Aldi US widens its wine offerings

Shopping for wine at Aldi U.S. stores, is now more global. The Batavia, Illinois-based chain on Friday launched a new, premium wine collection of 10 bottles under its Specially Selected label. With bottles priced under $10, shoppers can now select wines from distinctive regions around the world including Côtes de Provence in France, Uco Valley in Italy and Marlborough in New Zealand, as well as vineyards in Spain’s Rioja and Australia’s Barossa Valley. In recent years, Aldi has seen double-digit growth on wine sales, WGB caught up with Joan Kavanaugh, VP of national buying at Aldi, to learn more about the discount grocer’s expansion of its private-label wines.

WGB: Aldi US shoppers were first introduced to the Specially Selected brand in 2013. The discount grocer’s premium brand features a range of specialty products from gourmet pastas, premium meats, cheeses and now wine. Looking to again marry gourmet foods with low prices, is there a large market opportunity that private-label wine creates?

JOAN KAVANAUGH: In June, sales of private label wines were up 9.1% across the entire industry, according to Circana. At Aldi, we’ve seen consumer demand for our exclusive wines in-line with this, up double digits in recent years. We expect this trend to continue as inflation puts pressure on consumers' budgets, especially headed into the holidays when people are entertaining more and don’t want to compromise quality and price.

 WGB: Aldi is considered by many as a private-label pioneer in the grocery space. In fact, many Aldi products are proprietary Aldi brands. What is special about the Specially Selected wine collection?

KAVANAUGH: The launch of our Specially Selected Wine Collection is another way Aldi is delivering a carefully curated range of products that removes the guesswork from grocery shopping to deliver shoppers exactly what they need at the best prices in the market.

While all of our Specially Selected products meet consumers’ demand for premium items, this line in particular ensures they have access to perfectly pairable wines from across the world at affordable prices. Aldi private label partners include eight of the top 25 wineries in the U.S., who make up over 75% of the market share. Embodying affordable luxury, U.S. shoppers can take a global tasting tour of the world’s most distinctive wine regions from wineries that we’ve maintained strong relationships with for over 40 years. 

WGB: As a hard discounter, shoppers are seeking value, so how does Aldi keep prices low on globally sourced wine?

KAVANAUGH: Our direct relationships with wineries and winemakers over the span of 40 years and our simple, efficient approach to operations helps us cut costs and pass on savings to our customers. By cutting out the middleman, we can keep prices low without sacrificing quality. Our Specially Selected Wine Collection is available for under $15 so that customers can enjoy some of the best wines sourced from distinctive regions around the world at the lowest possible prices.