OK, would that image be router specific, not to be used on other routers of the same make model?
Currently I have an edited tar backup to remove things like mac addresses, and use that to restore multiple routers.
The image would be for any router of the same make/model.
If you had a factory reset router, you would still need to restore the config. The images don't have the config baked in. ASU uses sysupgrade to upgrade using the sysupgrade image it generates.
OK gotscha. So the process would be, 1) install openwrt on fresh router 2) install sysupgrade 3) restory sysupgrade image 4) restore configs ?
You don't need to do step 2. Just sysupgrade the image and restore the config 
The ASU image is just a regular sysupgrade image, it doesn't need ASU to restore it.
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I'm not given the option to build/download an image. Only search for update, which tells my I am up to date. Do I need to have a previous version of OpenWrt in order to be given the option to create a sysupgrade image?
Goto configuration, tick advanced, save and apply. You should be able to select search for firmware upgrade and it'll allow you to request a firmware image. You can add other packages on that screen to include in the image but by default it will have the ones you've installed on the device.
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Great, thanks, much easier than the way I'd done it previously.
I feel like it should come pre installed with openwrt, it makes upgrading so much easier!
Although I think there are some pitfalls, you could put too many packages and there might but be enough space to flash it. Not sure if it handles this scenario.