New research from market research giant Roy Morgan, has revealed that consumers believe that ALDI offers the ‘best value for money’ when it comes to alcohol, placing it above heavy hitting competitors such as Dan Murphy’s, 1st Choice and BWS.
According to the research, almost three quarters (74 percent) of consumers that frequently purchased alcohol from ALDI believed that the discount supermarket offered ‘the best value’.
Although Dan Murphy’s was a close second by coming in only two percentage points behind Aldi at 72 percent, 1st Choice came in 11 percentage points behind in third place at 63 percent – representing a significant drop in perceived value – while IGA liquor staggered far behind at 27 percent and BWS at 25 percent.
Woolworths Liquor and Liquorland fell right to the bottom of the scale at 22 percent and 19 percent respectively.
“Large-format liquor stores Dan Murphy’s and First Choice are both extremely competitive on price, with large advertising budgets, particularly for print media and catalogues promoting bulk discounted alcohol,” said Warren Reid – Group Account Director, Roy Morgan Research.
“Despite also investing heavily in catalogues, Liquorland and Woolworths Liquor stores don’t discount to the same extent, and consequently, their customers don’t associate them as closely with value for money. Generally located next to their respective supermarkets, Liquorland and Woolworths Liquor are all about convenience."
Reid says that consumers’ association with value at German supermarket chain ALDI is nothing new, noting that consumers who regularly shop there deem it to be better value than customers of other supermarkets. Reid also points out that ALDI’s alcohol range is within the supermarket itself, making alcohol shopping easier and more convenient.
“With most liquor retailers (including ALDI) now selling online, it will be interesting to monitor any changes in customer attitudes, and whether ALDI’s relatively recent online presence affects its reputation as ‘best value’. What is already certain, though, is that both Coles and Woolworths are facing some fierce competition from ALDI,” he said.
