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Aldi Debuts Bakery, Fresh-Forward Layout

New look at renovated unit near HQ could see additional rollout, sources say. Aldi US is quietly testing a new layout featuring what could be the hard discounter’s first fresh bakery section, along with a new design that moves fresh produce to the first aisle.

Jon Springer, Executive Editor

January 1, 2018

2 Min Read

Aldi US is quietly testing a new layout featuring a fresh bakery section along with a new design that moves fresh produce to the first aisle, sources told Winsight Grocery Business.

bakery sign

The changes have taken place at a remodeled Aldi store that reopened in late November near its corporate headquarters in Batavia, Ill., and resembles the self-serve fresh bakery departments the chain operates at some locations in Europe, as well as those introduced by its German hard-discount rival, Lidl, at its first U.S. stores.

The changes could position the hard-discounter to win a greater share of its customers’ overall shopping budget, and represent a heightened threat to conventional competitors that differentiate on fresh.

“It was only a matter of time before Aldi would match Lidl’s in-store bakery concept on the East Coast,” Bill Bishop, chief architect at Brick Meets Click, wrote in a blog post detailing a recent visit to the new store. “Based on the popularity of this bakery, it seems quite likely that more will be added in remodeled Aldi stores as space permits.”

Liz Ruggles, a spokesperson for Aldi, in a statement to WGB said the retailer has been experimenting with in-store bakeries in select locations for about a year, although she did not indicate the number of stores or their locations. "We’re continually testing new and exciting items to make grocery shopping smart, fast, easy and affordable," she said.

Related:ALDI Will Accept Credit Cards at Stores Nationwide

Almost a year ago, Aldi announced a $1.6 billion commitment to upgrade nearly its entire existing store fleet, adding additional space for fresh items; raising ceilings and allowing more natural light for a brighter feel; and upgrading decor and fixtures. Yet its renovated and new stores have not included a bakery until now; most have featured a first aisle consisting of packaged goods, with fresh foods in the center and rear of the store. It was not immediately clear whether the design would be replicated at additional stores.

deli

According to Bishop, customers entering the Batavia remodel are greeted with an organic produce display, which continues along the first aisle of the store that also includes refrigerated deli products. The bakery, like those at Lidl, is stocked from a production area through windows for customers to bag themselves. Available items include breads, rolls, donuts, croissants and pretzels, Bishop said.

bakery

Bishop also described a “really strong visual reinforcement of fresh” through new signage and graphics.

“Aldi’s emphasis on fresh represents a direct attack on the fresh perimeter departments where sales are growing and grocers have traditionally differentiated themselves from competition,” he said.

Related:ALDI Teams Up with Registered Dietitians to Simplify Healthy Living for Shoppers

This story has been updated with comment from Aldi.

Photos by Bill Bishop/Brick Meets Click

About the Author

Jon Springer

Executive Editor

Jon Springer is executive editor of Winsight Grocery Business with responsibility for leading its digital news team. Jon has more than 20 years of experience covering consumer business and retail in New York, including more than 14 years at the Retail/Financial desk at Supermarket News. His previous experience includes covering consumer markets for KPMG’s Insiders; the U.S. beverage industry for Beverage Spectrum; and he was a Senior Editor covering commercial real estate and retail for the International Council of Shopping Centers. Jon began his career as a sports reporter and features editor for the Cecil Whig, a daily newspaper in Elkton, Md. Jon is also the author of two books on baseball. He has a Bachelor of Arts degree in English-Journalism from the University of Delaware. He lives in Brooklyn, N.Y. with his family.

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