Tesco has been on the front foot for the last few weeks, with a comprehensive cross-media blitz suggesting that it has the upper hand on price compared to rivals Asda, Sainsbury’s and Morrisons through its online Price Check service.
But at Asda’s music, video and games conference in Leeds this week, business unit director Mike Snell told a crowd of entertainment suppliers: “It’s no accident Tesco has been attacking Asda on price – their sales are stalling.”
Snell also pledged to improve Asda’s supply chain and its in-store offering, while issuing a stark ultimatum: “We will only back those who back us.”
He added: “That’s not meant to be a threat. You have got to decide whether we are the right partners for you. If you want to work with us, you’ve got to do it now.”