Aldi wine team grows market share as rivals falter

Aldi has been the big winner in the wine category over Christmas and the start of 2016, having emerged as the only major retailer in growth (Kantar, 12 weeks to February 28, 2016).

The retailer grew its wine value sales by 4.4% in the 12-week period, which saw all the other multiples and the convenience and independent channels suffer declining value sales in the category.

Figures for the 24 weeks
 to February 28 paint a better picture for the overall sector, with Lidl and Waitrose increasing sales and strong growth in the independent and convenience channels.

But Aldi – which was named Supermarket of the Year and Wine Retailer of the Year at OLN’s 2016 Drinks Retailing Awards in February – is surging ahead.

In the past year it has grown its share of the BWS market to 4.8% and its share of the wine category to 5.5% (Kantar, 52 weeks to February 28, 2016).

Its overall grocery share is 5.8%, so it still undertrades in BWS, leaving more potential for growth.

Tony Baines, joint managing director of corporate buying at Aldi, told OLN: “We’re thrilled with the latest data.”

He added: “Our beers, wines and spirits range has been a real driving force behind our success, and we’re pleased consumers are continuing to enjoy our value offering.

“We’re particularly pleased to have launched our e-commerce operation earlier in the year, bringing our award-winning wine range to thousands more customers across the UK, including those who may not currently live near an Aldi store.”

Aldi’s wine sales are up 5.3% in the past year and its BWS sales are up 8.2% (Kantar).

Aldi’s online arm is helping to drive growth. It was launched in late January and, with more than 130 wines in the online range, early results are indicating that Aldi is capturing a new raft of consumers on the back of its ever-increasing reputation for wine, most notably in parts of the UK where Aldi stores are thinner on the ground.

The most significant online sales are coming from the London area, based on Aldi’s consumer data.

Wine has been picked as one of the pioneer categories for its first foray into the online universe, alongside bathrooms, bedrooms and “outside living”. Grocery is not currently available online.

Aldi’s online offer is based on cases of six wines – either mixed or single – and includes free delivery.

The selection incorporates Aldi’s core value range, along with an online exclusive tier of wines, including the value Spanish Toro Loco range.

The retailer is focusing increasingly on a more premium selection, including a Chablis Premier Cru and its Château La Marzelle Saint-Emilion Grand Cru both priced at £12.99.

Aldi is launching its spring and summer offer in store, with new additions to both its premium Exquisite Collection and The Lot Series ranges.

A range of flavoured vodkas, cocktail liqueurs and more than 15 regional beers are
also being added to the BWS portfolio from May.