” performance was driven by Asda’s focus on delivering everyday low prices.

As part of its Christmas price promotion drive, Asda has announced it will cut the price of 50 home electricals products such as DVD players, TVs and mobile phones from brands including Phillips, Sanyo and Fuji to help customers save money and spread the cost of Christmas.

The technology promotion follows similar promotional events for clothing, entertainment, and toy sales and comes ahead of the proposed VAT switchback to 17.5% on 1 January.

Supermarkets have engaged in aggressive promotions this year but despite launching several hard-hitting price led events, Asda’s chief financial officer, Judith McKenna said in a conference call that the supermarket is “not really interested in price wars” but that its customers recognise it offers “fantastic value”.

McKenna adds: “This year will be the most aggressive on price in a decade, which is good news for Asda shoppers. We are also enabling our customers to spread the cost of Christmas over a longer period of time, with tailored events and longer rollbacks on key items.”

Asda says there are more promotional events to come in the run up to Christmas and its full festive campaign will be revealed soon.

Asda has also increased its market share to 17.3%; up from 16.9% in the same period last year, according to TNS figures released this week.

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