Battle for supermarket custom hots up

Jun 20 2007 By Catherine Hendrick & Jon Griffin, Birmingham Mail

STORE wars are set to break out in Birmingham after supermarket giant Asda revealed it is targeting sites in the south of the city - including Longbridge.

The American-owned giant is eyeing up options as it looks to compete with rivals already established in the area - and the famous former car factory is on its radar.

The company currently owns 11 supermarkets to the north of the city centre, four of them within Birmingham, employing more than 3,545 people.

Sainsbury's is currently the dominant supermarket in south Birmingham with seven major stores including flagship outlets in Maypole and Northfield.

Morrisons is the second largest retailer with four stores at Rubery, Small Heath and two in Solihull.

Tesco has supermarkets in Sheldon and Quinton while Midlands Co-op has a super-store in Stirchley.

If Asda muscles into Long-bridge, development experts hope the high-profile name would help kick-start the rise from the ashes of the former car factory.

A new era for the world-famous industrial site has already begun with the launch of The Innovation Centre, part of the first phase of the 40-acre Longbridge technology park developed by Quinton-based St Modwen Properties in partner-ship with Advantage West Midlands.

The technology park marks the first of a range of major new developments planned by St Modwen for the 340-acre former car works site, with hopes for up to 10,000 jobs on completion of the mixed-use plans.

An Asda spokeswoman said: "Asda is currently examining whether south Birmingham is under-represented in terms of food retail provision and what

opportunities there may be in that area to work alongside and enhance the existing retail offer."

The news emerged as Asda announced that it is the first major retailer to become a patron of Birmingham Chamber of Commerce.

The company, which is owned by American Wal-Mart, said the decision was aimed at emphasising its "commitment to the city".

"As a patron member, Asda is looking forward to working with the Birmingham chamber."

"The chamber's mission to build a better and brighter Birmingham is one which Asda embraces. Our existing store network is already actively involved in the region and we will look at how we can bring further benefit Birmingham."