Aldi UK reports record sales over festive period, with alcohol sales driving growth

The UK arm of German discount supermarket group Aldi has reported bumper sales over the Christmas trading period, boosted by record sales of its premium range and strong demand for its beer, wine and spirits.    

According to market researchers Kantar, the retailer enjoyed a sales increase of 0.4% on last year, or over 8% compared to before the pre-pandemic Christmas of 2019, and attracted more than half a million new customers.   CEO of Aldi UK Giles Hurley said there had been strong demand across the board for the multiple’s award-winning beers, wines and spirits, with English sparkling wine standing out in particular.

Customers snapped up over 5.5m bottles of Champagne, Prosecco and sparkling wine for the festive period, he noted.   “As the UK’s fastest growing supermarket in 2021, our premium Specially Selected range notched up its highest ever sales,” he continued. “There’s no doubt that 2021 was a long and difficult year for lots of people but our amazing colleagues stopped at nothing as they came together to deliver the Christmas that our customers deserved.”  

Last year the company, the UK’s fifth largest supermarket group with a 7.7% market share, said it was to create approximately 2000 jobs during 2022, and increase its investment to £1.3bn over the next two years, opening a further 100 new stores and distribution centres as well as refurbishing existing outlets.  

Aldi and fellow German rival Lidl have grown rapidly in Britain over the last decade, forcing the established big four supermarkets - market leader Tesco Sainsbury's Asda and Morrisons - to slash prices and compete more aggressively. Unlike their bigger rivals Aldi and Lidl are still opening lots of new stores.

"As we look ahead, the top priority for most families this year will be managing their household budgets in the face of rising living costs," said Hurley. UK consumers are about to be squeezed on spending, with energy prices, food inflation, mortgage costs and taxes all due to rocket  in 2022, leaving retailers looking at a much tougher environment.