Asda Launches Major Turnaround Effort with Price Cuts and Store Revamps

Chairman Allan Leighton outlines a long-term investment strategy to recover lost market share and improve customer trust, while warning of reduced short-term profitability.

Asda plans to invest heavily in price reductions, store improvements, and increased staffing to address declining sales and market share.
Chairman Allan Leighton described the initiative as a long-term effort, emphasizing that it is not a 'quick fix' and will result in a significant drop in profitability in the short term.
The supermarket's 2024 financial results showed a 3.4% decline in like-for-like sales and a 0.8% drop in total revenue, despite adjusted earnings rising 5.8% to £1.14 billion.
Asda's market share has fallen from 14.6% in 2021 to 12.6% in February 2025, with competition from discounters like Aldi and Lidl intensifying.
The company is also searching for a new CEO, with Leighton prioritizing finding a candidate who is a cultural fit for the role.