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NeoVeles | 3 years ago

I used to work for a supplier for Aldi Aus. They used to treat suppliers really well while they were in the growing stage. Once growth slowed they relied on the manufacturer to take up more of the pricing slack.

It is all about price and nothing else, never once where they really concerned about quality of the product. If they could have products cheaper than Coles/Woolworths they would do it regardless of how many short cuts where taken to get there. Thus you could have something like yogurt that was $1 cheaper but tasted like glue.

No price shock but you would definitely notice the quality issue once you got home.

Funnily enough Aldi aus did a study a few years back and noted that people will cut food costs before they cut entertainment. It was aimed at Coles and Woolworths to highlight that when things get rough they would flock to Aldi. Looking at their shelves recently, provided the supply chain is still running ok, it might have been true.

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synicalx|3 years ago

That point about cutting back on food before entertainment definitely rings true. Back when I first moved out of home I'd do EXACTLY that - huge TV, games consoles, flashy computer etc but also eating 2 minute noodles, and chickpeas or eggs for a lot of meals and occasionally a chicken fillet as a treat.