Aldi confirms China entry

Date : 23 November 2016

Following recent reports that Aldi is preparing to launch in China, the discounter has now confirmed its market entry plans with local Chinese media.

Launch in first half of 2017

Aldi is preparing to enter China as soon as next year, after years of detailed feasibility studies. During the first half of the year, the discounter will launch a transactional website 'selling a carefully selected range of everyday grocery items to Chinese consumers via an online retailing platform with products delivered to consumers' homes', an Aldi spokeswoman has said. This will be the first time that Aldi will enter a new market via ecommerce as opposed to physical stores.

Demand for Australian products

Revealing Aldi's reasons to enter the Chinese market, the Aldi spokeswoman added: "We know there is a strong demand among Chinese consumers for Australian manufactured products and our goal is to provide a competitively priced alternative for shoppers seeking quality groceries. We believe our unique offer of high-quality Australian products at unbeatable prices will be an attractive proposition for Chinese consumers."

Most of the supermarket goods and wine will be supplied from Australia where Aldi is building its presence and has strong and long-standing suppliers relations: "Our growth across the country has provided increased business for these suppliers, allowing them to invest this back into their own operations and contributing to their success. We look forward to further expanding these relationships as we develop further opportunities in Asia."

Physical stores in the pipeline

As well as operating online, Aldi plans to bring its stores to China in 2017, however later in the year. Aldi will likely give its Chinese stores a local feel, adapting to the market, however we can look to what the discounter is doing with in-store in Australia to understand latest thinking. To see our latest Aldi Australia store visit report, click here.

Want to know more?

To read more news about Aldi's entry in to China, click here.

To better understand the Chinese grocery market, read our country presentation here.

Priya Chandarana is a Retail Analyst at IGD, specialising in research on the growing discount channel. To learn more about how IGD's research can benefit your business further, please get in touch - [email protected]