Aldi plans to add 800 of its discount grocery stores across the United States in a five-year expansion plan as it looks to capitalize on cost-conscious Americans feeling the pinch at grocery stores.
Inflation under President Joe Biden has led many consumers to change the way they shop.
Hurting from prices that remain about 19 percent, on average, above where they were four years ago, consumers are seeking new avenues to cut down on spending.
In grocery stores, they’re shifting away from name brands to store-brand items, switching to discount stores or simply buying fewer items like snacks or gourmet foods.
U.S. prices for food eaten at home typically rise 2.5 percent per year, but in 2022 they rose 11.4 percent and in 2023 they rose another 5 percent, according to government data.
Aldi said Thursday that its plan includes new store openings and store conversions.
It’s looking to add almost 330 stores across the Northeast and Midwest regions by the end of 2028.
The company also will add more stores in Southern California and Phoenix and enter new cities, including Las Vegas.
Aldi, which recently closed on its acquisition of Southeastern Grocers, said it will convert a significant number of Winn-Dixie and Harveys Supermarket locations to its format over the next several years.
Do you shop at Aldi?
“Our growth is fueled by our customers, and they are asking for more ALDI stores in their neighborhoods nationwide,” Aldi CEO Jason Hart said in a statement.
The company, based in Batavia, Illinois, just west of Chicago, will invest more than $9 billion into its national expansion.
The Federal Trade Commission sued last month to block a proposed merger between grocery giants Kroger and Albertsons, saying the $24.6 billion deal would eliminate competition and lead to higher prices for millions of Americans.
Kroger and Albertsons, two of the nation’s largest grocers, agreed to merge in October 2022.
The Western Journal has reviewed this Associated Press story and may have altered it prior to publication to ensure that it meets our editorial standards.
