Schwarz to expand Lidl to the U.S. and Kaufland to Turkey

Schwarz to expand Lidl to the U.S. and Kaufland to Turkey
German retailer Schwarz Group is seriously considering to expand its Lidl discount operation to the U.S. Chief executive Klaus Gehrig confirmed this in an interview with a local German newspaper. If this would become a reality, Lidl follows its main competitor Aldi who has been active in the U.S. since 1976.

Already in 1976 Aldi South ventured across the Atlantic to set up a chain of discount stores. In 1979 Aldi Nord acquired U.S. retailer Trader Joe’s, plus a minority stake in Albertson’s (currently owned by Safeway Inc.). When Lidl sets up shop in the U.S. the discount battle between both German archrivals will also be fought in the world’s largest modern retail market.

Gehrig said to the ‘Heilbronner Stimme’ (Voice of Heilbronn) that Schwarz Group thinks the U.S. an excellent market for Lidl. He also said that Schwarz’ fiscal year ending February was succesful, with Lidl recording double-digit sales increases to a sales level of €44bn. Schwarz’Kaufland hypermarket business is also expanding rapidly and the retailer is currently eying expansion to the Turkish market. This year Schwarz seeks to establish online retailing as a separate third business unit.
Published 07-03-2007 (13:48) by Pascal Kuipers

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