Aldi have plans to attack the UK grocery market from another angle through the opening of their online shopping services. The supermarket has confirmed that it will start selling non-food products online in the UK next year, following their announcement of record annual sales in 2014. Aldi have gradually increased their market share in recent years, however they have stated that profits have been decreased as a result of abrasive price cuts.
The discount supermarket chain will begin its online service by selling wine by the case, Aldi then plan to add further non-food products to their online shopping site around spring.
The German supermarket is going to offer customers the opportunity to purchase a wide range of products in the second quarter of the year. Such as cycling equipment, electrical goods, garden furniture and fancy dress costumes.
Third party companies will deliver such online products or alternatively consumers will have the option to collect their products from 5,000 pick up points around the country.
Aldi’s chief executive Matthew Barnes has remarked that he does not expect Aldi’s online service to make much profit in the short or medium term, saying the venture would be an “opportunity to learn” about a rapidly growing part of the market.
Recent figures show that 53% of England’s population now shop at Aldi, although Barnes has a vision to capture more of the English market. Barnes said that, “The 47% of households that do not shop with us presents an enormous opportunity.
Aldi have increased their market share partly by utilising wine in order to expand their appeal to middle-class British shoppers looking for discounted prices.
The supermarket are also attempting to win over Middle England by opening a supermarket in Chipping Norton, the Prime Minister’s place of residence. Aldi say they have no plans to offer other groceries online as such moves have proved to be unprofitable and convoluted for other retailers in the industry.