Savvy shoppers are sold on Aldi

By Emily Andrews

Last updated at 10:16 27 July 2007


It is known as the Primark effect. Just ten years ago no fashion-conscious shopper would admit to even browsing in cut-price stores.

These days they are happy to be seen leaving Primark, Peacocks and Matalan, clutching bagfuls of bargains.

Next stop, it seems, is the discount supermarket. Cut-price chains such as Lidl, Aldi and Netto are attracting hordes of well-to-do shoppers.

Initially lured by offers of cheap computers and electrical goods, they have stayed to do their weekly shop.

The proportion of ABC1 shoppers - professionals with high spending power - visiting discount stores has risen by 13 per cent over the last four years, according to retail analysts HIM.

In 2003, 32 per cent of the 2,000 adults surveyed who shopped in discount stores were in the highest social demographic. This year it was 45 per cent.

And the number of shoppers using these lowcost supermarkets has almost doubled in the same period - from 6 per cent of the population in 2003 to 11 per cent today.

And the discounters' share of the overall grocery market is predicted to rise from 5 to 6.7 per cent in the next two to three years as more householders tighten their belts.

Tom Fender, sales and marketing director at HIM, said falling disposable income would ensure discounters attracted new customers.

"People still need to eat and drink but more people will go for standard products rather than luxury ranges," he said.

The fact that the stores are making an effort to improve their appearance has also played a part.

"The discounters are not just maintaining a strong price position, they are also improving the shopping environment," Mr Fender said.

"They are investing in presentation and fresh produce and greatly improving the ambience instore.

"We have found that these stores are not just the preserve of the working classes.

"Where once there might have been an embarrassment factor for shopping there, now customers are appreciating the keen prices and good range of products.

"I think the middle classes have also been attracted by high quality European ranges such as top quality German salami and cheeses at places like Aldi."

Lidl's marketing manager Patricia Lopes agreed on the rise of the middle-classes.

"We have found that increasingly customers are attracted to us due to excellent prices on products such as electronics and then they discover the food range is good too," she said.

"Anecdotal evidence suggests these are increasingly middle-class shoppers and we are now looking for new sites accordingly - such as on busy high streets. I think all people want to be smart shoppers. In the current economic climate they are more aware of saving money.

"If you look at Primark, a few years ago no one would have been seen dead shopping there. Now they have a huge flagship store on Oxford Street in London and everyone flocks there."