Many years later, Tesco and Sainsbury’s will remember the morning of Aldi’s first opened in the UK.
Editor’s note: When Aldi opened in the UK, there is no attention to other large supermarkets, but now, this discount supermarket from Germany has changed the entire British supermarket profit model and the entire people. Shopping method. Although there is a financial crisis and the UK as the land of rich countries, Aldi’s own strength is also not ignored. This article author xan rice, original title The Aldi Effect: How One Discount Supermarket Transformed The Way Britain Shops.
Picture: Christophe Gowans / Guardian Design
A Thursday morning in April 1990, in the Stechford suburbs of Birmingham, a strange grocery chain opened in the UK. There is only 600 basic items on its shelf – less than you can find in the local street-angle store – and the price is very cheap. Many products, including butter, tea and ketchup, only provide a brand that is usually known. At that time, the British food grocery industry was dominated by Tesco and Sainsbury’s, and customers have become accustomed to thousands of products and brands on their shelves, as well as cooked food and fresh fruit vegetables. This seems that the foreground of this grocery chain seems to be worried. .
The managers of this new store named Aldi even have no expensive ads to advertise their advertisements in the store, and even a brand that is about to open. This 185 square meters of shops hanging banners on the ceiling, which are listed above the price of the items stacked on the wooden tray or exhibit in the carton opened on the metal shelves. Pay 1 pound of deposit, you can borrow a trolley, but there is no basket. The cashier has been trained and can remember the price of each item in the store. Their speed is fast, let shoppers experience some people say “Aldi Pan” – I am worried that my packaging goods are not fast enough. This store accepts cash, but does not accept check or bank card. Customers who want to pay detailed receipts have to be disappointed.
Information about this store owner is as scarce as the decoration of this store. Most news reports only mentioned that the company belongs to a pair of frugated German brothers, Karl Albrecht and Theo Albrecht, they all participated in World War II, and after the kidnapping, they changed because of kidnapping It is more than the world. The Albrecht Brothers listened to the German story. Some legend: the brothers divided the country into different business areas and then control half of the market in each region.
But most people believe that they will encounter Waterloo in the UK. In the second year, a reporter of the Times visited the Aldi store of Birmingham. He believed in this store to experience the experience of “Shopping in the 1990s Grocery Shop”. “I want to find the butter fruit or kiwi is completely “
The UK’s supermarket giant is proud of its 7% profit margin. “We welcome the arrival of Aldi and other companies,” David Malpas, general manager of Tesco, “We can operate our market very well, they can also operate them.”
He seems to be right for a long time. In 1999, when Walmart acquired the British third-largest food groceries, the British “Financial Times” pointed out that ALDI “implied” in the UK, because consumers are sensitive to prices is not as high as Americans or European continents. . As we all know, Germany’s consumers pushed this idea to extreme: one of the largest electronic retailers in the country even “thrugs is Sexy” as a marketing slogan. By 2009 – AALDI’s market share is only 2%, it is similar to its German competitors and mimic LIDL.
But now, Tesco and Sainsbury’s self-blown self-discipline is like a business arrogant classic example. When a large supermarket is not a threat, the German chain supermarket quietly subverts this industry. The data of the company Kantar WorldPanel shows that nearly two-thirds families are now at least every 12 weeks will visit ALDI or LIDL branches.
In 2017, Aldi beyond Co-OP, became the Fifth-Big Retailer in the UK; now, the company’s market share is 7.5%, close to ranking fourth Morrisons (with 10.6% market share). LIDL has 5.3% of shares and exceeds Waitrose. More importantly, these two discount stores are still growing rapidly – an average of a new store every week, and is often in a richer town.
As Aldi British Corporate CEO PAUL Foley said, by attracting customers, and “the profitability is 2-3% from this industry)”, the two German companies have forced the “four” supermarkets to take severe. measure. Morrisons had closed many stores and fired a lot of employees, while Sainsbury’s and ASDA had reduced costs in all, prevent the market share, announced a proposed merge plan of 1.3 billion pounds in May. It is currently. British competition regulators may block this plan. At the same time, TESCO cut the product range and acquired a discount wholesaler Booker. In September this year, Tesco even launched its own discount chain Jack ‘s, and recognized that the main threats facing their business came from Aldi and LIDL, but this admitted was too late.
These anti-super and transformations often can go to the headlines, because the supermarket is very important to the British economy: Tesco with more than 300,000 employees is the largest private sector employer in the UK, and the largest of all types of retailers. But we pay close attention to this information and a more sensibility: grocery shop shopping is a close part of our lives. We may not need to buy a book or expensive sneakers, but we really need to eat and drink.
Most people are shopping every week. In general, we have chosen the store for convenience – because a particular store is very close to us, because we know which channel can find a lot of our favorite products and brands – and loyalty. Studies have shown that many of us choose grocery stores because we look at our status. At the beginning of 2000, before the rise of Aldi, Peter Jackson, a professor of UNIVERSITY OF sheffield, pointed out that British shoppers seem to be “enabling them to be surrounded by people they like”, and they feel comfortable with them.
But the success of Aldi and LIDL indicates that these old principles are no longer applicable. Aldi has changed our shopping style, and as a family company, it is not affected by the short – term profit pressure of listed competitors.
Aldi successful secret
Today, you will never find avirid and kiwi in Aldi. You will even find a long stick bread, and stored 36 days of Scottish Aberdeen Angus West Cold Steak, these foods attracted customers who may dismiss for discounts. But there is still only one ketchup (45 pence per bottle). Since the beginning of the 1990s, all stock products in ALDI (in the retail industry, in the retail industry, SKU) have doubled, reaching nearly 2,000 pieces, although 25,000 pieces or more of large supermarkets This number is still small. Even if the design of these products makes consumers feel familiar, most of them are private brands specializing in the company. On the chocolate shelf, you will find Aldi’s own “Mars” chocolate rod and “Shi Li” chocolate rod.
The overall feeling of these stores is beautiful, but it is better to say rough. “Which?” Magazine conducted a survey of its favorite supermarket in February this year, the results show that Aldi ranks third in all supermarkets, second only to Waitrose and Marks & Spencer, although in the store appearance, Aldi The score is terrible. The goods still exhibit on the tray, in the plastic panel or cardboard box, or placed, just like a one-time cheap commodity found in the intermediate aisle.
But the magical situation is that Aldi’s famous “intermediate channel” makes customers linger, and even inspire customers’ loyalty. You may go into Aldi to buy coffee, pasta and milk. As a result, we wear a discount on the soldering helmet when you go out, hold an inflatable watermelon or a blanket for horses (even if you don’t have a horse).
Aldi’s pet food picture: Solent News / Rex / Shutterstock
Anyone trying to buy things on Aldi on Saturday afternoon will know that you are still not for the atmosphere or a relaxed shopping experience. The “Aldi Pan” of the cashier is still existed in the electronic age, it is attributed to a simple innovation that allows instant scanning items. All supermarkets of packaging goods have barcodes, and the cashier will position and scan the barcode. But take a closer look at Aldi toilet paper, you will see four barcodes, not one – two long-granted code on both sides of the toilet paper, one on every large plane; a box of butter has three barcodes; A bag of carrots has two – this means that no matter how the cashier is getting up, you can easily scan the code.
For Aldi, panic and hasty is an indispensable part of the shopping experience, and there are two reasons. First of all, when you leave the store, your heartbeat will stabilize, you will be happy to realize that your time is less than in a typical supermarket. The second point, is also the most important point, as described by Aldi’s manager, “excitement when checkout” – your shopping cart is filled with goods, but the flowers are less than you think. This kind of hasty, simple experience makes you realize your province, which is an enjoyment.
“When you leave this store, Aldi hopes that you don’t pay any price for its rough decoration – everything is to reduce its cost,” Since the company’s establishment in the United Kingdom, pay attention to the company’s retail expert Richard Hyman said.
This kind of practice has attracted so many customers – see if you look at the car outside, you know how successful Aldi is in subverting the supermarket industry without changing its business model. Other companies, such as Amazon’s books and Uber taxis, relying on new technologies such as Internet and smart phones as subversive power. Aldi’s technical content is still relatively low: there is no loyalty plan, it is very little known to the personal customers, you can’t buy its goods online. It is done to subvert a thinking mode – about how we look at yourself as a shopper’s inherent wisdom and how we recognize a specific supermarket basis. Aldi’s victory shows that shopping is not shameful in discounts, in fact, it is still satisfied. The British mothers worried that children found Aldi’s food in the lunch box, but now they are pleased to buy Aldi’s disposable diapers. Now, Aldi’s disposable diaper has become a second largest popular brand that is second only to Pampers. Hyman said: “Aldi is very popular among the rich and low-income people.”
Low-key boss and their family
Karl Albrecht said in a secret that he only discussed Aldi’s business model in 1953. He said that the fundamental principle of the company is “narrow product range, low price, and is not divided.” In 1913, his mother Anna opened a small grocery store in the west of Germany, and her husband had emphysema during coal mine. Karl and Theo were born in the early 1920s, before they broke out in World War II, they helped in the store. Karl was injured in the East Line and later captured. Theo has participated in the African African Legion of Lummer, was paid in Italy in 1945.
After the war, the brothers returned to Essen and found that the city has been destroyed by the allies, but the grocery store is intact. They took over their own grocery business and extended it into a network composed of small stores. Due to lack of funds, they only reserve a small amount of staple food, such as pasta and soap, and expand the supply afterwards. But soon, they quickly realized that there is limited cheap, rapidly sold goods, which can reduce their costs and cash flows, they can use these money to invest in the new store. As Aldi Pre-executives, Dieter Brandes and his son NILS are written in their work on the company’s book “Bare Essentials”: “Basically, a new business model is established and the discovery of natural sciences. It is accidentally caused. “
The thrift habit of German developed during the war continued to the war. In the mid-1950s, the brothers decided to use Memphis grocery Piggly Wiggly (and its imitatis Hoggly Woggly, Handy and Handy and Handy) to open the first self-service store in Germany. Customers can pick the goods themselves, speed up the speed of shopping, not by the clerk behind the counter to complete the order.
Although they have close, Albrecht brothers are independent, not on all issues. For example, Theo wants to hoard a cigarette, but Karl thinks this will attract thieves. Therefore, in 1961, when they have 300 stores, they chose to divide the business range of Aldi (Albrecht Discount). Theo is in the north, KARL in the south, and the two parties share all the information other than the profit, and Some suppliers negotiated together, but other aspects are separate, their stores have different product lines and different colors – a yellow and a gray.
Aldi in London Picture: Peter Nicholls / Reuters
This has always kept low-key to cover their success. In December 1971, theo was taken out when preparing to drive home and drive home. At first, the kidnappers did not sure the ordinary man in the dress that did not fit the clothes until he saw his identity certificate file. These people hide him in a wardrobe in Dusseldorf for 17 days. During the $ 7 million of German Mark (at the time of 1.5 million pounds), the ransom bargaining. This money is sent by Essen a bishop, Karl has a cost.
The kidnapper quickly left and was sentenced to 8 years and a half. Only half of the money was recovered, and then later tried to cancel the ransom as a business cost, but did not succeed.
After the media reports he released, he never allows yourself to board the media cover. His ride along different routes every day, while staying at the hotel, he even got the best escape route before entering the room. But theo continues to work for a long time in the office, in order to save money, he even like a trade slave, he will put the pencil to cut the peniptack, and if he thinks that the employee can not need the light, it can be seen very clearly, will put the light of the office. Shut down. Once, he told the Board to pay attention to the thickness of the paper used to copy. External consultants and media interviews are prohibited because he thinks this is unnecessary expense or interference. He believes that abstinence is a virtue.
Karl is more charm than his brother, and there is no brother’s neurotic. He takes time every day. After reading 20 minutes, it is usually a biography and memoir, Churchill is his favorite topic. However, like THEO, his requirements for employees are also very demanding. Aldi managers are expected to continue to improve the company’s processes, which is also used by Japanese manufacturers and is called “kaizen”. Dieter and Nils Brandes pointed out in their work “Bare Essentials”, Aldi adopts improved, lean management structure and on-time inventory management methods – only talented goods only, cutting costs – making it a German ” Corporate with Japanese characteristics.
By early 1970s, the brothers prepared to test their model overseas, first in Europe, then the United States. In 1976, Karl’s company Aldi South opened the first Aldi store in the East Coast of the United States. Three years later, in 1979, Theo’s Aldi North acquired Trader Joe ‘S, which is a California Chain Restaurant, selling cheap cuisine, has a batch of fanatic followers. (The United States is still the only overseas market involved in both companies.)
At the time, Tesco and Sainsbury’s were fighting the price war. But with the development of the 1980s, when large supermarkets realized that they can make more money by expansion, they stopped the price of competition: Instead, they focus on purchasing land and build super shopping malls to encourage customers to consume. In this way, their profit margin has increased. For Aldi, large-scale grocery has recorded profits, plus recently cut corporate taxes, making the UK a very attractive market. Today, Aldi has been completed in the United States, and the senior management can freely respond to the next major challenge. Karl Albrecht decided, it is time to enter the United Kingdom.
Traditional large supermarkets
At first, large-scale supermarkets in the UK did not take care of Aldi’s threat. But they – and their suppliers – will never open the Green light of this German intrusion. In 1990, Aldi opened a store in Stechford, and a few months, I claimed to the Fair Of Fair Trading, claiming that the Quaker ox refused to supply the Aldi, and the beer manufacturer Whitbread is “open” for this discount store. The price of violation is concerned that Aldi accuses that large supermarkets have applied pressure to the supplier.
The company’s third employee in the United Kingdom, from 1999 to 2009, Paul Foley, as CEO, said: “The whole industry hates us. I heard that we are called parasite, leeches and locusts.” The company pulls low prices and profit margins in the new market. “This means that no one will help you: no one is willing to rent a place for you, organize traffic, or sell products to you.”
However, Foley told me that Aldi believes that the final success is “inevitable” because it has all the conditions found in foreign markets. First, large supermarkets dominate the food groceries, there is no large “hard discount” retailer. Second, the main chain store – four major and leading “soft” discount store Kwik Save (its inventory range is larger than Aldi) – has been listed on the Stock Exchange. The best way to fight Aldi is the price cut, but there are very few bosses of listed companies to reduce current profits for long-term strategies – because this will affect their bonuses.
Third, the UK is a wealthy country, Foley said: “In the rich country, the postman and the hedge fund manager’s basic diet is almost the same.” This is important for Aldi or LIDL because they finally want to develop their own products, with Old brand brand competition, rather than let consumers are tempting to replace foods they don’t inventory.
Paul foley, Aldi in the third employee and former chief executive pictures: Lisa Carpente
Fourth, it is also the most important point to measure global standards, the UK is a high-wage economy. This means that labor costs account for a large part of the operating cost of supermarkets. Here, the discount store has a major competitive advantage because their business model – storage of small-scale products, avoids deli and promotion, etc. – Allow them to operate with fewer, more produced employees . (The most important performance indicators of the Aldi Branch are in addition to employee workers.) In Aldi, there is no special cashier station staff, but “all-round” staff, they cleaned up the cashier when they need it, if oil spill They also sweep the floor and bring the goods from the storage room to the workshop. At the same time, the speed of the ALDI supplement shelves is much more faster than other supermarkets. TESCO founder Jack Cohen is sent to the high-end manager’s pinned “Ycdbsoya” – “You can’t sit there”, in Aldi, no employees will sit there.
When entering a new market, Aldi tries to expand this kind of labor cost advantage in a counterpex method: through propaganda it will pay higher salary than other supermarkets to store employees. Today, the salary of Aldi new clerk has reached the industry leader, for 3,0.10 per hour, London employees 10.55 pounds per hour – this is the lowest living wages in London. The graduates admitted by the regional manager project are 44,000 pounds, as well as an Audi A4 car. High salary obviously helps to attract and retain employees, otherwise they may go to a chain store with slow work. But this will also push the whole industry’s wage level, because ALDI’s overall employee cost is lower, this is more affected by competitors.
In the early 1990s, the company focused on the central part of England and the northern region, where the store is less cheap, and the customer is not so rich, so it is not so prosperous, so it is deliberated from London and the southeast. As a private company without shareholders, Karl Albrecht has sufficient patience. RICHARD HYMAN said: “Aldi is ideal for entering a country to invest in, then slowly and steadily building. Playing long line fishing, based on the long run, this is many other companies can’t match.”
A larger competitor is different. Kwik Save finally closed down. TESCO is building an empire consisting of field supermarkets, which replaces Sainsbury’s a leading grocery chain. The profits of the four supermarkets remain health in the 21st century, although they are chasing new income sources: overseas expansion, launch online shopping, banks and mobile services. Aldi and LIDL are still seen as retailers in the niche market, being blocked outside the mainstream market.
Then, in 2008, the environment suddenly changed. Northern Rock was absentized, Lehman Brother (Lehman Brothers) closed, the global economic crisis broke out. The inflation rate rises to more than 5%, the company layoff, family income dramatically. However, large-scale food grocery chain is actually in terms of inflation to maintain sufficient profit margins. “Shore Capital Research Supervisor CLIVE Black” “Consumers need money, but the bosses of the four supermarkets don’t realize this challenge, people are forced to try to discount products.”
For Aldi, this is simply a strategic opportunity period, because it has just been in the UK: it has approximately 400 stores, and has established a network consisting of manufacturers, providing not only low price, but also quality and reasonable products. Black said: “Consumers realize that Aldi is very cheap, but the quality is not as bad as they imagine. The service level is simple and efficient, the store is not too big, and many people shopping there are their neighbors.”
With the slowdown, large supermarkets begin to find other methods to maintain profits – collecting inventory costs to suppliers, and promoting a certain number of sales, this is the standard practice of all large food grocery chains. For example, laundry powder manufacturers can spend hundreds of thousands of pounds to retailers, let them show the show of waslement in the best position – the end of the aisle – there can be ten times. This income from suppliers reduces the cost of selling goods, known as “post profits” – “forefront” comes from selling products to customers – this may mean the difference between overall profits or losses. At that time, TESCO has 24 different ways to make money from the supplier.
Now, large supermarkets applies pressure to suppliers and requires them to increase these additional margins. Since Tesco hopes to increase its costs through stocks, the number of products on its shelves is soared to 90,000 pieces, and the promotion will also increase significantly. The company’s brand advertising business seems to be as much as food grocery services. British consumers have an average of 20 items every time I go to the grocery store, and they are confused about the selection of dazzling and ups and downs. The result is that more and more people began to choose Aldi and LIDL. When the supermarket is aware of the structural transition in the industry, the damage is inevitable.
Communication with ALDI executives
In recent years, Aldi has been working to expand its appeal in the UK consumers. One morning in October, I drive to Staffordshire and talk to Jonathan Neale. NEALE joined ALDI in 2002, now is the general manager of the company’s purchasing department. We met in a flagship store in Tamworth. I have said that I meet in a point in Oxford, but NEALE considers that the store has a narrow aisle and an embarrassing layout, and ultimately we still changed a place. Like Tamworth, the store is brighter, the aisle is also wider, the space of fresh and frozen food is larger, attracting more high-end consumers.
NEALE mentioned some other changes to all stores in order to attract more business: 5 years ago, Aldi launched a shopping basket and began to accept credit cards. Two years later, it launched a series of newspapers and magazines. The company also follows the trend, selling honey, protein rods and other products. It turns out that a caravan-based skin care cream is very successful, brought a lot of free advertisements: “Daily Mail” has a title of “£ 7 of Aldi Moisturizer (almost) and value The moisturizer of 292 pounds is as good. “
NEALE said: “Ten years ago, we have 900 production lines, now there are 1800. This is not because we want to be four major retailers, but because the taste of consumers has changed. We are doing customer needs and costs trade off.”
In the end, the cost is still the most important consideration. In terms of online shopping, the British and Japanese are second, second only to South Korea. But Aldi still does not have a plan to sell food through its website. As is aware of the large supermarket, it is very difficult to make money from online sales, because the profit margins of food groceries are very low, and the delivery cost is so high – but now they cannot reverse the direction without losing the customer. ASDA front boss Andy Clarke said last year, “Sunday Times” said that if you can return to the past, the four major supermarkets will never provide delivery to the door service. “NEALE said:” Online shopping is too cost-effective, why do you want 90 % Of customers subsidized 10% free shipping to the door? “
Cheese pictures on Saldi shelves: Peter Summers / Reuters
When we walked through the aisle, several familiar brands stood out, such as MARMITE and Gao Du Jie toothpaste. NEALE said that no one has successfully launched a self-branded yeast extract product. “We tried a self-branded toothpaste, but market data showed, or a well-known toothpaste brand.”
You can also buy Nutella and Coca-Cola, although you will find Aldi’s own chocolate nutoka and Coca-Cola, the price is much lower. All supermarkets have their own private brands: not made by themselves, but made by the manufacturer for them. But Aldi has played this point: from shaving cream to dark chocolate and freezing pizza, more than 90% of Aldi sales is self-branded. Some suppliers from only producing their own brand goods, they may sell these items to several different supermarkets. Other products are also from the company’s companies, occasionally there will be errors, such as Aldi’s customers discover a pack of hula holes in a multi-bag in the discount shop snackrite hol. This can always become news and give Aldi free publicity.
Most of stocks are self-owned brands that make the company to order a large number of single products in their own specifications in their own specifications. Take ketchup as an example, if a large supermarket order ketchup, there may be three or more suppliers, each supplier has several different packaging sizes and formulations, such as pure ketchup, sugar salt tomato sauce and Organic tomato sauce. Aldi’s entire ketchup orders come from a manufacturer, which can always maintain the same ketchup, and there is no marketing cost.
Most supermarket buyers are looking for suppliers who can keep the shelf inventory all year round. Because this part of the goods are one-time, Aldi can be placed in a large number of orders under the distribution center across a certain day. Its buyers pay attention to the market trend, then look for overcapacity or excess manufacturers, from champagne to knitted wool and bicycle accessories.
From fresh fruit to potato chips, all products of Aldi are very low, which makes people began questioning “Where are we stealing and reducing”, Neale said. The answer to this is that we have no stealing. ALDI has a good reputation in the UK supplier. These suppliers are often treated by large supermarkets, and they face the pressure on the payment of margins, and the payment conditions are also slow. But the company has also been criticized for its global supply chain lacking transparency. In September of this year, Lexim will rank the British supermarket, Aldi ranking bottom. (However, the company also said in a statement: “We … we have a comprehensive examination to ensure that everyone in our supply chain is produced, planting, and supplies products to be treated fairly … we continue to work with Eshi Conduct a positive discussion. “)
Many industry insiders are actually quite vocals for Aldi’s own brand practices, and believe that there may be “cottage” suspect. David Sables, CEO, David Sables, a company SENTINEL MANAGEMENT CONSULTANTS, to deal with retailers, told me: “When a self-branded, a self-brand appears in the form of something and feel like this brand, I think this is theft. “
When we arrive at the Yintai, Neale explains how multiple barcode policies help customers pay faster. In fact, the design of the entire checkout area is to improve the speed – the conveyor belt is long enough, but the packaging area behind the checkout station is too small, only a few things can be installed, this is to encourage customers to put the scanned goods directly Round in the air. Only after paying and put the shopping cart to the counter front of the store, you can transfer the things you bought to your tote bag.
I have heard that employees are strictly monitored at the speed of the cashier scanning items. NEALE confirmed this, although he did not want to disclose the number of targets of the product per minute, but he said that the staff had received the instruction to help customers who could not keep up.
Broad-world, big can
The Aldi British company is headquartered in Atherstone, a 15-minute drive from Tamworth’s store. The reception’s TV repeatedly played an advertisement, the protagonist of the advertisement is Aldi Sponsored Olympic Games, three athletes Jonathan and Alastair Brownlee. Kantar WorldPanel retail business Director Fraser Mckevitt said that trying to make yourself more like British strategies, as well as adopting more local business practices, such as accepting credit cards, helping two companies expand market share have fruitful.
In more than 70 years, Karl Albrecht bought 8 primary grounds for Essen and their families. Soon, Theo bought 14 places there. But they don’t care how to manage the cemetery, which is growing with weed. The cemetery administrator was forced to write to Albrecht, reminded them to have the responsibility of maintaining the cemetery. Finally, a Aldi truck carrying a purple, cypress and azalea is coming – the brothers have been waiting for Ali’s plants. “Der Spiegel” tells this anecdote after the death of THEO. Four years later, German Rich Karl died, net assets of $ 25 billion. (LIDL owner Dieter Schwarz ranked second, Theo’s successor followed.)
2006 Karl Albrecht Picture: AP
Although Aldi is still a family business, the influence of Albrecht family’s development direction is weakened. Executives are now operating in this company. Some experts said that with the expansion of the Aldi product range, it is getting more and more likely to seek low-priced acquisitions. NILS BRANDES told me: “Aldi’s DNA is still very powerful, but there is no power before.”
Even so, sales and market share continue to soar. In 2017, Aldi South’s income reached 52 billion euros, of which about 20% came from United Kingdom and Ireland. In Ireland, Aldi has a 12% market share, 13% in Australia, second only to Woolworths and Coles. ALDI has only 2% in the US, but the company plans to increase the number of stores from 1800 stores by 2022, which will make it a third largest chain company in the US store, second only to Walmart and Kroger.
Aldi has a large growth space in the UK, it hopes to have 1,000 stores within three years, and there are only more than 800 people. HSBC Bank (HSBC) Retail Analyst Dave McCarthy said that the market share may reach more than 20%, taking into account the expansion plan of Aldi and LIDL.
Aldi is increasingly focusing on the rich areas of the southeast, including Sevenoaks in Kentshire, which has a lamborghini dealer and two Waitrose. This strategy indicates that Aldi and LIDL have confident that the British shopping crowd and psychology have already taken permanent transformation.
At 8 o’clock in the autumn, when Aldi opened the door, the long team has already been raised. James MCSHARRY and 14-year-old daughter AISLINN are in the team. The 52-year-old MCSHARRY is very talkative, and it is also invested. Before he received another physiotherapist, he worked in the financial sector of Jimoron for 20 years. He was used to shopping in Waitrose and Sainsbury ‘s supermarkets, and later, “abandoned dark investment” went to LIDL – 80% of groceries. Now he is eager to see what Aldi can provide.
Compile group, editor: Hao Pengcheng