Aldi to Open 70 Stores, Enter Phoenix

Aldi has unveiled new details of an aggressive growth strategy that will see it open 70 new stores in the second half of 2020, including its first four locations in Phoenix and a new distribution center in Alabama next year.

The Batavia, Illinois-based grocer shared details of its growth strategy after recently surpassing 2,000 locations in 36 states. With the addition of 70 more stores this year, Aldi moves closer to a goal set in 2017 of operating 2,500 stores in the United States by the end of 2022.

“Each new store is an opportunity to serve another community, which is an honor and responsibility we do not take lightly,” Aldi CEO Jason Hart said in a prepared statement. “As we continue to expand, we promise to do everything in our power to offer the lowest prices, every day, without exception. In fact, as food costs are rising across the country, we’re lowering prices on hundreds of items to meet our customers’ increased need for savings.”

In addition to entering the Phoenix market, Aldi said it would open a new distribution center in the southern Alabama town of Loxely. Conveniently located near I-10, the facility will support the retailer's growth in northern Florida and adjacent states and facilitate entry into Louisiana and cities such as New Orleans and Baton Rouge. Aldi said it currently operates 180 stores in Alabama and Florida, with four regional headquarters and distribution centers in the area.

Aldi’s brand of food retailing – smaller stores with a limited assortment of primarily low-priced store-brand items – proved popular with shoppers even before the pandemic hit.

In recent years, Aldi said it has invested more than $5 billion in a multiyear nationwide growth initiative to update existing stores and  open hundreds of new locations. The company also increased its fresh food selection by 40% with a focus on new produce, meat and organic options, as well as easy-to-prepare foods, without compromising its commitment to low prices.

Aldi has also expanded its e-commerce offerings and in May revealed the accelerated rollout of its Curbside Grocery Pickup service to nearly 600 stores by the end of July. The retailer also offers grocery delivery in more than 10,000 ZIP codes.

Aldi U.S. is No. 26 on The PG 100, Progressive Grocer's 2020 list of the top food retailers in North America.