As part of ESM's annual Private Label Issue, we spoke to Nastaran Amirhaji at Aldi Süd, about how the discounter is seeking to keep ahead of future trends in private label.This article first appeared in ESM Issue 3 2021.
Like its peer, Aldi Nord, discounter Aldi Süd is dominated by private label – some 90% of the products sold on its shelves are developed in-house. Having this level of control over its supply chain has served the retailer well during the pandemic, with consumer demands shifting more towards high-quality products that meet the needs of a balanced diet, according to the retailer.
“When designing our range, we decided a few years ago to focus on more freshness, quality, sustainability and regionality,” says Nastaran Amirhaji, Aldi Süd’s national communications spokesperson. “In this way, our customers find exactly the selection they need for a conscious lifestyle. We believe that the trend towards more sustainability, conscious nutrition, mindfulness, and, in general, a health-oriented way of life will continue to intensify.”
What’s Next
With that in mind, the discounter has also actively sought to foster innovation in private label. It recently established a new own-brand, What’s Next, alongside Aldi Nord, which offers contemporary, innovative products developed in conjunction with a range of start-ups.
“[The products unveiled to date include] protein ice-cream bars, collagen drinks (pictured above), the Air Up drinks system, and a reusable carrier bag that doubles as a backpack,” says Amirhaji.
Nutritional Focus
Since March, both Aldi Süd and Aldi Nord have placed Nutri-Score labelling on their products, on ranges such as Sweet Valley, King’s Crown, Pizz’ah and All Seasons, with Amirhaji noting that the consumer response to the move has been positive.
“The Nutri-Score makes it easier for our customers to compare products within a category and helps to integrate a conscious diet into everyday life,” she says. “We inform our customers in a transparent manner about the Nutri-Score, and have also introduced an explanatory film that can be found on our website.”
Allied to this, Aldi’s recently unveiled corporate responsibility strategy, Vision 2030, which seeks to ramp up the group’s sustainability efforts, is also likely to influence how its private-label products are developed, going forward.
“It is important to us that our range is as sustainable as possible,” says Amirhaji. “This should not only be shown by the corresponding indicators on our products, but also through more sustainability along the entire supply chain. Through our own brands, we can have a major influence on sustainable production methods and specify the high social and environmental standards according to which our goods are manufactured.”
Looking ahead, Aldi Süd sees more opportunity to work alongside Aldi Nord on private-label strategy – a selection of own-brand products have been available in both retailers for about a year now, including Gut Bio and vegan brand The Wonder.
“Modern own-brands are an important, unique selling point,” says Amirhaji. “In the future, we will jointly focus more on trend products and innovations.”
© 2021 European Supermarket Magazine. Article by Stephen Wynne-Jones. For more Private Label news, click here. Click subscribe to sign up to ESM: European Supermarket Magazine.