Anne Bruce
Asda claimed it was undercutting rivals, including Tesco, with its first move into financial services with "Asda price" insurance products underwritten by Norwich Union.
Asda director of financial services, David Rutley, said developing a financial services offer was a major strategic priority for parent Wal-Mart, which already offers services that include credit cards and money transfers.
"Norwich Union is the UK's biggest general insurance player and it will bring us advantages of scale, giving our 11 million weekly shoppers access to Asda price' low price financial services products," he said. Rutley added that it was "crucial" to see how customers reacted before extending its banking offer with other partners, rumoured to include HFC for credit cards.
He said: "It is the first time we have got into the market, and we are benchmarking ourselves against other retail players such as Tesco and Sainsbury, but also mainstream financial services providers. We want to take the hassle out of shopping for financial products."
Motor, home and travel insurance products were launched this week, with pet insurance available later this year. The products are available over the phone or online later in the year, serviced from Asda's headquarters and a Norwich Union call centre.
Publicity for insurance will be focused instore at 40 selected Asda branches. Once Asda has "the marketing right" it would roll out POS into more branches, said Rutley.
If reaction is favourable, Asda hopes to start selling products off the shelf instore.
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Asda claimed it was undercutting rivals, including Tesco, with its first move into financial services with "Asda price" insurance products underwritten by Norwich Union.
Asda director of financial services, David Rutley, said developing a financial services offer was a major strategic priority for parent Wal-Mart, which already offers services that include credit cards and money transfers.
"Norwich Union is the UK's biggest general insurance player and it will bring us advantages of scale, giving our 11 million weekly shoppers access to Asda price' low price financial services products," he said. Rutley added that it was "crucial" to see how customers reacted before extending its banking offer with other partners, rumoured to include HFC for credit cards.
He said: "It is the first time we have got into the market, and we are benchmarking ourselves against other retail players such as Tesco and Sainsbury, but also mainstream financial services providers. We want to take the hassle out of shopping for financial products."
Motor, home and travel insurance products were launched this week, with pet insurance available later this year. The products are available over the phone or online later in the year, serviced from Asda's headquarters and a Norwich Union call centre.
Publicity for insurance will be focused instore at 40 selected Asda branches. Once Asda has "the marketing right" it would roll out POS into more branches, said Rutley.
If reaction is favourable, Asda hopes to start selling products off the shelf instore.
{{NEWS }}
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