Queensland’s retail boom seems set to continue with new stores opening weekly, and grocery giants in a battle of prices. Woolworths and Coles have long dominated the supermarket industry, but Aldi has announced huge new expansion plans.
Lewis Wiseman reports.
Since Aldi began opening in Australia 15 years ago, the German supermarket giant has caused a stir with 400 stores.
Now it says it will open a new store every six days over the next year.
Despite Coles and Woolworths representing the majority of the market share, industry experts are warning that Aldi is pushing for supremacy.
Cameron Meiklejohn, Industry Researcher National Retail Association: “What we’ve seen in over the last decade with Aldi, is that it has increased its market share from two per cent to upwards of 13 per cent.”
Aldi reported a $6.9 billion revenue last financial year by providing consumers with what it calls high quality goods at low prices.
Roger Montgomery, Montgomery Investment: “They get their prices to a point that the others can’t really match.”
However consumers are still undecided about the big three grocery retailers.
VOX 1: “It’s much of a muchness really, Woolies seem to be dropping their prices.”
VOX 2: “Probably Coles, it’s just easier to get in and out of.”
Aldi is using special one-off sale items to boost its turnover.
Cameron Meikeljohn, Industry Researcher National Retail Association: “I think one thing we see in industry research around Aldi is that their in-store promotions are certainly attractive to their customers.”
Another giant having an impact is Costco, it’s forcing the industry to make changes.
As the supermarket giants look for an added edge, by diversifying into areas such as fuel, Costco has taken it one step further, by moving into coffins.
Costco now have everything to help consumers from the cradle to the grave.
Lewis Wiseman, QUT News.