Discounting leads to sales spike at Asda

21 January, 2013

Asda’s Christmas strategy of slashing the price of Champagne below the £10 per bottle mark saw its Champagne and sparkling wine sales rise by 23% compared to the previous Christmas.

The retailer drew criticism from alcohol charities and Champagne suppliers for reducing its Pierre Darcy Champagne from £23.98 to £10.

At one point it was selling Champagne at £6 per bottle, while Cava and Prosecco were also heavily discounted.

When OLN compared sparkling prices across the market, Asda consistently had the cheapest prices in the month of December.

Now it has claimed it outperformed the market by 16% and said its decision to sell cheap sparkling wine was vindicated.

In the Champagne category, Asda saw a 17% year-on-year sales growth, increasing the retailer’s Champagne market share by 1.7%. 

In the week before New Year’s Eve, it sold almost a quarter of a million bottles of Champagne, Pierre Darcy Champagne up 25% year-on-year.

Asda’s sparkling sales excluding Champagne grew 28% year-on-year – 16% ahead of the market.

It said it sold almost half a million bottles of Wine Selection Cava Brut sold throughout December.

Lynsey Grace, Asda’s Champagne and sparkling wine buyer, said: “In times of austerity, shoppers look for ways to treat themselves on a budget, and this is never more true than at Christmas. 

“With such a wide variety of quality sparkling wines and Champagne available, from branded Champagne at market-leading prices totrusted, award-winning own-label options, and sales that outperformed the market as a result, we’re confident that we got our Christmas 2012 offering right.

“We're now looking forward to what should prove to be an exciting year ahead for the category.”

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