Asda is planning to launch an entirely new 300-strong budget range in the coming month. With the move, the retailer wants to reaffirm its price credentials and tackle quality perceptions. The new value range would be called ‘Just Essentials’ and will replace its current Smart Price range. Asda said it has designed the new range with consideration for customer concerns over the cost of living crisis. Food inflation in the UK jumped to a 30-year-high of 5.3%.
The retailer has speeded up its initial time schedule for the launch and is giving private label suppliers just four weeks to come up with product line-ups. Suppliers question whether it is possible to launch such a line with only a few weeks’ notice.
In addition to the new assortment, Asda has started a wider range review across all categories delisting thousands of items to further simplify and rejuvenate its range. The retailer has also set up a Nurture programme specifically aimed at small and medium enterprises, which gives dedicated shelf space and support to emerging suppliers. The initiative champions emerging brands and seeks to bring customers new products more often. Suppliers selected to join the programme will have access to data to help them improve their range, as well as a suite of online and end-to-end supply chain training and a dedicated team to support their growth. Customers are invited to give feedback on their favourites, with items that prove popular considered for a listing as part of the supermarket’s main range.
The retailer also plans to revamp store layouts and will extend the trial of its new loyalty card Asda Rewards across all its stores in the UK by this autumn.