Internet Operations
Asda launched its online retailer service in 1998, but from the start had overestimated demand. It began with a dedicated depot based in Croydon, South London, but this was closed with a number of redundancies shortly after, as sales were lower than expected. It continued the online service, but emulated the Tesco store-based model instead.
Since the roll-out of the grocery delivery operation Asda has moved into non-food online retailing. Current categories include entertainment, contact lenses, furniture, travel, electricals, gifts, mobile phones and flowers, with more categories being launched each year.
In May 2004 it announced a major expansion of the service which would increase coverage from 30% of the UK population to 35%.
In January 2007, Asda launched www.asda-electricals.co.uk to compete with Tesco's highly successful Tesco Direct. In October 2008, Asda launched direct.asda.com superseding its electricals website and also selling several additional product categories such as homeware, garden and toys.
This new venture is part of its online business Asda Direct, with more than 3,000 domestic and home electrical products. Asda's long term ambition to capture 5% of the £1.9 billion market by 2012.
Recently, the company sold its Durabrand 1005 DVD player for only £9, the UK's lowest priced DVD player, which sold out in just two days from start of the promotion.
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Famous quotes containing the word operations:
“There is a patent office at the seat of government of the universe, whose managers are as much interested in the dispersion of seeds as anybody at Washington can be, and their operations are infinitely more extensive and regular.”
—Henry David Thoreau (1817–1862)