Sales at Asda deteriorate further, down 4.7 percent

And experts predict supermarkets will unleash a new wave of price cuts this autumn. I’m here to stay’.

He went on to say that he believed Asda’s third-quarter results would be better, with “signs of recovery” being seen already.

‘We are two years into a five-year strategy, ‘ he said.

‘When we set the plan, who could have predicted the market would melt down?’

The sales and profits of Britain’s so called Big Four grocers, which also include Morrisons, have been dented by a fierce price war as the success of discounters Aldi and Lidl has prompted them to slash prices and improve service. Interestingly it has omitted Tesco in the Brand Match leading some experts to argue that it would not be able to compete with Tesco’s low prices.

He stressed that all supermarkets will have to work on the assumption that discount traders will double their market share.

It is also experimenting with stores on the High Street – a new direction for the chain which has most of its outlets in large out-of-town sites.

The company said it would achieve this by investing £1billion in lowering prices and £250million in revamping stores.

“We are wholly committed, as our parents are, to seeing it through…no matter what the short term disruption might be around us”, he said.

Chief financial officer Alex Russo added: “Behind the negative sales number lies a more positive story for Asda”.

Before Asda revealed their ealier second-quarter end result Sainsbury’s put it will potentially stretch a cost twin system to really over the internet determination, current round inside an soaring enterprise price competition.

“With Brand Match now available online, customers can be reassured that we’re checking prices and doing the maths for them, online as well as in-store”, the group’s online director Robbie Feather said today.

Asda chief executive Andy Clarke said yesterday supermarkets were enduring the “worst storm” in their history as it announced a 4.7% slump in quarterly sales.