Partly Cloudy

Partly Cloudy

max temp: 10°C

min temp: 5°C

ESTD 1874 Search

Bury St Edmunds: New Aldi store to be group’s 500th outlet in the UK

13:50 30 September 2013

Aldi is to expand its presence in the UK.

Aldi is to expand its presence in the UK.

Discount supermarket Aldi has pledged to open 50 new stores in the UK this year after earning a record profits haul and boosting its market share.

shares

The retailer is increasingly opening in affluent locations such as Chancellor George Osborne’s constituency in Knutsford, Cheshire, with its 500th UK store due to open in Bury St Edmunds next month.

The UK’s fastest-growing supermarket said fresh meat and vegetable sales are soaring as household budgets are squeezed by rising bills.

It recorded £157.9million of UK pre-tax profits in 2012, up 124% on a year earlier, according to figures published today at Companies House. Revenues surged more than 40% to £3.9billion after luring more than a million extra customers during the year.

Its expansion plans contrast with some of its “Big Four” rivals, with market leader Tesco and number four player Morrisons calling time on the supermarket space race.

Aldi opened 34 new stores in 2012 at a cost of £116.5 million, and is on track to add another 50 this year, creating 6,000 extra jobs and investing £185 million.

The retailer, which started out in Essen, Germany, in 1913, said “polarisation” in the grocery market is driving its growth alongside upmarket chain Waitrose.

Cash-strapped households are flocking to the chain as budgets shrink amid stubbornly high inflation, while a string of accolades and products such as British sirloin steak and extra virgin olive oil win over wealthier customers.

Joint managing director Matthew Barnes said the chain is attracting a “broader demographic”.

He said: “We have opened in affluent locations like Knutsford and Winchester and have quickly won over local customers with our award-winning quality and value.

“If we can open more stores, we will make Aldi a more convenient place for people to do their weekly shop.”

Its market share now stands at 3.7%, up by almost a third from a year earlier, when it stood at 2.9%.

Meanwhile, market share continues to slide at Tesco, Asda and Morrisons, with Sainsbury’s the only Big Four chain to grow its share.

Fruit and vegetable sales soared by almost 50% in 2012, Aldi said, while meat sales have risen 60% year on year for the past three years.

The chain’s premium Specially Selected range - which includes ground Colombian coffee and an award-winning Parmigiano Reggiano hard cheese - grew sales 40%. Customers spend an average £18.63, it added, buying around 17 products.

Joint boss Roman Heini said: “We believe growth is down to one thing - customers demanding true value.

“Families are spending more time at home to avoid the expense of eating out at restaurants.”

The retailer said it has doubled the size of its Christmas range, including a luxury Serrano ham leg, to win more share from its rivals.

The Aldi group now has more than 7,000 stores across three continents.

shares

1 comment

Abbey Gardens - are you proud of Suffolk's green spaces?

Welcome to Suffolk Says – your opportunity to give your views on a range of important issues in our county.

Police patrol.

Police officers in Essex are unable to carry out their work as effectively with the street lights turned off.

The land on Church Lane, Claydon where planning applications have been applied for to install caravans and an amenities building. Photograph Simon Parker

Planning officers have recommended representatives in Mid Suffolk refuse an application for a travellers’ site in the district.

Jason Croker

A former Felixstowe man has been jailed after throttling a woman during an attempted rape before dumping his unconscious victim in a field.

The scene of a thatch fire in Stoke-by-Nayland

A picturesque country cottage is still standing today despite a fire ripping through its thatched roof.

Ipswich Town v Arsenal  FA Cup Final at Wembley 1978 - 

Kevin Beattie and Allan Hunter

It is an impassioned debate which never fails to invigorate the East Anglian derby.

An Abellio Greater Anglia train

Rail services between London Liverpool Street and Norwich have been cancelled after a train fault at Diss.

Colchester Half-Marathon. Starting and finishing at Weston Homes Community Stadium.

Competitors braved the dismal morning weather today to take part in the Colchester Half Marathon.

The scene after the thatched roof fire in Stoke by Nayland - Picture credit - Suffolk Fire and Rescue Service

Ten fire crews tackled a thatched roof blaze in a Suffolk village overnight.

Sir John French: a colourful character and respected soldier

We’ve heard about the Suffolk men who fought at the battle of Neuve Chapelle.

Most read

Most commented

Topic pages