Aldi’s new challenge to Coles and Woolworths
German discount supermarket chain Aldi is continuing its Australian domination, announcing plans to open a staggering 60 new stores countrywide in time for Christmas, five of which are set to open in the Sydney suburbs of Narellan, Wetherill Park, Macarthur Square, Riverwood and Hillsdale.
While this is exciting news for residents looking to save on their weekly shop, Aldi may soon come under threat from one of its fellow German competitors. According to the Canberra Times, “hypermarket” chain Kaufland has set its sights down under, committing to several large land purchasing deals.
Head of retail at Colliers, Michael Bate, revealed that Schwarz Group (Kaufland’s parent company) is “amassing lots of freehold sites in Melbourne, Adelaide and Brisbane at present and looking to own and build their own distribution centres.”
Sydneysiders will have to wait, however. Given US chain Costco’s growing popularity – not to mention the city’s retail sector being catered to by Woolies, Coles and Aldi – the city is simply not a viable option for the German chain.
Aldi, on the other hand, has been a true success story in Australia, amassing a whopping 365 land titles, worth $2 billion, and boasting annual sales of $10 billion.
Are you an Aldi shopper? Or do you prefer Coles and Woolies? Share your thoughts with us in the comments.