How Lidl stores maintain low prices for shoppers in the country

Lidl maintains a decrease in consumer by simplifying and simplifying operations, from providing a limited assortment intentionally to smaller coordination sites, placing herself as a dominant player in Supermarket discount.

The German -based retail company has built its name as a discount scaffold, but it continues to improve the lean cost structure, which leads to improvements such as transformation from paper to electronic shelf stickers that save time and reduce costs. This comes at a time when the company appoints an American expansion, and exactly opens more stores in its three basic markets: New York Metro, Washington, DC, the region, and Atlanta.

“Our philosophy, everywhere run by Lidl, is to be a pioneer in the price, the best quality, and the best price. This is our philosophy everywhere, including here in the United States, but you can not have the lowest price unless you have a low -cost structure,” said Lidl US Joel Rampoldt Fox Business. “What we focus on is to make everything we do as simple as possible, so that we can do this as soon as possible so that we can be as effective as possible.”

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His latest change is the shift from paper price signs to electronic cliff stickers, which Rampoldt said the company is almost saving the company from stores every week.

It is one of the examples of how to search for the company about ways to enhance its efficiency. The company also focuses on the presence of a smaller selection of products, which the CEO said that all the company’s efficiency and transportation of goods through distribution centers or Negotiating with suppliers.

“We are a diverse retail seller, right? We do not have thousands and thousands of products. We do not have 10 or 15 options for every need,” said Reampolt.

In some cases, Lidl will only carry a special product. When national brands are offered, there is usually only one.

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This is “essential for us in terms of maintaining our cost structure.”

The smaller choice also allows them to run smaller coordination stores, which are less expensive for construction and operation. It is also easier for employees to move when shelves are stored. This efficiency reduces the risk of expiration of products before selling, which means the least waste.

Similar to its opponent aldi, the company also uses ready -to -lift cases, which are boxes or containers that are shipped and can be placed directly on store shelves without the need to empty them first.

“So when we work in stores, we renew the shelves, instead of accumulating 12 boxes at one time, you put a case of 12 at one time, which is more efficient,” he said, noting that the step to do this is “a tremendous gain in efficiency.”

This is the key to seizing the market share, especially after corrosion that erodes the power of family buying over the past few years, forcing many consumers to become increasingly prices.

Although food prices diluted, grocery costs have increased more quickly than general inflation in recent years, which increases the constant pressure on Family budgets.Even executive officials in the food industry, such as CEO CEO Make Beckozen, warned that consumer morale continued to soften throughout the last quarter, as shoppers were deliberately more on how to spend money on food.

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Food prices It was high in July compared to a month ago, as the government index at home decreased by 0.1 % and food increased from the home index by 0.3 %. Over the past year, the total food index increased by 2.9 %, as food at home increased by 2.2 % and food away from home by 3.9 %. However, from 2020 to 2024, all consumer price index increased 23.6 %, which exceeded the entire index, which grew by 21.2 % during the same period.

Despite the slowdown in the growth of food prices in 2023 and 2024 because the prices of foodstuffs in bulk and these other inflationary factors are hidden across the industries, some experts are afraid of the president Donald Trump Definitions can increase food prices again.