China: ALDI opens Four Stores simultaneously, accelerating China's Hard Discount Growth in Nanjing
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China: ALDI opens Four Stores simultaneously, accelerating China's Hard Discount Growth in Nanjing

Discount Retail Chain ALDI China simultaneously opened four new stores across four districts in Nanjing: Jianye, Qixia, Jiangning, and Pukou. This wasn't just a routine opening; it was a calculated strategic move. While the locations are geographically dispersed, they collectively cover Nanjing’s most representative residential hubs, just before Chinese new year.


With these four successful store launches, ALDI’s national store count has reached 95, all concentrated in the East China market, including Shanghai, Suzhou, Wuxi, Kunshan, and Changzhou.


ALDI has become a "hit" with every new opening over the last two years, rarely if ever opening a store without a queue. The Nanjing launch was no exception. On opening day, customers who spent 129 RMB were entered into a lucky draw with a 100% win rate. Incentives included 10 RMB vouchers for new members, free eggs for monthly spending over 200 RMB, and exclusive Chinese New Year seasonal products.


The product mix featured both global "hero" products and localized items:

  • Price Leaders: 1 RMB bottled water, 4.9 RMB Zhenjiang vinegar, 7.5 RMB fresh milk (950ml).

  • Value Picks: 1kg chilled fresh chicken for 19.9 RMB.

  • Local Specialties: Nanjing-style salted duck (250g) for 10.9 RMB.

  • The "9.9 RMB" Series: Makes up roughly 1/3 of the inventory.

  • High Demand: A Maotai-town soy-aroma liquor priced at 99.9 RMB sold out almost instantly.


Strategic Layout and Store Flow

ALDI’s store layout is unique. At the queue entrance, vegetables are placed on the left with grains and oils on the right. Since ALDI openings almost always involve waiting in line, placing products within the queuing area has become a signature feature.


Upon entering, customers find the "Fresh Market" (perishables). While some stores use a "snake" layout with a single path, the Qiaoke Plaza store utilized a "ladder" layout — parallel shelves with aisles on both sides. This increased flow capacity and eased opening-day congestion, though checkout lines remained long due to high footfall.


Precise Positioning in Nanjing

ALDI’s site selection targets four distinct demographic profiles:

  1. Jianye: The "premium" district. High concentration of CBD offices and luxury housing. Shoppers here are affluent but rational; they value ALDI’s streamlined SKU count because it saves time.

  2. Qixia: District with high density of universities and research institutes. The younger population and renters are price-sensitive and have high acceptance for private label brands.

  3. Jiangning: A classic residential powerhouse district. Focus is on family consumption, groceries and household essentials.

  4. Pukou: A "future option" connecting the main city to new suburbs. Opening here is a bet on future growth.


Across all locations, ALDI wins by ensuring over 90% of products are private labels, offering a "premium yet affordable" range spanning fresh food, ready-to-eat meals, snacks, and personal care.


Why Nanjing? The Hard Discount Battleground

Nanjing has a high percentage of middle-income families but a lower concentration of "ultra-wealthy" elites. This creates a "stability-oriented" consumer base. Shoppers here are highly educated and rational; they compare unit prices and value-for-money.

Hard discount is defined by "less is more" and "price transparency, perfectly matches the Nanjing mindset of being "smart and frugal."


Industry reports suggest Nanjing is currently the top-performing market for Hema NB (another Chinese discount format of Alibaba). ALDI’s aggressive entry is seen as a direct competitive response. Beyond today’s four stores, ALDI has confirmed three more locations in Nanjing (Zhujiang Road, Longjiang, and Huamao Center). With seven confirmed stores in one city, ALDI has clearly identified Nanjing as a key growth engine for the hard discount format.




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