Ken Peters

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Aldi profit fell by 18% in The Last year

Aldi plans to open a new store in the UK every week, on average, for the next two years, her boss has told the BBC.

Giles Hurley, said the Discounter would invest £1 billion to.

"The reality is That almost 50% of the population in the UK do not currently shop With Us and tell us the main reason for this is That you don 'T have a shop in the vicinity," he said.

the Aldi -pawn came as an increase in turnover reported in The Last year, But saw profits fall sharply.

in the Past year, The Company attracted More Than add 800,000 new customers, an additional £1. 1 billion in sales, an increase of 11% in The Last Twelve Months . But most of this increase in sales is the opening of new stores.

profit for the same period, 18% were to hold, among other things, due to The Price cuts has its competitive advantages.

While the large established grocery retailers, only a few new stores open, if at all, Aldi is still extended, steal your customers and growing market share. And That will continue.

"in the next two years we will invest a further one billion pounds in the UK and shows our intent," says Mr. Hurley, the Aldi managing Director for the UK and Ireland .

Aldi plans to double The Number of branches within the M25

Aldi now has More Than 840 stores and increased its focus on London. There was a doubling in The Number of stores within the M25, from 45 to 100 by the end of 2025 wants.

"Within Greater London , our market share is around half of what it is in the rest of the country, so there is clearly a great opportunity for us to expand The Business . In the long term, we will be able to see comfortably to us, to open 200-250 stores in London," says Mr Hurley.

But you will be able to find enough places to fit your low-cost business model?

"It's not easy, because you don't have the Parking," says Adam Leyland, editor of the Grocer magazine.

"It is also more difficult to get good sites in London. So you have a very flexible model, and Aldi is as formulaic as a discounter, it is more difficult to manage.

"But you are determined to do it, and you are a very capable food retailers. We have seen over The Years , how have you reacted to The Dynamics in the UK market. "

queues around The Block

When Aldi opens a new store, the buyers will come.

Here in Ruabon, on The Outskirts of Wrexham, the customers were Queuing around The Block , lured by The Promise of an early freebie.

He felt, as Black Friday had come early.

The rush was for the so-called "Gang of Wonder " - "starbuys" included a £24. 99 cordless lawn mower and a cut-price vacuum cleaner.

families moved to six-seater wooden patio sets in the direction of the funds. Another Woman 's trolley was filled with three Mr. Potato Heads, four rabbit-shaped wicker planter and a wooden wishing well for your garden.

The First customer, Ken Peters , had been waiting to receive since 5:30 PM: "I am hoping for a bargain, or a free meal voucher," he says.

Aldi is already experimenting with a new, smaller convenience store format. Currently, there are eight Aldi "Local" shops in the London area, including the former Waitrose store in Camden. Aldi says That number could grow as high as 50 in the longer term.

So how long this rapid expansion can, The Last ?

"The fundamental issue for Aldi , Lidl and The Other discounters, such as B& M, about the retail sector is That at some point they will reach their peak, physical space," says Patrick O'brien, UK retail director of the Market Research company GlobalData.

"The growth of you're on the go, not forever lasts.

"So have you expanded in the same boat as their larger rivals to go head to head for their share of the expenses in your existing Shop stands, and, as the discounters, they are found more often in each other's catchment areas, competing with each other, rather than the easier task to take spend of more expensive competitors," he says.

Aldi says, it keeps the prices low taken his winnings

But this is not something to be feared Aldi , now, where it years, to manage growth, argues Mr Leyland.

"Aldi are clearly very good. The crucial thing is That if you open a Shop, people come. Aldi will only have a problem if they opened new shops, and people are not attracted to you, and I see no evidence of this. "

But the Four Big supermarket chains don't make it easy. They have improved their offer and try to close The Price gap with the discounters.

'to keep in the Long term,'

the Aldi promise, the prices are lower, took its toll on the surpluses of the past year. But Mr. Hurley is convinced That it is A Promise That he is ready to:

"Our profits suffer as a result of the investments That we made, But Aldi is not like other supermarkets. We take a very long view of our business and the focus is very much on our sales, our clients and our pay save, and not to the short-term rate of return.

"the plans That we put in last year have been carefully examined. We have always said That we offer the lowest prices on the market," he says.

Before Leaving, Aldi fills up with items That are not produced, the outlet in UK

The biggest challenge now for all your British food business is the UK's EU.

So Aldi has think, there are gaps in the shelves deal, which in the case of a disordered no?

"I can not guarantee the availability of every single product," says Mr Hurley.

"But That 's not really different than any other. What we will do is to shield our customers from as many effects as possible. I can't commit, the prices do not go up. I am not alone in the industry, But what I can guarantee is That the customer always pay the lowest grocery prices with Aldi . "

Mr. Hurely said, The Chain was the work "very closely" with the supply base.

"Because our select range of products, which is probably a little easier than some of our competitors.

"We also believe, we are in a fixed position, because 75% of what we sell comes from British suppliers and manufacturers," he says.

'two edged sword'

Aldi is the increasing stocks in products such as Olive Oil , tinned tomatoes and pasta, items That are not manufactured in the UK.

Escape, says the grocer, Mr Leyland, is Aldi , the biggest concern now.

"It's the biggest challenge for the entire food industry at the moment. Everyone is working like crazy to come up with solutions.

"the Aldi -care may be less products, But it is a two-edged sword, because if a product is not always, it is more difficult to bend it. And although they are very competitive, they have struggled to manage inflation like Everyone Else . "

What ever happened to Aldi , it is clear That the UK's EU-exit is not its expansion plans change.

The Business , together with Lidl, had a profound effect on the British food market.

Aldi has a £7 billion turnover in The Last year That would have otherwise gone to its rivals, according to the research, data and insight consultancy, Kantar.

to open as long As it continues, new stores, there is likely to be an enormously destructive Force .

retailing, aldi, supermarkets, companies

Source of news: bbc.com