Aldi and Lidl account for almost double the amount of the grocery market share in Ireland compared to the UK.
Aldi and Lidl together now account for 8% of the UK retail market, according to Dairyco. In comparison Aldi and Lidl together account for 15.7% of the grocery market share in Ireland, figures from Kantar Worldpanel for the week ending March 1, 2015, show.
Furthermore in Ireland, Aldi alone holds 8% of the supermarket share and Lidl holds 7.6% of the market, the Kantar figures show.
“Aldi and Lidl have been successful in going mainstream in the past five years, enticing an ever greater proportion of mainstream shoppers into their stores [in the UK]. The proportion of shoppers using these stores at least monthly has increased from 37% to 54% between 2010 and 2014 according to Institute of Grocery Distribution (IGD),” Dairyco says.
Dairyco says that in their home market of Germany, discounters such as Aldi and Lidl together account for around 37% of the grocery market share with 85% of all shoppers using Aldi at least once a year. However, Dairyco says that discounter growth has stalled in Germany, despite less competition from large multiple retailers compared to GB, suggesting a natural growth ceiling.
“The UK is a tough market for the discounters and most retail market analysts do not foresee them reaching a similar market share to Germany. However, rapid investment and expansion plans have led to an expectation of 11% annual growth between 2013 and 2018, resulting in a potential market share of 15%-20%,” Dairyco says.
Latest 52-week Kantar data shows that Aldi and Lidl have strong growth rates and are overtrading in these categories at a time when the overall market volumes are static or in decline.