Asda Relaunches Mid-Tier Private Label Line

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September 21, 2010

Walmart’s Asda supermarket chain in the U.K. is investing upwards of $155 million to improve the quality and perception of its mid-tier private label line, which includes 3,500 products. Asda CEO Andy Clarke told MarketingWeek U.K.: “We will drive as hard on quality as price.”

Approximately 200,000 consumers helped Asda taste test and benchmarking the products.“We have made our customers an integral part of our business planning,” he said in a statement. “By doing so we’re giving them a real say in an important part of their everyday lives. We’re empowering our customers in a way that no U.K. retailer ever has. From today ‘our’ own brand becomes ‘your’ own brand.”

In addition to rebranding existing products, Asda is introducing 500 new SKUs under the Chosen by You brand. The packaging redesign is described as “simplicity, class and elegance” by Simon Eyles, head of Asda brand marketing, noting that it also communicates Asda’s passion for food.

More than half of Asda’s total sales stem from its private label, 85 percent of which are in the mi-tier range, according to the report. Despite the volume, Emma Fox, commercial director of Asda said: “Much like other mid-range supermarket brands it has been a bit neglected in the past. Now we’re giving it a real point of difference.”

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