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Aldi just revealed its secret plan to beat Walmart’s low prices

Aldi just revealed its secret plan to beat Walmart’s low prices

Mike Timmermann May 15, 2017
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Aldi and Walmart are two retailers that are different in so many ways, but they’re both being extremely disruptive to the grocery industry — driving food prices down nationwide.

Now, Aldi is making some changes to secure its place as the cheapest grocery store chain in America.

Read more: Secret Aldi savings trick you probably haven’t tried

Grocery store wars: Aldi vs. Walmart

According to a recent Market Force survey of shoppers, when it comes to value, Aldi was the top-ranked food retailer, while Walmart placed sixth.

Aldi CEO Jason Hart told Reuters that its prices are 21% lower than its lowest-priced competitors.

To maintain that advantage, Hart says Aldi plans to stock its shelves with more private-label items, which the chain says are up to 50% cheaper than name brands.

There are currently nearly two dozen Aldi exclusive labels, each with a money-back guarantee.

Aldi’s strategy also focuses on a previously reported growth plan. In addition to opening hundreds of new stores, the company is spending $1.6 billion to remodel and expand more than 1,300 U.S. locations by 2020.

Aldi provided Clark.com with these pictures of the changes coming soon:

Aldi says your favorite items are here to stay, but the focus going forward is really on fresh foods.

“We’re continuing to expand our fresh offerings, which means we need to provide more space for produce, meat and bakery items,” said Hart. “We’ve also made a number of improvements to our products – such as removing added MSG, certified synthetic colors and partially hydrogenated oils from all of our ALDI exclusive brand foods.”

As Walmart aims to earn back its title as the low-cost grocery leader, Reuters reports that Aldi’s CEO has pledged to change prices more often to respond to rivals.

Read more: America’s grocery stores ranked from best to worst

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Michael Timmermann paid off his mortgage in two years. Now, he shares his money-saving tips on his blog, Save on Almost Everything.
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