Aldi liquor launch looms in NSW
Colin Kruger and Vanda Carson
March 11, 2011
THE Aldi supermarket chain has applied for the right to sell alcohol in its NSW stores, in its latest attempt to disrupt the Woolworths and Coles grocery and liquor duopoly.

The German retailer confirmed that it had applied to sell liquor in all its 102 NSW stores and had begun the licence application process.

''A decision as to whether Aldi will sell alcohol in NSW will not be made until the outcome of these applications is known,'' it said.

In applications seen by the Herald, Aldi said it planned to open 40 sq m liquor retail areas in its supermarkets which it said would be modest operations compared with traditional liquor outlets.

''The proposed licensed premises will be significantly smaller than, carry significantly less products than and trade less hours than a traditional liquor store,'' the company said in one application.

The retailer has been selling liquor in Victoria for seven years, offering about 70 varieties of non-refrigerated beer, wine and ready-to-drink spirits, most of which are Aldi brand products.

It is Aldi's latest foray against the market share of its competitors Coles and Woolworths, which sell about half the $16 billion worth of alcohol purchased in liquor stores nationally.

Woolworths, the more dominant player, owns more than 1200 liquor stores, including brands such as Dan Murphy's. Its stores collectively generate annual alcohol sales of about $6 billion.

Woolworths' liquor business does not include its pubs subsidiary Australian Leisure & Hospitality Group, which will be Australia's biggest poker machine operator by next year.

The dominance of Woolworths in liquor sales is set to increase after it announced last month that it planned to buy the direct-market liquor retailer Cellarmasters for $340 million. It is subject to approval by the Australian Competition and Consumer Commission.

Aldi's strategy of selling predominantly own-brand products follows the lead of its two rivals, which have pushed their own private-label beers, wines and spirits at the expense of branded competitors.

For example, Coles-owned Liquorland sells Maxx Blonde beer in competition with Foster's Pure Blonde, and Woolworths' Platinum Blonde.

Aldi, which began selling in Australia 10 years ago, has about 5 per cent of the national grocery market.

Buzz keeps pushing this line about Coles & Woolworths being owned mainly by Australian mums & dads.
As usual, he is way off beam.
Coles is owned by Wesfarmers. The top 20 shareholders of Wesfarmers are institutions comprising a who's who of the world's biggest banks & insurance companies and together they own more than 50%. The 2 biggest - HSBC and JP Morgan - own 30% between them. In fact you can bet that Wesfarmers (& therefore Coles) is owned about 85% by such institutions, but I can't prove that as the figures are not published.
If you care to look at the Annual Report of Woolworths you will find a similar situation.
Now some of these institutions are holding their shares on behalf of Australian super funds, but believe me, it's a drop in the bucket.
The real ultimate beneficial ownership of Coles & Woolworths is IMPOSSIBLE to ascertain because so many of the individual shareholdings can be nominee holdings on behalf of trusts and foriegn owners but it's certainly not mainly Australian.
And it is certainly a MYTH that Aussie mums & dads own Coles & Woollies.

Anyone for cheap vino from Italy ....go for it!

Re Woolies: actually I've looked it up knowing you were all hanging out for the details (especially buzz . .he he he).

Well you guessed it . .the usual suspects. JP Morgan Nominees & HSBC Nominees between them own 28%. The next biggest holders own another 13%.
Now 40% is effective control of corporations like this. Among the top twenty holders are all the nominee/trustee company including Citicorp, UBS holding on behalf of God knows who.
I must admit though Woolies is much more widely held than Wesfarmers (Coles) or so it appears.
No, I'll correct that last statement. In fact 183 holders own about 52% of the shares.

C'mon buzz, you mut have finished walking your dog by now. I want your comments on my posts about your favourite supermarkets!!!

gizmo_2655 wrote on Mar 11^th, 2011 at 4:45pm:


I see lot's of problems with that but do agree. Everyone else sells it so why not.
the question is, Does the ease of access and visual profile of alcohol contribute to the social and economic not to mention health problems relate to the national alcohol problem.
Sorry, on my high horse. Truth is i love a drink so better variety works for me. Hope they bring in some interesting wines.

what or who gave the supermarkets permission to put liquor in the middle of the grocery section???.. thats what I want to know.. we now fall over cartons of grog in Aldi[they already sell it in act] ...in Coles at least it is in one aisle but still in the middle of groceries..

cigarettes on the other hand are not to be seen. they are under cover like as if they are illegal.. why for gods sake.. both are killers..

both ruin health and relationships.. grog actually more so

Jaykaye_09 wrote on Mar 11^th, 2011 at 6:18pm:







duh!