Aldi is one of the grocery stores in the world that is expanding its business rapidly. But, it seems like the company is not ready to move to New Zealand. Other than Aldi, other such companies do not enter a country with no reasons behind them.
Aldi Locations
Aldi is famous for selling various products to the market. The company sells regionally famous products. This is one of the reasons why they are highly successful in the world market right now. Ever since its establishment in the market, the company split into two parts. The two parts operated differently across the country and expanded their business.
The separate groups of Aldi were branded and advertised differently. Interestingly, the name of two Aldi companies was Aldi Nord and Aldi Sud. Later in 1962, the owners of two separate brands renamed their business, Aldi.
Today, Aldi operates over 10,000 stores in more than 20 countries. Additionally, with all the stores combined Aldi has an estimated turnover of 50 million Euros. Currently, the supermarket chain is planning to expand its business all over the United States of America.
Why Aldi is not ready to come New Zealand?
Any multinational business when entering a new market should do the research. In the same way, Aldi did their research for entering the New Zealand market. The company did its homework before entering the New Zealand market.
The result that Aldi found out was not up to the mark. New Zealand is a country with less population as compared to other countries. The population of New Zealand is not more than six million which was the first drawback for Aldi.
Now, if we compare that to the US market it is far ahead of New Zealand. Additionally, the consumers in New Zealand prefer the current supermarket store more than anything. Foodstuffs the grocery store company is currently running in New Zealand. Interestingly, consumers highly prefer going to this multinational store.
Now, almost 85 percent of the market has been captured by Foodstuffs and Countdown. As a result, it is becoming difficult for Aldi to enter the New Zealand market with such competition. Aldi found out that, if they enter the New Zealand market then there will be high competition. So, the company is not yet planning to enter the New Zealand market.
Other Reasons why Aldi is not willing to come to New Zealand
Other than competitors, there are a few more reasons why Aldi is not willing to come to New Zealand. If Aldi tries to enter the New Zealand market then they would not find any suitable location. To open up a supermarket store, the location should be suitable for the consumers.
If Aldi entered New Zealand then they would find it difficult to find a preferable location to open a supermarket store. The dominating supermarket companies have already taken the best sites possible. Still, if Aldi tries to enter New Zealand then they would surely face a huge loss.
Interestingly, few American-based supermarket stores are planning to open stores in New Zealand. Now, if such happens the competition will go higher and as a result, there will be less chance for Aldi to survive.
But, Aldi is playing good business as they are just watching the market of New Zealand. If Aldi finds out any chance to enter New Zealand then, we are quite sure they won’t let it go. New Zealand might have few populations as compared to other markets but, the location of the country is ideal for business.
Costco Entering New Zealand
Costco, the world-famous wholesale corporation has revealed that they are entering New Zealand. Quite recently, the big-box store company made the statement official. The management of Costco revealed that they are planning to enter New Zealand by the middle of next year.
Now, we could expect that there is going to be huge competition in New Zealand. Costco is famous for serving and listening to customers. We are quite sure that they will not back down after they have entered the market.
Let us just hope the best for Aldi in their coming future. Still, the people of New Zealand are expecting Aldi to debut in their country soon.
Conclusion
Aldi as a company has grown enormously throughout the world. The company is best known for listening to customers and acting upon them. Wherever Aldi has entered, the supermarket company has dominated the market. So, we could expect the same if they enter New Zealand soon.
Is Aldi planning to open new stores in America?
Answer- Yes, Aldi has planned to open up around 100 stores in the country.
Who builds Aldi stores?
Answer- Aldi stores are built by Steward Constructions.
What is the full form of Aldi in German?
Answer- Aldi, is the short form for Albrecht Discount. The company primarily offers heavy discounts on various products.
