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Asda Stock Presentation

Asda targets the average income people who do not have much money to indulge in high end markets. The brand created in Asda can identify with all people, irrespective of their age or sex. These stores contain unisex goods that men and women can find affordable and helpful. Based on a vision of low pricing, the stores are welcoming to low income individuals who want to purchase quality products at a price level they can afford.  With over 500 stores, shopping at Asda has become more convenient than it was in past.

Asda is one of the most strategically positioned store chains in the world. The stores are appealing and welcoming to all customers, hence creating an environment where customers can back another time. This has positioned the store chain in place where customer loyalty is build gradually. The wide variety of their products is also a retail strategy since customers can access more goods under the same roof and will hence have no need to visit other stores.

A person looking to buy into the company’s stock has a lot to gain. Not only is the company number 2 in the UK retail market, it has penetrated into the American market making it a worldwide venture. With their excellent service and commendable performance, this stock is on an upward trend. Their style of service has been helpful in ensuring a constant stream of clientele which has ensured continued profitability. The staff is acclaimed to be the friendliest in the market. A company has to satisfy the need of their customers if they want to be on top of the industry.  This is one company that understands this and works hard to keep their customers coming back.

Asda has created a sellable themed concept by using recognizable logos and slogans. Their major color scheme is green. This identifies with agricultural products and other consumer goods. They have also capitalized on the low pricing slogan that seems to get them ahead of the competition. Their constant advertising keeps them fresh in the market. Another aspect that has helped them set a strong base in the market is the nature of their products. They mainly deal in fast moving consumer goods that are convenient yet profitable. Their friendly nature is also an important factor that has influenced the success and stock performance.

The company is well placed in terms of advertising. The marketing department has set aside $45 million to market the company further hence garnering more market power. The company has been trying to diverse their operation to incorporate environmentally conscious packaging. This will work well especially with their low price angles and hence increasing its over the stiff competition posed by other stores such as Sainsbury’s.

The company tries to stock the best quality products that the customers can afford. It would be hard to practice price discrimination, especially since all goods are displayed in the open. However, management has managed to strike a workable balance between quality and affordability. While some people have complained that Asda has compromised on quality, the store chain has always managed to offer the best economical viable products that their customer would derive adequate satisfaction. Most of their agricultural products are bought from local farmers hence guaranteeing the customers fresh produce.

The fittings and fixtures at Asda are accommodative for all ages. Since the sore stocks children items, they have tried to create an environment that is accommodative for adults and children as well. They also have considered the physically challenged shoppers and have installed ramps all over the facilities. It is this kind of insight that has helped to build customer loyalty which is positive for stock profitability.

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