Supermarket wars: Expert explains what ALDI's Rocky move means
ROCKHAMPTON shoppers are set to reap the rewards of a supermarket war.
ALDI will add a very different offering to Rockhampton's supermarket scene, a shopping expert says.
Dr Gary Mortimer (pictured below) is an expert on supermarkets and shopper behaviour with Queensland University of Technology.
He said today's announcement that ALDI would develop two stores in Rockhampton was a win for shoppers and would drive prices down across the region's supermarkets.
Rival supermarkets would be well aware of what was happening.
"ALDI is a very different business to a traditional supermarket, such as Coles and Woolworths,” Dr Mortimer said.
"We know when ALDI goes into a town or suburb it reduces prices across all supermarkets and shakes things up.”
He said ALDI's business model offered a lot fewer products, at lower prices.
"There isn't the broad range, but the prices are very low,” Dr Mortimer said.
He said ALDI's global buying power enabled it to achieve these bargain prices.
ALDI offers a range of different products to its rivals with "98% private labels” and iss moving towards offering more fresh produce options.
"Interestingly, ALDI offers a fairly high component of Australian-made products,” Dr Mortimer said.
He said ALDI would have done its research before making this move.
"ALDI has taken a very slow, staged approach since its introduction in 2001,” Dr Mortimer said.
"ALDI would have looked at Rockhampton and considered the viability of the stores.”
He said research showed shoppers tended to buy their groceries at a number of outlets over a fortnightly period.
IGA customers were the most loyal, followed by Coles and Woolworths with ALDI at the lower end of the scale.
He urged Rockhampton people to keep an eye on ALDI's diverse range of weekly specials.