Aldi shakes up the Aussie retail market

Insight

Aldi shakes up the Aussie retail market

Despire only having 12% market share (vs Woolworths & Coles combined 70% share), the Aldi brand is stronger across all participation pillars.  

Evidence

Aldi beats closest rival Coles across all participation scores by as much as 50%. This is particularly pronounced when it comes to culture-shaping and category innovating metrics, where Aldi leaves Coles in the dust. For example, while 47% of people either agree or strongly agree that Aldi is ‘hot right now’, only 27% would say the same about Coles.

Implication

Market share isn’t always a reflection of brand health if brands behave the right way. Aldi’s disruptive business model, challenger approach to brand communications and clear value proposition in the Australian market has shaken up the previous retail duopoly. In just 10 years, Aldi’s share has more than doubled while big-players Coles & Woolworth’s have dropped. Here’s proof that with the right approach, strong participation brands can be built quickly and effectively – with clear commercial results.