Asda confirms plans for hundreds of convenience stores
It’s been reported that twenty-eight ‘Asda on the Move’ stores are to open on EG Group forecourts this year, with a target of 200 by the end of next year and more in 2023 in GB – however, although there are around ten Asda forecourts in Northern Ireland, there are no specific EG Group forecourts in Northern Ireland.
Asda made the announcement in its quarter-two trading update.
Brian Madderson of the PRA told NR in a recent interview that “Asda ran a pilot in three or four stores in the Midlands and of course, convenience stores are the Issa brothers strength. Hitherto they were wedded to the Spar brand so it would be a blow to the main Spar distributors supplying their shops in GB. The EG Group doesn’t have any filling stations in Northern Ireland, although it will be interesting to see what in-store changes there will be in Asda – and maybe even changes on the forecourt with fuel supply.”
The move had been expected since the takeover of the supermarket group by EG Group founders and joint CEOs Mohsin and Zuber Issa, and investment funds managed by TDR Capital.
Asda on the Move Rollout
The Asda On the Move rollout will begin next month, with sites opening in Knowsley, Crewe, Skelmersdale and Holtspur. Asda will supply the products on a wholesale agreement to EG Group, which will own and operate each site.
Each site will be up to 3,000sq ft in size and stock up to 2,500 products, including a selection of Asda’s premium Extra Special range and a more extensive range of fresh produce and chilled lines than is traditionally found on fuel forecourts. They will also include foodservice offerings from EG Group and its partner brands such as Greggs and Subway.
The stores will open across EG Group’s existing forecourt estate in the UK and are also expected to be situated on some new-to-industry sites as well.
Mohsin Issa CBE and Zuber Issa CBE said: “Our plans to roll out Asda On the Move will bring Asda to new customers, enabling them to pick up food-to-go, essentials for an evening meal, or treat themselves to premium Extra Special products from a range of convenient locations. We continue to see significant opportunities to drive innovation across the business and we look forward to working with the Asda team to execute our growth strategy.”
John Fallon, Asda’s chief finance officer, said: “The first phase of the rollout of Asda On the Move is an exciting next step for the business, enabling us to supply a new convenience store offer, complementing our other store formats.”