Lidl, one of the German discounters transforming the UK grocery landscape, is seeking to move around the corner from Buckingham Palace and the Houses of Parliament, as it takes its low prices and limited assortments to some of London’s richest shoppers.
Already finding favour with Britain’s middle classes, Lidl is seeking locations in parts of the capital such as Mayfair, a district known for its luxury mansions and posh hotels. The purveyor of £11.49 ($17.71) Châteauneuf-du-Pape seeks to open five stores in the Borough of Westminster and a further two in the affluent districts of Kensington and Chelsea, according to an internal list of store-opening priorities sent to Bloomberg.
The plans illustrate the growing adoption of discount retailers at all levels of British society. Almost 10 pence in every pound spent in UK supermarkets now goes through the tills of Lidl and fellow German chain Aldi, as the retailers overcome stereotypes of being dimly lit outlets where only poor people shop. By targeting some of the country’s richest neighbourhoods, the chains are showing that their plans have few boundaries.
“We’re seeing strong demand, particularly within the Greater London area,” Richard Taylor, Lidl’s UK property director, said in a statement.
Since entering the UK in 1994, Lidl has increased its store count to more than 620 outlets in the country, and the retailer has plans to almost double that number. It has 70 outlets within the M25 motorway orbiting London, and wants to add a further 281 locations in and around the capital, according to the list.
Lidl’s London site requirements also include East Finchley, where Arab princes and steel-magnate Lakshmi Mittal have resided on the exclusive Bishops Avenue. The search for a store in the Westminster and Victoria districts would put the seller of £4.99 Venison en croute within sight of the Houses of Parliament.
The new outlets would attract shoppers seeking to save money, even from the upscale Waitrose chain, said Nick Bubb, an independent retail analyst.
“There are a lot of Waitrose shoppers in more affluent London areas who would try Lidl,” Bubb said by email.
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