Rain drifts across the car park of Crawley’s sprawling Asda, but the gloom does little to slow the steady stream of shoppers on a midweek afternoon. Parents hurry past with school bags and groceries, while car boots slam shut as people load up their weekly shops. For Carol Stimpson, who grew up nearby, the supermarket is a daily stop. “It’s my corner shop,” she says. Joanne Dench, another local, highlights the store’s variety. “They’ve got a good range of stuff — clothes, all sorts of things… And they have lots of international food, which is lovely because I like trying new things.”
Despite the bustle, Asda, the UK’s third-largest supermarket chain, has been losing ground to competitors at an alarming rate. Industry data show the retailer suffered a 4.2% sales drop during the 12 weeks to 28 December 2025, even as rivals reported growth. Analysts describe the situation as “a mess,” with price cuts failing to draw back shoppers.
Asda has a long history as Britain’s “cheap” supermarket, renowned for its “That’s Asda Price” campaign launched in 1977. The business was sold to Walmart in 1999 but struggled under the American retail giant as Aldi and Lidl expanded in the UK. In 2021, Asda was sold again, this time to billionaire brothers Mohsin and Zuber Issa and private equity firm TDR Capital for £6.8bn. The takeover was largely debt-financed, leaving the company exposed when inflation and interest rates surged following the Ukraine war.
High management turnover and operational challenges compounded the issues. Shoppers complained about empty shelves, slow restocking, and poor online availability. Longtime customer Lynette from Swindon said the decline was visible in-store. “Half the tills were closed, shelves were empty,” she recalled. Meanwhile, the company invested hundreds of millions of pounds in a tech overhaul, including new checkouts and a revamped online platform.
By the end of 2025, Asda’s market share had dropped from 14.3% before the takeover to 11.4%, representing a revenue shortfall of around £4.5bn compared with its previous standing. Retail analysts warn that grocers with high fixed costs face a “negative spiral” if sales volumes decline.
In response, Asda appointed Allan Leighton as executive chair in November 2024 to lead a turnaround. Leighton, known for successfully reviving the chain in the 1990s, has reintroduced the Asda Rollback pricing scheme, aiming to make the supermarket 5–10% cheaper than rivals by the end of 2026. Data show that some products are now cheaper than Tesco, Sainsbury’s, and Morrisons, and Asda has topped weekly price surveys.
However, lower prices alone have not reversed the decline. Customers like Madeline in Crawley point to empty shelves and crowded aisles, saying, “It puts you off.” Experts note that success depends not just on price but also on customer service, store experience, and brand perception. Asda has increased staffing and emphasizes ongoing progress, yet regaining lost shoppers remains a steep challenge in an intensely competitive market.
