The idea sounds too good to be true. Aldi Süd and Aldi Nord are to be merged in 2022. Boris Planer from the retail consultancy Edge by Ascential even considers this merger “inevitable” in an interview with the Wirtschaftsblatt.
The background to this is the high costs that Aldi incurs as a result of an increasing number of organic products, branded products, detergents in all fragrance notes and an ever larger assortment of fruits and vegetables.
Aldi needs more and more staff to order washing powder, diapers, water or wine. In addition, employees have to maintain a bakery and take care of the weekly changing range of brands.
According to the business magazine “Manager Magazin”, documents would prove that the costs had exploded in recent years. In 2018 Aldi Nord apparently even wrote red numbers, Aldi Süd barely hit a black zero. The background is not only the costs that arise from logistics, ordering goods, administration and new staff. The press office does not want to comment on the figures.
In fact, the renovation of the branches of Aldi Süd and Aldi Nord is causing high expenses. According to CHIP information, Aldi Süd and Aldi Nord have been planning lower sales and poorer balance sheets since 2017.
The company accepts low sales to drive investments of three billion euros for the modernization of Aldi Nord branches alone.
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