Asda, famous for EDLP (every day low prices), launched the latest salvo in the UK grocery retail war. Presented as part of a package of 12,000 jobs over the next five years, the underlying message was meant for Tesco:
Walmart is serious, Walmart is investing, Walmart is coming South and this is a five year plan bringing 40 new conventional superstores, 100 new supermarkets, 150 forecourt shops, 1,000 new click-and-collect points and greater online penetration. Ouch.
This was a master stroke of publicity for Walmart, announced by CEO, Doug McMillon, under the approving gaze of UK Premier David Cameron, it places an ever greater spotlight on Tesco and their preliminary results in eight days time. The markets will be looking for some positive news. EDMP? You guessed it..."Every day more pressure".