Skip to main content

Aldi and Lidl dismiss price challenge from Sainsbury’s-Asda

Aldi and Lidl have responded to the proposed Sainsbury’s-Asda merger by vowing to keep their prices lower than rivals.

A key benefit from the deal outlined by Sainsbury’s Chief Executive Mike Coupe last week was that the enlarged group’s increased buying power will allow it to reduce prices on everyday items by 10% in the hope that it can win back shoppers from the discounters.

In response, Aldi and Lidl have both stated that they will continue to remain the cheapest supermarkets in the UK, suggesting they will undercut any price reductions implemented by the new Sainsbury’s-Asda business.

Speaking to the Press Association, an Aldi spokesperson said: “We will never be beaten on price and are absolutely committed to maintaining the significant price gap between Aldi and our competitors.”

Meanwhile, Lidl said its global buying power and simple operating model provided it with “unparalleled resilience” when compared with rivals and that its customers “can be assured that we cannot be beaten on price.”

A Sainsbury’s spokesperson responded by saying: “We welcome competition and see this as more good news for British households.”

Latest grocery market share figures released last week by Kantar Worldpanel highlighted the reasoning behind Sainsbury’s and Asda’s proposed merger with both chains continuing to struggle for growth.  In contrast, Lidl and Aldi remained the UK’s fastest-growing supermarkets and continued to gain market share from their larger rivals.

Pin It

Related Articles

Spar reports growth of 3.3% as global retail sa...

SPAR, the world’s largest food retail voluntary chain, has seen annual retail sales break the €40 billion mark for the first time, today reporting global sales revenue of €41.2 billion for the year ending December 31st, 2021. The figures represent...

Informal Retail in Africa: Could Technology be ...

Since the turn of the century and consistently for nearly a decade before the COVID-19 pandemic ravished global markets, Africa was home to the fastest growing economies. The shoots of positive growth it demonstrated afforded it the title of the “...

Consumers need a good reason to shop this Black...

Last year’s Black Friday retail sales massively underperformed for many reasons, according to Marino Sigalas, Account Director at The MediaShop. He says that some consumers were not comfortable with the thought of being shoulder to shoulder with o...

Checkers launches deals onto its Sixty60 home d...

Retailer Checkers says that customers using its Sixty60 home delivery service will now be able to benefit from its Xtra Savings rewards programme.

SA wipe manufacturer Sani-touch is ahead of the...

In the UK a government minister is calling for a new law to ban wet wipes that contain plastic. Labour minister Fleur Anderson argues that around 90% of the 11 billion wet wipes used in the UK per year contain some form of plastic that turns into ...