Manufacturing & Supply Chain

ALDI records €1.1 billion spend with Irish suppliers in 2023 and economic impact of €757 million, as retailer marks 25 years in Ireland

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ALDI records €1.1 billion spend with Irish suppliers in 2023 and economic impact of €757 million, as retailer marks 25 years in Ireland

ALDI records €1.1 billion spend with Irish suppliers in 2023 and economic impact of €757 million, as retailer marks 25 years in Ireland
June 12
09:49 2024
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ALDI’s economic contribution to Ireland in 2023 was €757 million as the retailer spent €1.1 billion with Irish suppliers, according to its latest economic impact report, ‘ALDI in Ireland, 1999-2024′. The report was published as the retailer marks 25 years in the Irish market and records the impact it has made on the economy since entering the country in 1999.  

The company delivers a substantial economic impact through supporting Irish suppliers. The retailer reported a 58% increase in purchases from Irish suppliers since 2019, and Irish suppliers now account for almost half of all sales at ALDI.

ALDI has paid more than €1.3 billion in wages over the past 25 years and its capital investment in Ireland since 1999 is €2 billion. Directly, and indirectly, ALDI supports more than 12,500 jobs in Ireland, and is responsible for a regional spread of employment far above the national average.

These figures are outlined in the ‘ALDI in Ireland, 1999-2024′ report which includes economic analysis from Dublin City University Associate Professor Emeritus of Economics Anthony Foley and includes key facts and figures that demonstrate the scale of ALDI’s operations in Ireland and how the business has grown since 1999. The report tells a tangible story about the company’s growth, development and commitment to Ireland and the communities each store serves.

ALDI is celebrating the 25 years of business milestone with its customers, colleagues, suppliers, and stakeholders.

Staff

Today, ALDI employs more than 4,650 dedicated colleagues across Ireland and over the past 25 years, has employed thousands more. Over 50% of the staff ALDI employed in 1999 still work with the retailer today. ALDI is the first retailer every year to implement The Technical Group Living Wage recommended increases annually to all staff and pays wage rates well above the sectoral average.

Irish Suppliers

ALDI has focused on expanding its network of local suppliers, fostering relationships that have allowed the retailer to offer a diverse range of high-quality Irish products. ALDI today works with more than 330 Irish suppliers, and over the last 25 years, has spent €10.2 billion with the Irish supplier network.

Communities

ALDI’s work with national and local charity and community groups highlights a longstanding core commitment to giving back. Since 1999, between community sponsorships and charitable donations, ALDI have given back over €25 million to more than 1,000 charities and local organisations.

Customers

ALDI’s customer base has grown steadily and today, ALDI’s 161 Irish stores serve more than 70 million customers each year. Since 1999, ALDI staff have welcomed almost 900 million customers in-store.

Professor Anthony Foley Analysis

ALDI Ireland commissioned Professor Foley to provide an analysis of the economic contribution and impact that the retailer has made, and continues to make, to the Irish economy. The analysis found:

For every 1% in lower prices, for which the ALDI presence contributes, consumers are saving at least €90 million per year

  • ALDI Ireland is on course to serve its one billionth customer in Ireland in 2025
  • An additional approximately 110 stores are required over the next five years from the current main five operators to meet the needs of the growing population and the Government’s ambition to build 250,000 housing units over the next five years.

ALDI’s Future

Looking ahead, ALDI has ambitious and exciting plans in Ireland. To date, ALDI has invested more than €2 billion in capital expenditure in Ireland. In addition, over the next five years, ALDI is investing a further €400 million in 30 new stores and adding 1,000 new local jobs.

The stores will be located across the country in 13 counties, including Dublin, Cork, Sligo, Wicklow, Kildare, Galway, Monaghan, Longford, Limerick, Kilkenny, Meath, Mayo and Donegal, while ALDI will be recruiting for roles right across its store network, warehouse operations and office facilities.

Additionally, despite easing inflation, ALDI will continue to implement its price cuts programme this year to support customers as we all emerge from an acute inflationary period and has invested €20 million already this year in over 400 price cuts, with further investment planned for the rest of 2024.

This pledge to further growth, development, and investment in Ireland, demonstrates ALDI’s unwavering commitment to the market that has supported them for a quarter of a century.

Niall O’Connor, Group Managing Director of ALDI Ireland, commented: “Delivering value for Ireland – for shoppers, suppliers and staff – has been our guiding principle throughout our time in Ireland. The Economic Impact Report highlights the continuing positive impact our presence is having, not only in Ireland as a whole, but across each community that we operate in.

“Since first entering the Irish market 25 years ago, ALDI has had a significant positive impact on the Irish grocery market. We introduced the discount retailer model to Ireland which has succeeded in delivering low prices, value, choice and competition to the Irish retail market.  People who shop in ALDI know that they will never have to choose between quality, healthy food and price, and we are committed to offering the best value of any supermarket.

“We take great pride in working together with our local suppliers to bring quality, affordable products to our customers. We have supported hundreds of Irish suppliers to grow their businesses, including through our Grow with ALDI programme. We know that our Irish supplier network is the lifeblood of our success – their success is our success, and we’re proud to have been their champion for the last quarter of a century.

“At ALDI, we’re incredibly proud of our positive reputation as an employer. We’ve always delivered on our commitment to rewarding our staff, to offering career progression opportunities and to creating jobs across the country. As we mark 25 years in Ireland, I’m particularly proud of the fact that more than half of those who worked with us during our early years in Ireland, are still employed by ALDI today.

“As we mark our 25-year milestone and look back on our achievements, we’re just as ambitious for the future. Based upon projected customer growth, we expect to serve our one billionth customer in 2025. We’re committed to playing a leading role in meeting the growing demand for new retail offerings, and by 2029 we will spend another €400 million in capital expenditure on 30 new stores, adding 1,000 new colleagues. Times may change, but our unwavering commitment to value never will, and we’re looking to the next 25 years with as much focus and excitement as ever.”


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