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Lidl has appointed Roman Heini as its chairman, replacing Michael Aranda who will assume new responsibilities on Lidl’s management board in Europe.

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In 2019, Lidl will maintain its rapid expansion in Europe. More store openings have been announced in several markets and new partnerships will enable the retailer to enter new locations.

40 new stores in Italy by end of 2019

After the completion of 40 new stores in 2018, Lidl Italia has announced it will maintain the same pace in 2019. €350m will be invested. Some of the new stores will reflect the new metropolitan format, with the store being built above a carpark. More space and a better layout will be given to fresh and chilled ranges, with a focus on products with an Italian origin.

In Sweden, 200 store target could be reached by end of the year

With 20 stores planned to open in 2019, Lidl Sweden could reach the 200 mark a year before initially scheduled. The expansion will continue in smaller cities, which are showing a growing interest for the discounter. Lidl is also interested in growing its presence in more central locations after a successful trial in locations like Stockholm.

Lidl to invest €120m in Greece

Lidl Greece’s managing director, Iakovos Andreadidis, has announced, in an interview with Self Service, that the group will invest €120m in 2019. Five new stores will be added to the network, to reach a total of 226. Warehouse space will be expanded, and money will be invested in the installation of ovens for bakery products in every single store. In addition to these investments the number of SKUs will grow by 250, to a total of 2,300. An emphasis will be placed on Greek and fresh products.

Develop stores in city centres in Switzerland

Lidl Suisse signed an agreement with department store chain Loeb in to enter urban locations and get closer to its shoppers. The partnership will start during summer 2019 with the first store to open in Bienne. The store design will be adapted to fit with the premium layout of the Loeb store, but the product range will be the standard one.

Partnership with Ikea in Portugal

Lidl Portugal has announced a partnership with Ikea to develop a store in the commercial area of Loures. The store will open in summer 2019 with an area of 1,400 sq m. The objective for both companies is to share synergies and offer a greater choice of products to shoppers in a convenient location. This is the first time that both companies have made such an agreement.

For our subscribers who would like to find more insights about Western Europe, please have a look at our Outlook for 2019 and our Europe grocery retail market sizes 2018 – 2023 presentations.

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Companies in Spain pledge to making food healthier, DIA makes more leadership changes, and Makro accelerates the digitalisation of the HoReCa industry in Spain.

Reducing sugar, saturated fats and salt

The minister of health, consumption and social welfare, Maria Luisa Carcedo, has signed agreements with 20 associations that represent 398 food and drinks companies to reduce the average amount of sugar, saturated fats, and salt in products by 10% by 2020. The plan covers 13 food groups including: soft drinks, ready meals and breakfast cereals. 

The strategy fits into the government’s strategy of nutrition, physical activity and prevention of obesity. Spain has one of the highest obesity rates in Europe with 37% of adults overweight and 17%. The figures are worse for children with 40% overweight and 18% obese. The agreements are a step towards preventing obesity and countering inequalities in health, with the government keen to use a collaborative approach between the public and private sector.

According to Europa Press, leading retailers and manufacturers like Mercadona, Consum, Kellog’s, Coca Cola, Pepsico and Bimbo are involved. Businesses will need to reformlate their products and make the first move to gain a competitive advantage.

Further changes to personnel at DIA

The group has created a new executive committee of seven members, headed by CEO Borja de la Cierva. With these most recent changes DIA aims to make its offer more appealing to customers, simplify processes and drive efficiencies.

Makro driving digital transformation

InfoRetail reports that Makro has driven the digital transformation of 12,000 bars and restaurants in Spain during 2018. Its initiatives fit into Metro AG’s international plan to digitalise the hospitality industry, and bring it on par with other industries like travel. To support the sector, Makro will launch a digital platform service to aid companies with their digital transformation.

The first electric lorry is tested in Spain

According to International Supermarket News Lidl and Mercadona have been chosen to test Man's heavy duty 26-ton electric truck. Germany-based Man Truck & Bus will run distribution tests in Madrid, the first location chosen outside Austria. The initiative is expected to be rolled out in 2025. The truck currently takes over four hours to charge, and it is hoped by 2025 the time will have reduced. Man Truck and Bus partnered with SPAR Austria last year and has been testing its electric truck there since September 2018. 

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We look at the latest developments from Lidl and Aldi in Ireland.

Discounters continue to gain market share

The discounters are continuing to gain market share in Ireland with the latest Kantar data for the 12 weeks ending 30th December showing that Lidl and Aldi were the strongest performing grocery retailers in Ireland over the Christmas period. Sales value growth was 8.8% for Lidl and 4.6% for Aldi. Aldi's market share during this period was Ireland 10.8%, slightly ahead of Lidl at 10.5%.

Lidl's delivery service now covers all of Dublin

Lidl first introduced its delivery service in 2018 with a limited trial across five postcodes in Dublin. The retailer will now be rolling out the service across the capital with its partner Buymie. There are currently no plans to expand the service outside Dublin, however Lidl has not ruled this out for the future.

Source: Google Play

Buymie is a third-party grocery delivery service that began as a start-up in Dublin. It uses self-employed couriers to fulfil orders place on an app in a similar way to Deliveroo. The app can be used to shop multiple retailers including Tesco. Shoppers can purchase any items sold at Lidl with the exception of the 'Special Buys', as these are often bulky items that are challenging to deliver.

Online is a rapidly growing channel however the cost and complexity of online are not a natural fit for EDLC operators. But as online increasingly becomes the norm discounters risk missing out to competitors.

This is why it is so important for Lidl to continue to invest in evolving its digital capabilities. Alan Stewart, the head of ecommerce at Lidl Ireland said to The Irish Times;

“Our decision to partner with a dedicated on-demand service provider allows us to continue to invest in our expanding network of stores and also provides a real differentiator in the online grocery delivery market”

The rise in third-party delivery services is opening doors for supermarkets allowing them to satisfy the online demand, whilst not having to pay out for the infrastructure developments it requires.

Aldi opens more stores

Aldi has announced plans to open seven more stores in Ireland in 2019. The retailer is continuing to refurbish some of its estate as part of a €60m investment programme. It has said that expanding its network and renovating to 'Project Fresh' will help to futureproof the business. 

Aldi UK and Ireland has achieved carbon neutrality

Aldi has announced that it is now carbon neutral across all its 900 stores and 11 distribution centres. In 2019 it will be offsetting the equivalent of 160,000 tonnes of emissions. This is through various initiatives including the purchase of 100% green electricity, a certified energy management system and a £20m investment in environmentally-friendly refrigeration systems. It is also supporting various projects being delivered by ClimatePartner. For example protecting forests and wildlife, and educating children on environmental conservation.

Aldi has said it will continually review its operations and reduce emissions where possible.

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We recently visited Lidl Dunstable. Read here how the retailer is showcasing fresh and appealing to families with its 2.0 format.
As Lidl continues its rapid expansion across Europe and the US, it is looking to build stronger relationship with its shoppers. As Lidl invests in its stores and expands the ranges and services it offers, identify your opportunities with the retailer as we explore the latest strategic priorities that will influence its future performance.

This in-depth guide to Sweden explores the key trends in grocery retail, growth strategies of the leading retailers and considers the developments to watch.

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Key presentations

As Lidl continues its rapid expansion across Europe and the US, it is looking to build stronger relationship with its shoppers. As Lidl invests in its stores and expands the ranges and services it offers, identify your opportunities with the retailer as we explore the latest strategic priorities that will influence its future performance.

This in-depth guide to Germany explores the key trends in grocery retail and the growth strategies of the leading retailers in the country.

An essential summary of trading priorities, latest developments, and other key commercial insights for Lidl.

We've developed a single, universal methodology for calculating food and consumer goods retail data, supported by our programme of primary and secondary research. This makes Retail Analysis the most reliable and robust source available for data of this type. 

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