Exclusive Camilla Palmer One year on, the "marriage" between Asda and Wal-Mart is working due to collaboration on marketing, IT, personnel and supply chain initiatives between the two companies. Speaking exclusively to The Grocer at the Wal-Mart annual shareholders' meeting in Bentonville, USA, Asda marketing director Richard Baker said the company's expertise in fresh food retailing was proving crucial to the continuing trial of Wal-Mart's latest format ­ the Neighbourhood store. "It looked at our expertise in fresh food and was impressed ­ Wal-Mart sees Asda is providing the knowledge to give it another step forward in its development," said Baker. "And Wal-Mart has taught us loads about being a good Every Day Low Price retailer," he added. Although Asda is rolling out two established Wal-Mart own label ranges ­ Sam's Choice and Great Value (see page 8) ­ he said any steps to integrate marketing strategies would not include the ditching of the Asda brand. "Asda will strive to be a better Asda rather than an extension of Wal-Mart." He said re-educating consumers to a new fascia would be difficult: "The Asda name is strong and popular ­ we don't want to give up anything valuable." Baker confirmed that Wal-Mart's Retail Link system, which enables suppliers to get detailed store by store sales information, would be up and running by October. "If Wal-Mart is a juggernaut then Asda is a speedboat ­ with Retail Link, we'll be able to work very quickly on rolling out new initiatives," he said, although he refused to comment further on what they would be. Wal-Mart Europe ceo Allan Leighton said Wal-Mart's philosophy had "matched perfectly" the culture within Asda stores. "Friendly colleagues motivated to sell have doubled our sales in the past five years," he said, adding the share price had followed suit. And he said involving staff through a suggestion scheme had led to 80,000 ideas to improve the business. "Involving the people is key ­ 80% own Wal-Mart shares." Wal-Mart vice-chairman Don Soderquist welcomed Asda employees to Wal-Mart's "family". "Competitors don't get the power of our people, but they're what got us our $190bn sales this year," he said. {{NEWS }}

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