Connect with us

Business

Asda’s woes deepen after co-owner of UK’s third-largest supermarket steps back

Published

on

Asda’s co-owner Mohsin Issa was adamant in December that recruiting a chief executive to run the UK’s third-largest supermarket wasn’t “difficult” — despite having spent 18 months looking for one.

Until a permanent candidate could be found, he was the “best qualified” for the top job, he told MPs during a hearing about the involvement of private equity in the retail sector, as the chain sought to disentangle its IT systems from those of former owner Walmart. Issa, alongside brother Zuber and PE firm TDR Capital, had bought Asda in a £6.8bn leveraged buyout in 2020. 

Nine months on, Asda said on Wednesday that Mohsin would step down from running the supermarket, with Lord Stuart Rose, Asda’s chair, and Rob Hattrell, an executive at TDR, its majority owner, taking over day-to-day responsibility for leading the chain, as the search for a permanent chief executive heads past the two-year mark.

The chain is grappling with high debt and shrinking sales. Asda’s market share has fallen from 14.8 per cent when the takeover completed in February 2021 to 12.6 per cent in August, according to data from Kantar.

Advertisement

Meanwhile German discounters Aldi and Lidl have gained ground, as has Tesco. Net debt at the end of June was £3.9bn although the business “remains fully committed to further deleveraging”, Asda said, having refinanced more than £3.2bn of debt in May. 

“Asda just seems to be lagging well behind the curve in terms of the competition, the proposition, the way that they [owners] evolved the business, the needs of their consumers, and that’s playing through in market share,” said Richard Lim, chief executive of Retail Economics. 

Issa, who will remain a non-executive director at Leeds-based Asda, will instead focus on running EG Group, the petrol station business he founded with his brother Zuber in Blackburn in 2001, as the latter steps back from both businesses.

In June, Zuber agreed to sell his holding in Asda to TDR Capital, giving the buyout firm a 67.5 per cent stake, and on October 31, he is expected to step down from being co-chief executive at EG Group, becoming a non-executive director. Zuber will separately lead a fledgling UK petrol forecourt and convenience retail business, carved out of some EG assets.

Advertisement

Earlier this year, Mohsin dismissed speculation about a rift with Zuber, saying in a BBC interview, that they got on “exceptionally well”, although the pair have since sought to neaten the division of assets between them.

There has been intense public and political scrutiny of the brothers since their acquisition of Asda. In February, Mohsin confirmed he was in a relationship with Victoria Price, a former tax partner who left EY shortly after the Big Four firm resigned as Asda’s auditor.

On Wednesday, Mohsin added: “We embarked on this exciting enterprise journey together knowing no boundaries, moving from one site in Bury to the world class global convenience business that it is today. I look forward to continuing to work with my brother and receiving his strategic counsel as a fellow shareholder [ . . . ] ” 

Shoppers buy groceries in an Asda supermarket in Manchester
Under Mohsin, Asda, which was known for its ‘big box’ stores, has sought to expand into the convenience store format © Christopher Furlong/Getty Images

His exit from Asda will be the latest change at the top amid a series of departures under its new owners. “There have been so many changes in the leadership and senior management team of Asda over the past few years, and it seems that they’ve really struggled to recruit the right talent and they’ve lost a lot of people who have been in the business for many years, and who left with a lot of knowledge,” said Lim. 

Asda has highlighted a string of hires from other rivals such as Matt Heslop, currently chief operating officer at Lidl who will join shortly, finance chief Michael Gleeson, who previously worked at Morrisons in similar roles, and chief commercial officer for food Kris Comerford, who joined from Tesco in 2022. 

Advertisement

One headhunter with knowledge of the CEO hunt process said that several candidates had so far been put off by a perceived lack of autonomy, with Mohsin still involved in the business. Asda declined to comment.

Under Mohsin, the grocery chain, known for its “big box” stores, has sought to expand into the convenience store format largely through acquisitions, going from 623 to 1,200 outlets and food-to-go sites as well as standalone Asda Express convenience stores.

It has been injecting fresh funds into making sure products are available, making stores cleaner and hiring more checkout staff after Lord Rose admitted it had neglected customers and focused too much on the £800mn IT project. It has also launched a loyalty scheme from scratch which the company says now has more than 6mn active customers.

Rose said last month that he was “embarrassed” by Asda’s decline under his watch, and that Issa should step back from day-to-day operations. The chain needed “a different animal’, he told the Daily Telegraph newspaper.

Advertisement

Judith McKenna, former Walmart International chief who oversaw the sale of the chain in 2020, said Asda was “clearly not where it needs to be”, citing “distraction” as a possible reason for that. “Through circumstances, economy, distraction, whatever that has been, it is clearly not where it needs to be,” she said at the FT’s Future of Retail summit in London on Tuesday. 

Earlier this month Giles Hurley, the boss of Aldi’s UK operations, said it “hasn’t even crossed our minds” that it could be on course to overtake Asda as the country’s third-largest chain, having leapfrogged Morrisons in September 2022, but he admitted that “of course, market share is interesting and of course we look at it as a business”. 

Asda must complete the IT overhaul by the end of the year or it risks facing fees from Walmart, which retains a 10 per cent stake.

“I am the first to never [say from the] sideline what you should do or you shouldn’t do but I hope they get very quickly to the end of this [IT] transformation,” said McKenna, who retired last year. She had previously been both chief operating officer and chief financial officer at Asda before moving to Walmart. “It is way harder to get out of systems than it is to get into them.” 

Advertisement

She added: “It is a good business and [it has] great colleagues . . . Ultimately I wish them well. But does it [Asda’s travails] hurt my heart a little? Yes, it does.”

Additional reporting Emily Herbert in London

Source link

Advertisement
Continue Reading
Advertisement
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Business

Is Starbucks app down for US customers trying to access Holiday Menu 2024?- The Week

Published

on

Is Starbucks app down for US customers trying to access Holiday Menu 2024?- The Week

Several Starbucks customers in the United States complained that they were unable to place orders through its mobile app on Thursday — the first day of the coffee chain’s holiday menu. However, Starbucks later claimed that the issue was resolved.

From ordering beverages to buying reusable cups and merchandise, multiple services offered by the Starbucks app were unavailable, US citizens claimed on social media. They were asked to place their order at a Starbucks store, US media reports quoted people as claiming. “We’re sorry for the inconvenience,” the message displayed by the app was headlined. “Mobile ordering is currently unavailable. Please visit one of our stores and place your order with a barista,” it further said. 

Confirming the glitch, Starbucks Care’s official handle replied to a customer stating, “we are currently experiencing a temporary outage of the order ahead and pay feature in our app. We continue to welcome and serve customers in our drive-thrus and stores.” However, the coffee chain hasn’t elaborated on the cause, nature and scale of the issue. 

The response was given to a user called Chritine D, who asked, “is the app down? first day of Christmas at Bucks and my app with ALL my stars won’t work?” 

Advertisement

According to a Business Insider news report, a platform tracking website outages found several users reporting problems with the Starbucks app around 8 a.m. local time. It coincided with the time most Americans tried to order their morning coffee. The media house, in an online article, mentioned that its staff in  Washington, DC, and New York City offices tried to place orders using the app but failed.

As a part of the ‘Starbucks Holiday Menu 2024’, the company is offering Cran-Merry Orange Lemonade Refreshe, Cran-Merry Orange Refresher, Peppermint Mocha, Iced Gingerbread Oatmilk Chai and Turkey Sage Danish among other items. CLICK HERE TO ACCESS FULL MENU

Source link

Advertisement
Continue Reading

Business

The world of legal ‘cannabis’ and how it is getting popular in India- The Week

Published

on

The world of legal ‘cannabis’ and how it is getting popular in India- The Week

Welcome to the world of Cannabidiol or CBD, derived from plants like Cannabis Sativa and Cannabis Indica that we better know by names ranging from marijuana and hemp, or simply, by its variant, ganja.

But CBD refers to the medicinal products derived from the plant. Administered as oils, tinctures or even as a neat capsule, CBD is a bonafide medicine whose popularity has been on the upswing in India in recent times — so much so that that there are over 20 CBD-focused medicine manufacturers in the country, with top players like Bombay Hemp Company, Awshad and Indian Hemp Organics (IHO). 

“With more people seeking natural remedies for conditions like pain, anxiety, and insomnia, demand for safe, effective CBD products is rising,” said Richa, co-founder of Awshad. 

Richa ventured into cannabis-based medicines and pain relievers after witnessing the agony and struggle of her beloved pet dog Champ, as he went through a slow, agonising death due to cancer.

Advertisement

“Witnessing his pain inspired me to explore plant-based wellness, leading me to co-found Awshad with Shivam in 2021,” Richa said.

CBD is used for pain, anxiety, insomnia and inflammation, coming in various forms, ranging from full-spectrum of the tetrahydrocannabinol (the main psychotropic part of the cannabis plant), broad spectrum and isolate forms, the levels strictly regulated for medical formulations.

Of course, let’s put any mistaken notion of morality and civics to rest, right away. Cannabis and its various forms of psychoactive substances have been culturally and an intrinsic part of Indian history and social life for centuries, ranging from the mythologies down to lifestyles and festive observations. They were regulated only in the mid-1980s in the country with the draconian Narcotic Drugs and Psychotropic Substances (Prevention) Act 1985, commonly known as NDPS. The act came mainly after major pressure from the Reagan-era USA, which was then struggling under an influx of cocaine and other chemical drugs easily smuggled in from Latin America. 

More worryingly, such trade was also increasingly seen to be financing terrorism and the mafia in many parts of the world. While nations of the world cracked down, a natural Indian healer ended up as the big casualty.

Advertisement

However, the CBD formulation we are talking about is completely legal, a Schedule E-1 drug that is regulated by the Ministry of AYUSH as well as state excise departments. The products are officially allowed on prescriptions and for therapeutic use only, with the cannabis sourced from government-approved farms in Madhya Pradesh, Uttarakhand and Uttar Pradesh, which are strictly regulated and monitored.

“The scope of medical cannabis in India is growing immensely as awareness of its therapeutic benefits expands with our efforts and other companies on educating customers,” added Richa. 

In recent years, recreational cannabis, too, is getting legalised by an increasing number of countries, including Canada, Thailand, many states in the US as well as many countries in Europe. A discussion paper asking comments whether to legalise cannabis and the like is pending with the union government. An expert committee in Himachal Pradesh last year recommended that cannabis be legalised in the state, to generate revenue and create employment.

Advertisement

Source link

Continue Reading

Travel

The Turkish holiday hotspot with turtles, mud baths visited by Cleopatra and stunning all-inclusive hotel

Published

on

We spent a week in Sarigerme, on Turkey’s Dalaman coast

WADING out of the sea, my daughter Riley is breathless with excitement as she tells me a huge turtle has just floated under her as she was swimming.

Bearing in mind she is 13 and rarely excited by anything these days, it’s clearly an impressive sight.

We spent a week in Sarigerme, on Turkey’s Dalaman coast

7

We spent a week in Sarigerme, on Turkey’s Dalaman coast
Look out for Loggerheads at turtle beach

7

Advertisement
Look out for Loggerheads at turtle beach

That is just one of many things that will wow us on our week in Sarigerme, on Turkey’s Dalaman coast.

It’s been almost three decades since I last visited Turkey – on a girls’ holiday to tourist hot spot Marmaris.

This time, I’ve picked the four-star Tui Blue Tropical, just 20 minutes’ drive from Dalaman airport, for a getaway with my husband Alistair and our twins Riley and Harris.

Here, a marble-clad lobby leads out to the pool area, where you’ll find low-rise buildings housing 500 rooms.

Advertisement

Our junior suite is close to the pool, but not too close to be noisy.

There’s one bedroom with a king-size bed, while two sofas in the living area turn into beds come night.

A spacious balcony overlooks tranquil gardens, while the bathroom comes with a power shower, bathrobes and slippers.

All you can eat

We soon establish that people are up early to get the best sunbeds, but manage to nab a few close to the bustling restaurant by the main pool (there are seven to choose from) and spend the afternoon riding the two water slides and eating vanilla and strawberry ice cream.

Advertisement

At breakfast, we enjoy everything from freshly cooked waffles and pancakes to sausages, bacon and eggs in the main restaurant.

For lunch, we opt for the pool eatery, feasting on a delicious assortment of fresh salads and fish straight from the grill, and it feels super-healthy (other than the glass of white to wash it down).

Discover Urla: Turkey’s Hidden Gem for Wine and Cuisine

Anyone with children knows the joy of an all-inclusive – especially with teens who never seem to stop eating.

My two tuck into pizza, pasta, grilled chicken and salad, accompanied by smoothies.

Advertisement

In the evening, it’s back to the buffet, with its variety of themed nights, including Chinese and Italian.

But the Turkish kebabs, houmous, meatballs and delicious breads are all a hit, and the huge selection of Insta-worthy desserts on offer are also a winner.

After dinner, the resort is always buzzing with entertainment – from live music to acrobats and discos, as well as several Turkish-bazaar-style shops to explore.

The kids pick up cheap football shirts, while a Louis Vuitton Neverfull dupe costs me £24, as opposed to the designer handbag price of £1.4k, and it’s pretty hard to tell the difference!

Advertisement

Our favourite place by far, though, is the pristine stretch of sandy beach, with its clear-blue waters.

The nearby beach bar plays cool tunes and serves up a cocktail of the day at 4.30pm to sip from our loungers.

Fresh seafood hits the spot in Sarigerme

7

Fresh seafood hits the spot in Sarigerme
Alistair, Riley, Sinead and Harris get stuck in at the mud baths

7

Advertisement
Alistair, Riley, Sinead and Harris get stuck in at the mud baths

Some afternoons, I even manage a much-needed exercise class, such as a HIIT and yoga, while morning football goes down a treat with Harris.

There is also daily beach volleyball with the Tui reps, which proves very competitive!

Water activities include parasailing and banana boats – we brave the inflatable and it’s an experience to remember.

A river runs through it

The hotel’s beachfront is not the only place to spot turtles.

Advertisement

Midweek, we take an excursion down the River Dalyan on an eco boat, which costs £49 for adults, £28 for children.

It’s a brilliant way to see a completely different side of Turkey, taking in luscious vegetation, beautiful homes and luxe hotels along the riverbank.

Our first destination is the Dalyan Mud Baths, which claim to have anti-ageing properties and is said to have been visited by Cleopatra to maintain her beauty.

The smell of sulphur hits as soon as we pull up, and it takes some persuasion to get Riley and Harris into the mud pool, where we all cover ourselves in what seems very similar to potent green slime.

Advertisement

After we’ve let the mud dry in the sun, it’s time for a hose down, before a dip in a warm sulphur pool, followed by a cleansing shower.

It’s all great fun, though my bikini has never been the same again and I’m not quite convinced I look any younger!

Back on the boat, we spot a few ancient rock tombs carved into the cliffs by the Lycian civilisation, before stopping at Iztuzu Beach, nicknamed Turtle Beach after the endangered loggerhead turtles that nest here.

We feed several that are swimming around the boats with crab claws, before a spot of sunbathing and a refreshing swim.

Advertisement

Later that evening, when we’ve made sure we are totally mud-free, we walk the 2km into the village of Sarigerme and wander the winding streets.

In quaint little eatery Dorya, we feast on fresh calamari, £3, fillet of sea bass, £7.60, and a huge salad, £1.80, before popping into a few of the village shops to admire the colourful crockery.

I only wish I could fit some in my suitcase!

Before we know it, it’s time to fly home and say goodbye to one of the loveliest places we’ve ever been.

Advertisement
  • Seven nights for a family of four at Tui Blue Tropical cost from £879 per person (Tui.co.uk).
Drift down the Dalyan River

7

Drift down the Dalyan River
Find all you need from bliss to buffets at Tui Blue Tropical

7

Find all you need from bliss to buffets at Tui Blue Tropical
Rock out at the cliffside Lycian tombs

7

Rock out at the cliffside Lycian tombs

Source link

Advertisement
Continue Reading

Travel

I visited Ireland’s ‘ancient capital’ an hour from London – with seafront pubs and Viking experiences

Published

on

At Trim Castle a guided tour starts at just £2.50 and it is free to explore the grounds

I FEEL about six years old, hands and knees covered in thick mud, as I emerge from a tunnel only big enough to crawl through, first used by Christian settlers more than 1,200 years ago to escape Viking raids.

I’m at Knowth, the world’s largest passage tomb, just 20 minutes north of Dublin in Ireland’s Boyne Valley.

At Trim Castle a guided tour starts at just £2.50 and it is free to explore the grounds

4

At Trim Castle a guided tour starts at just £2.50 and it is free to explore the groundsCredit: Alamy
The ancient sites of Newgrange, Knowth and Howth were built 5,000 years ago for the burial of around half a dozen 'god-like' people

4

Advertisement
The ancient sites of Newgrange, Knowth and Howth were built 5,000 years ago for the burial of around half a dozen ‘god-like’ peopleCredit: Supplied
Plenty to sea at Annagassan Harbour

4

Plenty to sea at Annagassan HarbourCredit: Meath County Council
Mel Gibson in Braveheart

4

Mel Gibson in BraveheartCredit: Alamy

The ancient sites of Newgrange, Knowth and Howth were built 5,000 years ago for the burial of around half a dozen “god-like” people.

Our tour guide explains that the monuments, older than the Egyptian pyramids and Stonehenge, were built like giant lasagnes, with huge stones piled one on top of the other.

Advertisement

Known as the birthplace of Ireland’s ancient east, the Boyne Valley is ideal for exploring Ireland’s history and tradition — without travelling too far from Dublin Airport.

After my ancient sites tour, I headed to Causey Farm in Fordstown, which offers groups of tourists the chance to “be Irish for the day” for as little as £12pp.

Arriving to the homely smell of a wood-burning stove, I’m shown how to make Irish soda bread, before moving on to a lesson on the traditional Irish drum, known as a bodhrán (pronounced bow-ran).

Next comes a tour of the animals — I get to meet a fluffy, ten-week-old border collie that melts my heart, as well as a slightly less charming (actually terrifying) pig, some alpacas and rabbits.

Advertisement

The visit finishes with farmer Matt Murtagh demonstrating how his sheepdog Crick effortlessly corrals a herd of sheep wherever he demands, at one point playfully running the herd inches from me.

The Boyne Valley is also ripe with history — it’s the setting for the 1995 Mel Gibson film Braveheart and where the Battle of the Boyne was fought between deposed King James II and the newly crowned King William III in 1690.

At Trim Castle, a guided tour starts at just £2.50 and it is free to explore the grounds.

We get to climb right to the roof, stopping to see key rooms along the way, with walls covered in 18th century graffiti — a John Gibney marked his name in 1760.

Advertisement
Aer Lingus launch new direct flight to popular stateside destination from Dublin Airport

We’re then shown the chapel where the priests’ ornate wash basin can still be seen, and there’s even a medieval toilet (read hole in the floor) — lucky us!

If history isn’t your thing, Park Beo, an adventure base in Wilkinstown, offers a “gateway” to the Lakelands Greenway — a cycle path stretching 18 miles along an old railway line from Navan to Kingscourt — as well as shops selling everything from cheese toasties to cherry bakewells produced by a local.

With a huge car park, it acts as space to service visitors who want to head out for a walk with a fresh takeaway coffee.

There’s also a bi- cycle hire office with bikes and e-bikes to rent from £8.30 an hour.

Advertisement

If you prefer a seafront amble, this region boasts miles of impressive coastline.

The village of Annagassan, a former Viking settlement, has breathtaking coastal views, with a dramatic tide perfect for razor clams.

Seafood banquet

You can sample them fresh at local joint, The Glyde Inn, a charming 18th-century pub with roaring fires and an award-winning restaurant with panoramic sea views.

For something extra special, the family-run Irish National Pub of the Year award winner offers a dinner-and-show style “Viking VR Experience” for £50pp.

Advertisement

Each ticket gets you a pint of Irish Pale Ale, brewed down the road, as well as a ten-minute VR show of what the area would have looked like at the time of the Vikings in 841 AD, when Bjorn the Great was in charge of the settlement there.

Then comes the main event, a seafood banquet of whatever has been caught that day.

I was served Carlingford oysters and crab and butter-coated razor clams to start, followed by a main course of black sole with wilted sea beech foraged just outside the restaurant’s patio doors, served alongside a creamy sea radish mash.

Try to book for late afternoon, as from 5.30pm to 6.30pm each day a live band plays traditional music.

Advertisement

It’s the perfect ending to any Irish adventure.

GO: BOYNE VALLEY

GETTING THERE: Aer Lingus offers nine daily flights from Heathrow to Dublin at £59.99 each way.

See aerlingus.com.

Advertisement

STAYING THERE: Double rooms at the 4H Trim Castle Hotel in Meath from £100 per night.

See trimcastle.com.

The Headfort Arms Hotel in Kells has rooms from £82 per night.

See headfortarms.ie.

Advertisement

MORE INFO: See discoverboynevalley.ie.

Source link

Continue Reading

Travel

Eurowings adds access to four new lounges

Published

on

Eurowings adds access to four new lounges

BIZclass passengers and HON Circle and Senator status members will now have access to lounges in Palma de Mallorca, Dubai, Cairo and Jeddah

Continue reading Eurowings adds access to four new lounges at Business Traveller.

Source link

Advertisement
Continue Reading

Business

Sunday Number 66: Numbers Puzzle

Published

on

Sunday Number 66: Numbers Puzzle

Sunday Number 66: Numbers Puzzle

Source link

Continue Reading

Trending

Copyright © 2024 WordupNews.com