Sainsbury's Disgruntled about ASA Ruling but Pleased about Latest Quarter Results

The Advertising Standards Authority (ASA) is under fresh fire from Sainsbury's Chief Executive Justin King.

Speaking at the unveiling of first-half results earlier today (November 13), King said the ASA's decision to reject Sainsbury's complaint that ads for rival Tesco's Price Promise scheme were unfair because the watchdog only assessed the accuracy of their price claims.

King stated: "It is right we challenge. It is wrong the provenance, quality and country of origin are ignored by the ASA [when it rules on ad complaints]."

He further cited a survey Sainsbury's commissioned which revealed that 84% of customers believe the ASA is wrong not to consider such factors.

Nevertheless, King trumpeted the role their "values-driven" approach has played in achieving a strong first-half performance. During this period, Sainsbury's own-brand sales grew at twice the rate of branded goods and its premium Taste the Difference range grew by double-digits, representing a 15% increase in online grocery sales.

In comparison, their rivals' weren't so lucky - Tesco recently reported flat sales for its latest quarter, while Morrisons reported a decrease in quarterly sales last week.

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