UK | As it celebrates 30 years since opening its first stores in GB this month, Lidl has experienced the highest growth in customer visits of any supermarket last year.
As the fastest-growing supermarket for over a year, shoppers have switched half a billion dollars of spending to discounters from other grocers. Now a firmly established family brand, 60 percent of households shop at Lidl.
With over 35 million more shopping trips made to Lidl stores compared to the previous year, it has become clear that customers have been returning more frequently to the discounter. This also resulted in the highest increase in products sold across the sector, with shoppers putting over 267 million more items in their baskets than the year before.
Lidl's significant investments in infrastructure and store upgrades, including a quarter of a billion in fixed assets, have contributed to improved product freshness and an enhanced store experience.
These developments, expanded ranges, and continued commitment to competitive prices have increased customer trips. The discounter’s rewards app, Lidl Plus, has also contributed to this boost in footfall with a 24 percent increase in users this year.
These actions have contributed to Lidl's positive revenue and profit growth, as disclosed in its latest financial accounts. In the financial year ending 28th February 2024, earnings before interest and tax [EBIT] increased to £220.8m (FY23: £28.5m), and revenue increased by 16.9 percent from £9.3bn to almost £11bn.
In addition to investing in its people and producers and spending over £20 billion with British suppliers over the past five years, Lidl has strengthened its foundations for future growth.
It has accelerated its expansion plans with 18 new stores set to open in the next few months - including nine in the next four weeks alone - followed by around 40 more over the next financial year and hundreds more after that. Its newest store opened just last week in Bristol, nearly 30 years after Lidl opened its first ten stores in GB.
More recently, the discounter secured 326,000 more shoppers than any other supermarket. It saw particularly strong category growth across its fresh produce (+22 percent), becoming the fastest-growing grocery retailer in the fresh fruit, veg, and salad market.
Bakery grew from 10.8 percent to 16 percent in the last ten months, taking the discounter from fourth to the second largest retailer in the category.
“We’ve come a long way since we opened our first stores here 30 years ago, from stocking jars of frankfurters to now having over two-thirds of our products sourced from British suppliers,” said Ryan McDonnell, Lidl GB CEO.
“While our product range has continued to evolve, we’ve stayed true to our customer promise of offering the best value on the market. In doing so, we have become trusted by households across the country to be their one-stop shop while always supporting British food production.”
McDonnell added they had significant momentum and that although Lidl's ambitions have no ceiling, they won’t rest on their laurels.
“We’ve been laying the foundations for further growth whilst creating an even better store experience for shoppers. As we look to the future, our customers, colleagues, and suppliers can count on us to always offer the best value, pay, and long-term commitments to continue growing together.”
