Discount Retail Chains such as Aldi USA (German family owned) has quickly increased its footprint in the U.S. and seen a 9.3% increase of visits per venue since 2019, according to Placer.ai.
Aldi has grown in popularity in the U.S. as consumers look for more value in grocery, according to Placer.ai.
The German grocery chain is undergoing a significant expansion in the U.S., which can explain part of the overall increase in foot traffic.
Aldi doesn’t offer a loyalty program and instead focuses on everyday low prices and a wide selection of its private label.
As consumers continue to face pressures of rising food prices and inflation in other retail categories, value grocer Aldi has made headwinds in wooing more consumers in the U.S. According to a new report from retail location intelligence firm Placer.ai, Aldi has seen both an overall increase in traffic in the U.S. as it has expanded its U.S. footprint and an increase in visits per venue.
The grocer, which is based in Germany and headquartered in Illinois in the U.S., saw a 7.3% increase in visits per venue compared to 2021 and an even larger 9.3% increase in visits per venue compared to 2019. Overall visits to Aldi in the U.S. increased 30.8% between the fourth quarter of last 2022 and the same quarter in 2019.
While the store has clearly grown in overall popularity with consumers in the U.S., the overall increase in nationwide visits can be attributed largely to Aldi’s growing footprint in the country during the past several years. The grocer, for example, opened its first California store in 2016, it now has 95 stores in the state, Placer.ai noted.
On its website, Aldi lists more than three-dozen stores that opened in 2022 or are slated to open in 2023. The retailer operates more than 2,000 stores located across the U.S. in Alabama, California, Delaware, Florida, Illinois, Indiana, Louisiana, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Ohio, Pennsylvania, South Carolina, South Dakota and Virginia. While loyalty programs have become increasingly important to consumers, Aldi doesn’t offer such a program. Instead, it lures shoppers with a promise of everyday low prices and its wide assortment of private-label products, which have become increasingly popular with shoppers. Aldi ranked 12th on Dunhumby’s annual “Retailer Preference Index,” which found that consumers’ top choices for groceries include H-E-B, Amazon, Costco, Wegmans and Sam’s Club. Other hallmark features of an Aldi store include shopping carts that consumers must return themselves and Aldi Finds, an assortment of discounted non-grocery items offered once a week.
Consumers are more regularly turning to value grocery chains or even dollar stores to get better prices on groceries amid economic hardship, Retail Leader Pro’s Chief Analyst Elizabeth Lafontaine noted earlier this month. According to Coresight Research, one in five shoppers now buy groceries at a dollar store in the U.S.
See here for more: Visits to Aldi increase as consumers prioritize value | Retail Leader
#smartdiscount #ALDI #expansion #growth #usa #popular #discounters #discount #retail #consulting #discountretail #discountretailconsulting #drc