Despite being a global powerhouse with a strong Australian market presence, Aldi, the German discount supermarket chain, has yet to make its mark in Tasmania, the island state of Australia. With a population of approximately 540,000 people and Hobart as its capital city, Tasmania seems like an ideal market for Aldi’s expansion. However, the chain has made it clear through an official statement in 2019 that they currently have no plans to establish stores in Tasmania or Hobart.
The lack of Aldi stores in Tasmania has led to speculation and rumors among residents. Many wonder why the island state has been overlooked, especially considering Aldi’s success and popularity in other parts of Australia. However, the chain has not provided any further updates or explanations regarding their decision.
One possible factor that may have influenced Aldi’s choice is the challenge of finding suitable locations in Tasmania. The island’s unique geography and limited available spaces could make it difficult to identify suitable sites for new stores. Additionally, the cost of accommodation in Tasmania, compared to the Australian average, may have also played a role in Aldi’s decision-making process.
Despite the absence of Aldi, Tasmania does offer alternative options for health-conscious shoppers. City Organics, for example, is a highly regarded all-organic market in Hobart, catering to those seeking quality products. While it may not fill the void left by Aldi’s absence, City Organics and other local retailers provide an alternative for those looking for organic and specialty items.
As of now, Aldi’s statement in response to inquiries about their expansion into Tasmania remains unchanged. The chain has not hinted at any future plans to establish stores on the island. However, it’s important to note that Aldi’s Australian market presence is significant, with over 500 stores across the mainland.
While Tasmanians may still hope for an Aldi presence in their region, it’s crucial to consider the various factors and complexities involved in expanding into a unique market like Tasmania. Until Aldi provides further updates or expresses a change in their expansion strategy, residents will have to explore other local retailers for their grocery needs.
Why is there no Aldi in Tasmania?
As of now, Aldi has not announced any plans to open stores in Tasmania or Hobart. The reasons behind their decision remain unclear, as Aldi has not provided specific details. However, several factors could have influenced their choice:
- Strong competition from other grocery retailers: Tasmania already has established competitors like Woolworths, Coles, and IGA. Aldi may have faced challenges in gaining market share and customer loyalty in such a highly competitive market.
- High logistics and transportation costs: The costs associated with delivering goods to an island state could be prohibitive for Aldi’s low-margin business model. Additionally, sourcing local products and suppliers might have presented difficulties for Aldi.
- Small market size and uncertain demand: The market size and demand for Aldi’s offerings may have been too limited or uncertain to align with their expansion strategy. Consequently, they may have chosen to focus on regions with higher population density and growth potential.
- Cost of living: While the cost of living in Tasmania is relatively cheaper than the Australian mainland, shoppers still have ample supermarket options to find the best value. This might have influenced Aldi’s perception of Tasmania as a profitable market to enter.
Despite the absence of Aldi in Tasmania, shoppers in the region still have access to other supermarket chains operating on the island. As of now, Aldi has not provided any updates or plans regarding future store openings in Tasmania or Hobar.
Table: Comparison of Major Grocery Retailers in Tasmania
|Number of Stores
|New South Wales, Australia
|Chicago, Illinois, United States
|Washington, United States
|Hill Street Grocer
|Ritchies Supa IGA
Is Aldi Coming To Hobart Or Tasmania In 2023?
Aldi’s corporate headquarters issued an official response to Tasmanian hopefuls. It said that no stores would be opened by the German discount retailer in Tasmania, or in Hobart. Aldi’s corporate headquarters hasn’t made any other announcements since that statement.
For more details on why Aldi hasn’t come to Tasmania and Hobart, read this! To find out about other locations where they might open stores, as well as information about the best places to get discount grocery items in Tasmania, keep reading!
Aldi never stated specifically why locations were not opened in Hobart.
First, the cost of living on Tasmania is slightly cheaper than on the Australian mainland; while some shoppers still find the grocery prices high , there are plenty of supermarket choices for shopping around and finding the best value.
Combining this with Tasmania’s low population – 250,000 people in Hobart are the capital, which is about half of all island’s population – and a low density population (7.24 per sq km), doesn’t make it sound like Aldi would be happy in such a market.
The island’s small size could mean that it is difficult for people to locate suitable places. However, many other cities all over the globe are very built-up and there is no place for any new business except in cases where old buildings have to be demolished.
Aldi has a corporate website which states they are very specific about where and what market it is. This could be why they may wait to expand their market share elsewhere in Australia.
Is there a potential location for Aldi Stores to open in Tasmania or Hobart?
Hobart is the best choice to be Aldi’s first location in Tasmania.
On another thread, commenters in the Bring Aldi to Tasmania page mentioned Devonport and Launceston.
Are there people who want Aldi stores in Hobart or Tasmania?
The enthusiasm among Hobartians and Tasmanians for Aldi is undeniable.
Many residents find it perplexing that Australia boasts over 500 Aldi locations, including some in rural areas.
During an ABC network’s Hobart local news segment, residents were asked about their desired additions to the city. Alongside Ikea and Costco, Aldi was among the top choices.
One respondent even stated that Aldi’s presence would contribute to a cleaner shopping experience compared to existing grocery stores.
Recognizing the demand, Sarah Blockley, an Australian woman, took matters into her own hands by starting a petition on change.org, urging Aldi to return to Tasmania.
In her petition, she expressed her concern over the disparity, questioning why very rural towns like Casino in NSW have an Aldi store while Tasmania remains overlooked.
For Ms. Blockley and her family, Aldi’s special buys enabled them to purchase necessary items while enjoying incredible discounts.
Although the petition did not reach the desired number of 262 signatures, it is evident that Ms. Blockley’s passion for this cause resonates with many others who are excited about the prospect of Aldi in Tasmania.
Aldi’s response to these rumors and petitions remains uncertain, but shoppers in Tasmania eagerly anticipate the potential arrival of the discount supermarket chain.
Considering the unique market dynamics and shopping costs in Tasmania, an Aldi store could be an ideal addition to the supermarket sector, offering affordable and quality items.
Finding ideal locations for Aldi stores in Tasmania might pose some challenges due to the island’s geography, but the demand and support from weekly shoppers suggest a promising market for the chain of shops.
Ultimately, the addition of Aldi to Tasmania would bring excitement to the local grocery shopping scene, offering Tasmanians a new and cost-effective option for their busy lives.
Aldi Tasmania: Are They Coming To Hobart Or Launceston? (2022)
|Cost of Living
|Cheaper in Tasmania than mainland
|Low population in Hobart
|Low density of 7.24 per sq km
|Difficult to locate suitable places