Aldi has unveiled plans to launch online next year after its operating profits slipped 4% to £260.3m in the year to December 31, 2014.

Aldi has unveiled plans to launch online next year after its operating profits slipped 4% to £260.3m in the year to December 31, 2014.

  • Aldi to launch transactional website in “early” 2016
  • Discounter’s UK and Ireland boss Barnes hails “exciting” move
  • Comes as the grocer reports a 4% dip in operating profits
  • But sales soar 30.7% to £6.89bn in year ending December 31

The discounter, which reported a 30.7% hike in sales to £6.89bn during the period, said it will begin selling wine by the case online from “early next year”. Non-food specialbuys will follow in the spring.

Aldi’s online proposition will offer customers home delivery and click-and-collect options from “third-party locations”.

“This will enable us to introduce the Aldi brand and some of our best-selling, best-quality and best-value products to thousands more customers across the UK”

Matthew Barnes, Aldi

The German grocer said the move formed “part of its long-term growth and investment strategy in the UK”.

Aldi UK and Ireland boss Matthew Barnes said: “Our launch online is another exciting chapter in our story. This will enable us to introduce the Aldi brand and some of our best-selling, best-quality and best-value products to thousands more customers across the UK.”

The move comes just months after Ben Hulme, head of beer and wine at Aldi’s discount rival Lidl, hinted that the grocer could launch its wine proposition online.

It also signals yet more competition in the online grocery sector at a time when US etail giant Amazon is poised to launch its Fresh proposition in the UK.

Retail Week revealed in August that Amazon had agreed a lease on a former Tesco warehouse in Surrey as a long-mooted move to bring its online grocery proposition to the UK seemingly edged a step closer.

‘Record investment’

Aldi, which operates 598 stores in the UK, said operating profits fell in 2014 owing to “record investment” during the 52-week period.

It ploughed £438m into stores and distribution centres, following a £274.3m outlay the previous year. Sales in the UK and Ireland are now closing in on the £7bn barrier, soaring from £5.27bn in 2013.

Aldi said the rocketing sales, which have now doubled in the space of just three years, were the equivalent of making an extra £31m in sales every week in the UK.

But profits dipped from £271.4m to £260.3m as the discounter presses ahead with its ambitious expansion strategy.

Scope for growth   

It “remains on course” to achieve its target of 1,000 stores by 2022 and is “on track” to open 65 new stores during 2015. The bold plan will see the discounter recruit 35,000 new staff during the next seven years.

The recruitment drive will more than double its current workforce, which stands at 28,000 people, including 600 apprentices and 350 graduates. Aldi pledged to create another 600 apprenticeships by the end of 2015.

Aldi increased sales by 17.3% in the 12 weeks to September 13, according to the latest figures from Kantar Worldpanel, making it the UK’s fastest growing grocery retailer for the 50th consecutive month.

It now holds a market share of 5.6% as the UK’s sixth largest supermarket, having overtaken Waitrose earlier this year.

Barnes added: “Our focus on offering the best-quality products and range at unbeatable, straightforward prices is bringing more and more shoppers through our doors, helping us to achieve consistent market-leading growth in sales.

“As the grocery market continues to evolve, our unique model, operational efficiency, private ownership and financial strength mean we’re able to keep investing in our business – from people and presence to products and prices.

“The past 25 years has been an incredible journey for Aldi in the UK. During that time, the grocery market has changed beyond recognition – and changed for the better. At present, there are still 47% of households that don’t shop with us. We’re hugely excited about the enormous scope for growth over the next 25 years.”