Are shoppers ditching ALDI for Woolworths?
- Replies 18
The Australian supermarket scene is a battlefield, with giants like Woolworths, Coles, and ALDI vying for the loyalty of customers.
As a seasoned shopper, Jo Abi from 9Honey has been a faithful ALDI customer for nearly two decades, relying on the supermarket’s discounted prices to feed her family during tough times.
However, recently, she found herself straying from ALDI’s aisles and wandering into Woolworths and Coles more frequently.
She shares why below.
According to a survey by Finder, 48 per cent of Aussie shoppers prefer Woolworths, followed by Coles at 39 per cent and ALDI at 10 per cent.
The remaining shoppers frequent independent stores like their local IGA.
Squaring this with ALDI’s reputation as a haven for budget finds, Abi shared her observation.
‘In terms of cost and amid the current cost-of-living crisis, this just doesn't make sense.
But it does if you look at other factors that determine people's supermarket choice,’ she explained.
Adam Ferrier, a Consumer Psychologist and Founder of Thinkerbell, suggested that the popularity of Woolworths and Coles over ALDI can be attributed to two main reasons: a more engaging shopping experience and convenience.
‘People go to the closest supermarket to them,’ he shared.
‘Location accounts for the most variance in supermarket preference, and both Coles and Woolworths have many more locations than ALDI.’
Meanwhile, Jo stated that ALDI's shopping experience can be described as 'no-frills'.
‘Their product range remains largely unchanged, focusing on providing customers with a simplified, cost-effective shopping experience,’ she said.
Peter Resanceff, a Consumer Psychologist, Behaviouralist, and Brand Strategist, supported this statement. He said that ALDI's business model is 'about saving the consumer money’.
However, this approach may not appeal to all shoppers.
‘By providing customers with a pared-back and simplified supermarket shopping experience, they aim to cut out unnecessary costs and pass these savings on to customers,’ he explained.
‘But therein lies the rub—certain aspects of this simplified business model necessarily result in a shopping experience that doesn't suit every type of shopper.’
Social stigma also plays a role in this situation.
It is believed that in the early days of ALDI's Australian presence, there was a certain stigma attached to shopping at the discount supermarket.
‘I recall running into fellow school mums at ALDI who seemed defensive about being seen there,’ Jo stated.
However, Ferrier believes ALDI has largely overcome this stigma, positioning itself as a place for smart, savvy shoppers.
‘I think ALDI have positioned themselves very well in the market as a place where smart, savvy shoppers shop,’ he said.
‘They've substantiated this well with a quirky tone that makes shopping there feel both cheap but also fun.’
The larger chains, Woolworths and Coles, also have the capacity to add value and create memorable shopping experiences.
‘They have trialled quiet hours and hours with lower sensory stimulation, however, could they do the opposite and have disco hour, or singles nights and try and make the shopping experience more of an experience,’ Ferrier shared.
Beyond price, the quality of products is a significant factor for Australian shoppers. 'Very few shoppers actually shop for the lowest costs baskets,' Ferrier said. 'Most wouldn't know.'
Meanwhile, Resanceff pointed out that ALDI's limited product range often necessitates a trip to Woolworths, Coles, or greengrocers to complete a shopping list.
‘So many ALDI shoppers also visit Coles and Woolies for the things they can't get from ALDI,’ he claimed.
In the end, the choice of supermarket often comes down to a combination of factors, including price, product range, quality, location, and shopping experience. As consumers, understanding these factors can help us make informed decisions and get the best value for our money.
So, where do you prefer to do your grocery shopping? Do you stick to one supermarket, or do you shop around? Share your thoughts and experiences in the comments below.
As a seasoned shopper, Jo Abi from 9Honey has been a faithful ALDI customer for nearly two decades, relying on the supermarket’s discounted prices to feed her family during tough times.
However, recently, she found herself straying from ALDI’s aisles and wandering into Woolworths and Coles more frequently.
She shares why below.
According to a survey by Finder, 48 per cent of Aussie shoppers prefer Woolworths, followed by Coles at 39 per cent and ALDI at 10 per cent.
The remaining shoppers frequent independent stores like their local IGA.
Jo Abi from 9Honey shared why she’s ditching ALDI. Image credit: Pexels/emirkhan bal
Squaring this with ALDI’s reputation as a haven for budget finds, Abi shared her observation.
‘In terms of cost and amid the current cost-of-living crisis, this just doesn't make sense.
But it does if you look at other factors that determine people's supermarket choice,’ she explained.
Adam Ferrier, a Consumer Psychologist and Founder of Thinkerbell, suggested that the popularity of Woolworths and Coles over ALDI can be attributed to two main reasons: a more engaging shopping experience and convenience.
‘People go to the closest supermarket to them,’ he shared.
‘Location accounts for the most variance in supermarket preference, and both Coles and Woolworths have many more locations than ALDI.’
Meanwhile, Jo stated that ALDI's shopping experience can be described as 'no-frills'.
‘Their product range remains largely unchanged, focusing on providing customers with a simplified, cost-effective shopping experience,’ she said.
Peter Resanceff, a Consumer Psychologist, Behaviouralist, and Brand Strategist, supported this statement. He said that ALDI's business model is 'about saving the consumer money’.
However, this approach may not appeal to all shoppers.
‘By providing customers with a pared-back and simplified supermarket shopping experience, they aim to cut out unnecessary costs and pass these savings on to customers,’ he explained.
‘But therein lies the rub—certain aspects of this simplified business model necessarily result in a shopping experience that doesn't suit every type of shopper.’
Social stigma also plays a role in this situation.
It is believed that in the early days of ALDI's Australian presence, there was a certain stigma attached to shopping at the discount supermarket.
‘I recall running into fellow school mums at ALDI who seemed defensive about being seen there,’ Jo stated.
However, Ferrier believes ALDI has largely overcome this stigma, positioning itself as a place for smart, savvy shoppers.
‘I think ALDI have positioned themselves very well in the market as a place where smart, savvy shoppers shop,’ he said.
‘They've substantiated this well with a quirky tone that makes shopping there feel both cheap but also fun.’
The larger chains, Woolworths and Coles, also have the capacity to add value and create memorable shopping experiences.
‘They have trialled quiet hours and hours with lower sensory stimulation, however, could they do the opposite and have disco hour, or singles nights and try and make the shopping experience more of an experience,’ Ferrier shared.
Beyond price, the quality of products is a significant factor for Australian shoppers. 'Very few shoppers actually shop for the lowest costs baskets,' Ferrier said. 'Most wouldn't know.'
Meanwhile, Resanceff pointed out that ALDI's limited product range often necessitates a trip to Woolworths, Coles, or greengrocers to complete a shopping list.
‘So many ALDI shoppers also visit Coles and Woolies for the things they can't get from ALDI,’ he claimed.
In the end, the choice of supermarket often comes down to a combination of factors, including price, product range, quality, location, and shopping experience. As consumers, understanding these factors can help us make informed decisions and get the best value for our money.
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