Asda's market position has been in a downward spiral since the billionaire debt-driven takeover of the Issa brothers. Photo: John Super/Alamy Stock Photo
The billionaire Issa brothers have turned to artificial intelligence (AI) to improve decision-making on Asda's board of directors as they seek to reverse declining sales at the struggling supermarket.
< The retail giant has recruited tech experts to London startup Harley to develop artificial intelligence tools to help Asda executives make “faster, more informed decisions.”
Executives will be able to use technology to ask a range of questions during board meetings, such as how the weather has affected sales at a particular store.
Harley said it provided data on stock in Asda stores, meaning that its artificial intelligence system can also show what happens to sales if stock of certain items runs low.
In an announcement on Tuesday, Haley said the artificial intelligence tool would initially be focused on supporting “executive decisions in high-pressure situations such as boardroom meetings.”
Alex Banks, the start-up's chief executive, said the “generative AI” tools would give Asda a competitive advantage over rivals.
It comes amid growing pressure on supermarkets to make changes to increase their shrinking market share.
Data from industry group NIQ last week showed supermarket sales fell 2.7% in the 12 weeks to May 18 compared with the same period a year earlier.
Asda was the only grocer to record a fall in sales in the period, meaning its market share fell to 12.4%, down from 13.3% a year earlier.
Asda's market share has been on a downward spiral since the debt-fuelled takeover by the billionaire Issa brothers. and TDR Capital in 2021.
At the time of the £6.8bn deal, it had a 14.8% share of the grocery market.
In recent years, Asda has been led by Mohsin Issa, one of the company's co-owners.
However, earlier this year he said he was preparing to step back from day-to-day running of the business.
City headhunters have been hired to select his replacement, although no successor has yet been found.
Michael Gleeson, Asda's chief financial officer, said in April: “The search is ongoing. It's not just a UK search. We will make sure we get the right person for the job.”
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