Asda escalates Argos price attack with electronics campaign

Asda: Big toy rollback campaign launched earlier this month
Asda: Big toy rollback campaign launched earlier this month

Asda is ramping up its attack on Argos with a television campaign highlighting its claim that its big-brand consumer electronic products are significantly cheaper than those sold by its rival.

The supermarket is launching the electronics campaign, created by Saatchi & Saatchi, after kicking off a 'Big toy rollback' campaign on 12 October, which compares prices on toy brands with Argos.

Asda is drawing attention to Argos' prices on non-food ranges in the run-up to Christmas, by using the technology of price monitoring firm Skuuudle.

Television activity focusing on the differences launches tonight (24 October) on ITV1.

The aggressive marketing push by Asda follows on from Home Retail Group, the owner of Argos, seeing off a takeover bid from Asda parent company Walmart last year.

Asda claims that the undercutting of Argos prices on some individual products is equivalent to the value of an average weekly family shop.

Brands included in the price war include Nikon, Canon, Samsung and Sony.

Asda says the cost of its Sony C69I iPod Dock at £87 is 24% cheaper than the Argos price of £114.99.

The supermarket chain claims it has invested £10m in the 'Big toy rollback’ scheme, but has not revealed how much it is investing in undercutting Argos' prices on consumer electronics.

Asda took a further swipe at Argos last week by launching its first Christmas gift guide, a 204-page catalogue of which eight million copies are being delivered to nationwide stores.

Last week, Argos posted a year-on-year profit slide of 94%, with profits plunging from £54.4m to £3.4m, after sales dropped to £1.68bn from the previous year's figure of £1.81bn.

Follow Matthew Chapman on Twitter @mattchapmanuk

Discussion

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Brand Republic Jobs

subscribe now

Latest

Oasis #springasmile digital campaign gets people doing good deeds
Coca-Cola: 'Don't approach bloggers with a fait accompli'
Tesco CMO Matt Atkinson: 'It is so important not to stereotype mothers'
McDonald's gives Ronald a new look ahead of global 'Fun times' social media push
In pictures: BrewDog opens first craft beer shop BottleDog for 'beer aficionados'
Facebook ad revenue leaps $1bn as it invests in targeting
Malteser or Maltesers? Mars takes Hershey trademark dispute to court
Apple Q2 profits top $10bn as iPhone sales soar
Lynx tells men not to leave love to fate
HBO captures awkwardness of watching sex scenes with parents
Primark to open first US stores with Boston chosen as flagship location
Marketing spend on the up but a reality check is needed before celebrating
Top 10 ads of the week: Jackpotjoy and BT Broadband fend off Kevin Bacon
Lidl beats Tesco to 10m Facebook fans
Center Parcs ad banned for encouraging parents to take kids out of school
Coca-Cola, Cadbury and Amazon named top brands for targeting youth market
Leaked document shows Nokia to be rebranded as Microsoft Mobile
Nike lays-off hardware staff in move that casts doubt on future of FuelBand
Greenpeace says save the bees or humans will die
What brands need to know about changes to VAT and online downloads in 2015
Jimmy Savile victims urged to claim compensation in new ad campaign
UKIP launches biggest  ad campaign and stirs up 'racist' accusations
Apple boss Tim Cook provides voiceover on ad touting firm's renewed green commitments
John Lewis walks consumers through its history to celebrate 150 years of business
Waitrose boosts content strategy with 'Weekend Kitchen with Waitrose' C4 tie-up
Hottest virals: Cute puppies star in Pedigree ad, plus Idris Elba and Fruyo
Amnesty International burns candles to illuminate new hope
Tom of Finland's 'homoerotic' drawings made into stamps
Toyota achieves the impossible by calming angry Roman drivers
YouTube reveals user habits to appeal to 'older' marketers