Aldi opens ware­house

Cockburn Gazette - - STREET WATCH -

IT will en­ter a mar­ket dom­i­nated by Coles and Wool­worths, yet Aldi be­lieves con­sumer ap­petite for an al­ter­na­tive will en­sure it is a hit from the get-go.

On Wed­nes­day, the Ger­man gi­ant opened its 45,000sqm dis­tri­bu­tion cen­tre in Jan­dakot.

The $60 mil­lion hub is now re­ceiv­ing stock, with the chain to open its first WA stores in Mirra­booka Square, Bel­mont Fo­rum, Lake­side Joon­dalup and Kwinana on June 8.

Twenty stores, in­clud­ing one in South Lake, should be open across the state by the end of the year.

Aldi, which opened its first Aus­tralian store in 2001, has proven a hit on the east coast and en­joys a 12.1 per cent share of Aus­tralia’s su­per­mar­ket space.

Wool­worths leads the mar­ket with 37.3 per cent, with Coles tak­ing 32.5 per cent. Aldi man­ag­ing di­rec­tor Damien Schei­del was con­fi­dent lo­cal con­sumers would take to the news guys on the block.

“We know there is a strong ap­petite among lo­cal res­i­dents for an al­ter­na­tive shop­ping ex­pe­ri­ence and we are ea­ger to show them the dif­fer­ence we can make to their wal­lets and their life­styles.”

Jan­dakot MLA Joe Fran­cis said shop­pers would ben­e­fit, with the Ger­man com­pany de­vel­op­ing a “cult-like fol­low­ing” ev­ery­where it goes.

“It cre­ates sig­nif­i­cant price pres­sures against the big play­ers,” he said.

“The peo­ple who ben­e­fit from that of course are the con­sumers who will see greater com­pe­ti­tion and choice in the re­tail sec­tor.”

About 400 jobs have been created at the dis­tri­bu­tion cen­tre, which will ser­vice up to 70 stores across WA in the long term.

An ex­tra 800 jobs should be created once all stores are up and run­ning.

The com­pany will stock 1350 prod­ucts, with 90 per cent of those be­ing Aldi-ex­clu­sive brands.

Lo­cal pro­duc­ers should ben­e­fit, too. Last fi­nan­cial year, the com­pany sold more than $80 mil­lion worth of WA gro­cery prod­ucts and last week an­nounced New­town Or­chards and WA Farm Di­rect as new sup­pli­ers.

Mr Fran­cis said Aldi would not have been es­tab­lished in WA with­out dereg­u­lated trad­ing hours.

“You should be able to open when you make money and shut when you don’t,” he said. “Your con­sumers should dic­tate the trad­ing hours.”

Pic­ture: Marie Nirme d454210

Jan­dakot MLA Joe Fran­cis and Aldi WA state man­ager Damien Schei­del.

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.