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Both Aldi and Lidl currently sell limited amounts of clothing, mostly children's at back to school time. This is a step up, and I wonder if Lidl will use it more extensively in the US as a way to catch up on Aldi. By that I mean a greater amount of higher quality clothing in their larger stores, (as opposed to pop-ups), instead of using the space to stock more branded groceries.
It isn't new for Aldi and Lidl to sell clothing. Actually they are doing so ever since I can remember. Both chains are among the top 10 clothing retailer in Germany. They offer clothing for people of all ages. What new is, that they are in the last about two years going more upmarket and promote it in a different way. Cooperation with designer Jette Joop and touring through Germany with a "fashion truck" (Aldi) or opening a pop-up store in a fancy shopping boulevard (Lidl).
I visited a Lidl store today. Lidl is selling this advertised premium fashion collection from today. It's sold in the same way like they sell all their other weekly changing "In and Out" items. All these pieces of clothing are packaged in pretty fancy boxes. They need just about 10m² (about 110 sq ft) to pile the boxes in their stores.
Like you, I'm also wandering what additionally products Lidl wants to sell in their rather large stores in the U.S.
I have seen some construction drawings for Lidl (US) stores online (for bidding purposes). Basically the U.S. stores will be rather identical to the new Lidl stores in Europe, but about 30% larger. There was one drawing with a large seperated empty room (not storage room). Maybe they build such large stores to be prepared to range expansions in the future? And in the first years a few thousand sq ft will be empty? But I doubt it.
I expect that the ratio private label / name brand will be quite similar to the one in their European stores. They will offer weekly changing non food "In and Out" items. Maybe a little bit more like in Germany. Compared to Aldi, Lidl in Germany has much fewer of these "In and Out" non food items in their stores, but they have an online shop, where they offer quite a lot of stuff. Basically I doubt that the number of their core range items will be significant higher than in their European stores.
It looks like that the Lidl stores in the U.S. will have more checkout lanes and self checkouts. Maybe they will offer a permanent range of European specialties. In Europe, it's changing every few weeks. Therefore they could need more space. Generally American grocery stores tend to have wider aisles, most likely that the aisles in the Lidl (US) stores will be wider as well.
I have the impression that a grocery store in the U.S. has to be somewhat larger to store the same number of items. Milk comes in gallon and is stored in seperated fridges. And a wider selection of more bulky products like sodas and cereals also need more space. And Americans prefer a sharp seperation of different produce items.
Here in Düsseldorf and its environs we still don't have one of these larger new stores (but they are building at least one not far away *very happy ). I have seen pictures of these new stores, they look pretty nice. They have very low shelves (one reason why they need so much more space). They are almost double the size of our older Lidl stores, but they don't stock more items. It's just more spacious and fancier.
It isn't new for Aldi and Lidl to sell clothing. Actually they are doing so ever since I can remember. Both chains are among the top 10 clothing retailer in Germany. They offer clothing for people of all ages. What new is, that they are in the last about two years going more upmarket and promote it in a different way. Cooperation with designer Jette Joop and touring through Germany with a "fashion truck" (Aldi) or opening a pop-up store in a fancy shopping boulevard (Lidl).
I visited a Lidl store today. Lidl is selling this advertised premium fashion collection from today. It's sold in the same way like they sell all their other weekly changing "In and Out" items. All these pieces of clothing are packaged in pretty fancy boxes. They need just about 10m² (about 110 sq ft) to pile the boxes in their stores.
Like you, I'm also wandering what additionally products Lidl wants to sell in their rather large stores in the U.S.
I have seen some construction drawings for Lidl (US) stores online (for bidding purposes). Basically the U.S. stores will be rather identical to the new Lidl stores in Europe, but about 30% larger. There was one drawing with a large seperated empty room (not storage room). Maybe they build such large stores to be prepared to range expansions in the future? And in the first years a few thousand sq ft will be empty? But I doubt it.
I expect that the ratio private label / name brand will be quite similar to the one in their European stores. They will offer weekly changing non food "In and Out" items. Maybe a little bit more like in Germany. Compared to Aldi, Lidl in Germany has much fewer of these "In and Out" non food items in their stores, but they have an online shop, where they offer quite a lot of stuff. Basically I doubt that the number of their core range items will be significant higher than in their European stores.
It looks like that the Lidl stores in the U.S. will have more checkout lanes and self checkouts. Maybe they will offer a permanent range of European specialties. In Europe, it's changing every few weeks. Therefore they could need more space. Generally American grocery stores tend to have wider aisles, most likely that the aisles in the Lidl (US) stores will be wider as well.
I have the impression that a grocery store in the U.S. has to be somewhat larger to store the same number of items. Milk comes in gallon and is stored in seperated fridges. And a wider selection of more bulky products like sodas and cereals also need more space. And Americans prefer a sharp seperation of different produce items.
Here in Düsseldorf and its environs we still don't have one of these larger new stores (but they are building at least one not far away *very happy ). I have seen pictures of these new stores, they look pretty nice. They have very low shelves (one reason why they need so much more space). They are almost double the size of our older Lidl stores, but they don't stock more items. It's just more spacious and fancier.
Any insight into the direction Lidl is going as far as the quality of food offerings and shopping experience? I have read a few articles where it was mentioned that Lidl is trying to move into a more upscale direction in terms of store layout, presentation, and products in Europe. How do you think this alleged move will play out in the US market? Do you think they directly compete with Aldi in price and experience, or will they go after some of the more traditional non-discount stores in the area?
36k sqft is pretty big. I don't think I have seen an Aldi that big. Which leads me to believe that Lidl may be trying to offer something more unique than the no-frills Aldi.
The European discount grocery store Lidl is planning to open a new store in College Park, at the site of the current Clarion Inn Hotel, which is proposed to be razed.
The representatives from the store will come to tomorrow’s City Council meeting to talk about their plan.
Lidl US Operations, LLC, is requesting the approval of a Detailed Site Plan to construct a 36,185 square foot grocery store on a 3.30 acre site located at 8601 Baltimore Avenue in the northeast quadrant of its intersection with Berwyn Road.
The County’s Planning Board is scheduled to hear this case on Thursday, October 20th. The proposed building will be one-story with a height that ranges from 15.5-feet to 29.50-feet high at its highest point located above the entrance. The entrance is located at the southwest corner of the building with a cart corral to the east of the entrance. A streetscape is proposed along Baltimore Avenue, in front of the entrance that will include a
The entrance is located at the southwest corner of the building with a cart corral to the east of the entrance. A streetscape is proposed along Baltimore Avenue, in front of the entrance that will include a brick paved walking area (8-feet to 22-feet in width), three tree planters each with a bench located on each side of the planter, and pedestrian lighting. At the corner of Baltimore Avenue and Berwyn Road, the Applicant is proposing a plaza which will have landscaping, four benches and some kind of art or sign to identify the Berwyn neighborhood. The Applicant proposes to dedicate or place in an easement 10-feet of right-of-way (ROW) along Berwyn Road and along 48th Avenue and provide 5-foot wide sidewalks with pedestrian street lights. The Applicant is also proposing a 5-foot wide sidewalk along the northern side of the building that will connect from the 48th Avenue sidewalk to the front of the building. A 25-space bicycle rack is proposed on the Baltimore Avenue side of the building and a 15-space bike share station adjacent to the cart corral east of the entrance. The Applicant is proposing two access points to the site: from Baltimore Avenue and from Berwyn Road. The proposed Baltimore Avenue site access will be right-in/
At the corner of Baltimore Avenue and Berwyn Road, the Applicant is proposing a plaza which will have landscaping, four benches and some kind of art or sign to identify the Berwyn neighborhood. The Applicant proposes to dedicate or place in an easement 10-feet of right-of-way (ROW) along Berwyn Road and along 48th Avenue and provide 5-foot wide sidewalks with pedestrian street lights. The Applicant is also proposing a 5-foot wide sidewalk along the northern side of the building that will connect from the 48th Avenue sidewalk to the front of the building. A 25-space bicycle rack is proposed on the Baltimore Avenue side of the building and a 15-space bike share station adjacent to the cart corral east of the entrance. The Applicant is proposing two access points to the site: from Baltimore Avenue and from Berwyn Road. The proposed Baltimore Avenue site access will be right-in/
The Applicant is also proposing a 5-foot wide sidewalk along the northern side of the building that will connect from the 48th Avenue sidewalk to the front of the building. A 25-space bicycle rack is proposed on the Baltimore Avenue side of the building and a 15-space bike share station adjacent to the cart corral east of the entrance. The Applicant is proposing two access points to the site: from Baltimore Avenue and from Berwyn Road. The proposed Baltimore Avenue site access will be right-in/
The Applicant is proposing two access points to the site: from Baltimore Avenue and from Berwyn Road. The proposed Baltimore Avenue site access will be right-in/right-out. The Applicant submitted a Traffic Impact Analysis (TIA), revised August 31, 2016, indicating this project will operate within the acceptable parameters of not exceeding 1,600 Average Critical Lane Volume (CLV). The City retained an independent traffic engineer (Sabra, Wang and Associates) to review the applicant’s traffic study.
Here is a good article on both Aldi and Lidl branding wars.
Quote:
It is well known within the industry that both Lidl and Aldi are trying to shake off the ‘discounter’ tag – often associated with lesser product quality – and to be fully accepted as supermarket brands. Trade journalists, for example, are often requested by both to use the term “supermarket” instead of “discounter.” But can major sponsorship deals ever make this possible?
Any insight into the direction Lidl is going as far as the quality of food offerings and shopping experience? I have read a few articles where it was mentioned that Lidl is trying to move into a more upscale direction in terms of store layout, presentation, and products in Europe. How do you think this alleged move will play out in the US market? Do you think they directly compete with Aldi in price and experience, or will they go after some of the more traditional non-discount stores in the area?
36k sqft is pretty big. I don't think I have seen an Aldi that big. Which leads me to believe that Lidl may be trying to offer something more unique than the no-frills Aldi.
I only can report reliably about Lidl in Germany, but it's in my experience similar in other European markets. Lidl was in the past always seen as a second-rate discounter, always behind Aldi (Süd). But that is changing or it has already changed. In the last couple of years Lidl has really upped their game. The in-store bakery was a stroke of genius, it's really beautiful, it smells good and it's just nice to fumble your own pastry out of these "cages". The produce section at Lidl looks much better compared to Aldi. It looks more like a market stall, nicely iluminated, much more loose fruits and vegetables, and a much wider selection.
The colours of Lidl were usually loud yellow and blue, that looks quite tacky. Of course the logo of Lidl will be still in loud yellow and blue but they are banning these loud colours out of the stores and replace them with much more pleasing colours that gave the whole store a much more valuable appearance.
The quality of the food at Lidl is most likely similar to Aldi. For some products I prefer the Aldi brand in others the Lidl brand. Overall I would think that Aldi is slightly ahead, but in comparison tests by independent consumer organizations Lidl seems to have the edge. At least in Germany Aldi and Lidl brands are overall better than the store brands from upscale grocery chains. Lidl offers much more food specialties from other countries than Aldi. Lidl operates in all these countries known for good food (France, Spain, Italy, Greece...). No other food retailer is able to source such products so cheaply. It's very interesting to try all these "exotic" foods.
I don't know how important the design of a grocery store is for the average U.S. consumer. I have the impression that Americans have generally different preferences when it comes to design and color. To me a typical American grocery store like Kroger or Food Lion look odd, kinda dated (even when its newly refurbished). But I guess that has to do with different color preferences.
The Lidl (US) stores could be too upscale. Even when they offer the same prices like Aldi, people could think that they are way more expensive, because the stores look fancier. It's pretty normal for consumer to conclude from the appearance of a store to the price level. Lidl in Europe has a reputation for stupid cheap, and making the stores fancier will most likely not damage this reputation. But for the U.S. consumer Lidl is completely unknown. Aldi has put a lot of effort to make their stores somewhat shoddy looking, to underline their budget proposition. It can be self-defeating for a limited assortment grocery store like Lidl when they are too upscale.
Many Americans prefer a weekly one stop shopping trip. That makes it much more difficult for Aldi or Lidl compared to Europe. I don't know how much more core products Lidl will carry, compared to Aldi, but surely not enough to make it a one stop shopping destination.
I would expect that Lidl will be very successful in the U.S. They are extremely successful in Europe:
Sales FY 2016/15 ** FY 2015/14
Germany: 20.79bn ** 20.46bn ** +1.6%
Europe (w/o Germany): 43.61bn ** 38.62bn ** +12.9%
Tota Salesl: 64.40bn ** 59.08bn ** +9.0%
Number of stores: 10,018 ** 9,918 ** +1.0%
Lidl is very successful in increasing sales per store.
It's meanwhile Europes largest grocery retailer, and in volume terms the second largest grocery retailer in the world (as part of Schwarz Group). Privately owned and able to invest practically all profits into further expansion and improvements. Lidl is in my opinion much more innovative than Aldi, eager to try out new things. Lidl is very aggressive. In contrast to most other grocery chains, Lidl could be able to attract customers of all income groups.
Lidl itself seems quite confident (statement from their HP):
Quote:
Lidl US is the product of a determined and calculated effort to expand into the world’s largest market. Through cutting edge technology, best in-industry practices, and some good old fashioned hard work, Lidl US is going to be a game changer in the United States from day one.
It isn't new for Aldi and Lidl to sell clothing. Actually they are doing so ever since I can remember. Both chains are among the top 10 clothing retailer in Germany. They offer clothing for people of all ages. What new is, that they are in the last about two years going more upmarket and promote it in a different way. Cooperation with designer Jette Joop and touring through Germany with a "fashion truck" (Aldi) or opening a pop-up store in a fancy shopping boulevard (Lidl).
I visited a Lidl store today. Lidl is selling this advertised premium fashion collection from today. It's sold in the same way like they sell all their other weekly changing "In and Out" items. All these pieces of clothing are packaged in pretty fancy boxes. They need just about 10m² (about 110 sq ft) to pile the boxes in their stores.
Like you, I'm also wandering what additionally products Lidl wants to sell in their rather large stores in the U.S.
I have seen some construction drawings for Lidl (US) stores online (for bidding purposes). Basically the U.S. stores will be rather identical to the new Lidl stores in Europe, but about 30% larger. There was one drawing with a large seperated empty room (not storage room). Maybe they build such large stores to be prepared to range expansions in the future? And in the first years a few thousand sq ft will be empty? But I doubt it.
I expect that the ratio private label / name brand will be quite similar to the one in their European stores. They will offer weekly changing non food "In and Out" items. Maybe a little bit more like in Germany. Compared to Aldi, Lidl in Germany has much fewer of these "In and Out" non food items in their stores, but they have an online shop, where they offer quite a lot of stuff. Basically I doubt that the number of their core range items will be significant higher than in their European stores.
It looks like that the Lidl stores in the U.S. will have more checkout lanes and self checkouts. Maybe they will offer a permanent range of European specialties. In Europe, it's changing every few weeks. Therefore they could need more space. Generally American grocery stores tend to have wider aisles, most likely that the aisles in the Lidl (US) stores will be wider as well.
I have the impression that a grocery store in the U.S. has to be somewhat larger to store the same number of items. Milk comes in gallon and is stored in seperated fridges. And a wider selection of more bulky products like sodas and cereals also need more space. And Americans prefer a sharp seperation of different produce items.
Here in Düsseldorf and its environs we still don't have one of these larger new stores (but they are building at least one not far away *very happy ). I have seen pictures of these new stores, they look pretty nice. They have very low shelves (one reason why they need so much more space). They are almost double the size of our older Lidl stores, but they don't stock more items. It's just more spacious and fancier.
I didn't claim either had not been selling clothes. I simply referenced the detail in the Bloomberg piece, which you largely agreed with.
In Ireland both Aldi & Lidl have been advertising on TV for at least 10 years. Believe they only recently begun TV advertising in Germany. They are now the #1 and #2 retail store advertisers on Irish TV. They use relatively sophisticated advertising that doesn't rely on the low price proposition alone. Also notable that in Ireland Lidl seems to dominate in the higher income areas and Aldi in the lower. I mean that as between Aldi and Lidl, not among grocery stores generally.
Aldi and Lidl have been in Ireland for a shorter period of time than in the UK, about 17 years, but have had greater success in terms of market share. 10.5% to11.5% market share each. That's double the penetration in the UK.
Lidl originally appointed the head of their Irish operation to head their US operation. Then replaced him with another member of their Irish operation. Probably more than just coincidence.
I didn't claim either had not been selling clothes. I simply referenced the detail in the Bloomberg piece, which you largely agreed with.
In Ireland both Aldi & Lidl have been advertising on TV for at least 10 years. Believe they only recently begun TV advertising in Germany. They are now the #1 and #2 retail store advertisers on Irish TV. They use relatively sophisticated advertising that doesn't rely on the low price proposition alone. Also notable that in Ireland Lidl seems to dominate in the higher income areas and Aldi in the lower. I mean that as between Aldi and Lidl, not among grocery stores generally.
Aldi and Lidl have been in Ireland for a shorter period of time than in the UK, about 17 years, but have had greater success in terms of market share. 10.5% to11.5% market share each. That's double the penetration in the UK.
Lidl originally appointed the head of their Irish operation to head their US operation. Then replaced him with another member of their Irish operation. Probably more than just coincidence.
Lidl in Germany is advertising on TV since 2009 (after the surveillance scandal). But as far as I know the advertising is rather occasionally. At the moment they have new TV ads, absolute weird ones. Aldi has started their first TV ad in Germany just a few days ago. It's considered a small revolution. The reactions on Aldis ad are mixed, I like it, but it's somewhat like a leftists call for non-consumption TV advertising in Germany is difficult for Aldi, because of the seperation in Aldi Nord and Süd.
I think Lidl is pretty good in advertising and even better in communication at social media. They are constantly announcing innovative changes. They open pop-up grocery stores on large music festivals. They are banning plastic bags from 2017. The dairy cows now gets gmo free fodder. The mentioned pop-up fasthion store. They have the largest range of fair trade products among the discounters. They get quite often awards for their products.
In the past Lidl was always considered the bad guy in German retail, but that seems to change more and more. When it comes to advertising and social media Aldi (at least in Germany) is way behind and it's getting even worse for Aldi (Süd), for the first time they have lost their status as the most favorable discounter in Germany, overtaken by Lidl.
Lidl in Ireland is really doing well, they seem more upscale. Another reason why they are doing well is also that they have a much higher store density. One store for about 32,000 people. In the UK it's 1 store for about 95,000 people. I'm not sure but I guess that the small store concept of Aldi and Lidl fits better to the Irish shopping habits and the Irish are far less class-conscious than the English.
The future store manager of Lidl (US) get their training in Ireland and the UK.
More info on Lidl in College Park. I hope they bring more brands from Europe. That will make it unique and a sort of destination for shoppers. I don't much care for another store with the same brands I can get just about everywhere else. I can even get Ben & Jerrys at Target Express. I think a good mix would be 20% European 30% American 50% private label which would be European effectively). People in this area shop at some of the world markets in Langley and other places and are used to international labels. This area is not North Dakota.
If the food is premium and good, it shouldn't matter where it comes from. So, a European label shouldn't matter. Besides, Trader Joe's looks for degreed individuals because they think they are more likely to try international foods. College Park has always fit that profile.
Quote:
"What we're bringing to the market and why we're different is that we're going to offer a premium private label brand … but we're also going to offer those national A-brand products that you're used to seeing in more traditional American grocery stores," he said.
While the store is European-based, it will be adjusting its products for American consumers, Kearney said. He added German beer and wine probably won't be available at the College Park location, unless the Lidl team works "some legal magic."
More info on Lidl in College Park. I hope they bring more brands from Europe. That will make it unique and a sort of destination for shoppers. I don't much care for another store with the same brands I can get just about everywhere else. I can even get Ben & Jerrys at Target Express. I think a good mix would be 20% European 30% American 50% private label which would be European effectively). People in this area shop at some of the world markets in Langley and other places and are used to international labels. This area is not North Dakota.
If the food is premium and good, it shouldn't matter where it comes from. So, a European label shouldn't matter. Besides, Trader Joe's looks for degreed individuals because they think they are more likely to try international foods. College Park has always fit that profile.
Why do you say that the 50% private label, will be effectively European? What information are you basing that claim on?
By that measure you think/believe/ hope the store will have 70% of it's SKU's sourced in Europe.
Yep. Carrying a large amount of European products would make it more unique and appealing, in my opinion. What's the point in having a new European grocery store if all they sold were products like Cheerios, Wonder Bread, and Jiffy peanut butter? Now, do I think Lidl would actually carry more European sourced food than American, no. At least they mentioned that their produce and meats would be locally sourced. And since they haven't been in the American market, I'm not sure they will have much American sourced private label products to start. The stores will be twice to three times as large as Aldi. I'd hope that means a more diverse product mix.
I don't think it is impossible to import European dry goods to the united states on a large scale. The local world/Latino/African/Asian markets in heavily diverse areas import a lot of products from their respective continents already.
In the end, I do hope that they can differentiate themselves from your average grocer in that they provide an alternative to the monotony of American products we see every day. I traveled to France this summer and spent some time in their grocery stores and they have a lot of very good products that I'd like to see here. Comte cheese is some of the best cheese I've ever tasted. Can't find it here. At least not in your average grocery store. I'm sure if it was introduced here, more people would eat it. And Lidl could be one of the stores that brings it here.
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). I have seen pictures of these new stores, they look pretty nice. They have very low shelves (one reason why they need so much more space). They are almost double the size of our older Lidl stores, but they don't stock more items. It's just more spacious and fancier.
