Aldi bosses have vowed to prioritize lower prices over short-term profits as they warned the cost-of-living crisis is “worsening” for millions of households.
It came as the supermarket chain saw profits plummet last year after the company experienced rising costs and invested in pricing.
The UK branch of the German discounter said its 2021 pre-tax profit fell 86.5% year-on-year to £35.7m.
Giles Hurley, Managing Director of Aldi UK and Ireland, said: “Maintaining our discounted prices and rewarding our staff will always be more important to us than short-term gains.
“Because we’re privately owned, we can keep our promises even in difficult times.”
The supermarket also vowed to have the “lowest grocery prices in the UK” as it seeks to support customers facing rising energy and fuel bills.
Aldi has seen steady growth in customer numbers over the past year as shoppers try to keep their grocery bills low.
Aldi overtook Morrisons as the UK’s fourth-largest supermarket earlier this month, according to experts from Kantar.
The retailer reported an 18.7% increase in sales in the 12 weeks ended Sept. 4 compared to the same period last year.
It also said it gained 1.5 million additional customers compared to last year as people search for its discount offer.
Mr Hurley said: “The cost of living crisis is worsening and is being felt by millions of households across the UK.
“It is at times like these that our customers rely on us the most, which is why we are focused on continuing to deliver on our long-standing price promise by offering the lowest possible prices in the UK every day.”
Aldi also confirmed it will open 16 new stores over the next 12 weeks as part of its ongoing £1.3billion expansion plan.
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https://www.newschainonline.com/news/financial-news/preserving-lower-prices-more-important-than-short-term-profit-says-aldi-boss-294592 Lower prices are more important than short-term profit, says Aldi boss