Last week I wrote a post about ALDI and how they are changing their business model slightly with the introduction of a new style of store. They’ve basically decided to take on the big boys in the competition by opening a few upmarket trial stores to poach customers directly from Coles’ and Woolworths’ supermarkets. Unsurprisingly, this in turn has threatened ’the big two’ which has lead to them innovating slightly.
The 2015 Q1 financials from Woolworths were dismal for the brand and its shareholders. Coles on the other hand had a great Q1, which showed strong performance across the company. Despite this, Coles is certainly going to have to keep a close eye on underdog ALDI as it relentlessly pursues the current Duopoly’s grocery empire.