Coles gaining on Woolworths, Aldi sneaking up behind

By Rosie Baker | 12 February 2014

It’s still a two-horse race. Coles is gaining on Woolworths and closing the gap on the market leader, but Aldi is coming up from behind.

Roy Morgan’s latest data shows the discount supermarket is now the third largest supermarket surpassing IGA and holds a 10.3% share of the grocery market. It has quadrupled its customer base since opening its doors for the first time eight years ago and nearly 4.2 million people shop there in an average month.

Woolworths is still way out in front with 9.5 million customers a month on average and 39% of the market. Coles now welcomes 8.8 million shoppers through its doors and has a 33.5% share – its highest since 2008.

IGA has a 9.5% share.

Warren Reid, Group Account Manager – Consumer Products, Roy Morgan Research, says:

“Despite the long-standing dominance of Coles and Woolworths, Aldi has shown that it’s not a two-horse race. More importantly, Aldi’s popularity also suggests that there are opportunities for other international supermarket giants to successfully enter the Australian grocery market.”

“While Aldi’s increase in market share over the last eight years may seem like a slow burn, they’ve actually secured a sizeable chunk of the $82 billion grocery market. It’s not that Metcash/ IGA are any less important to consider, but they haven’t made the same kind of gains over the last few years.

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