Budget supermarket chain Lidl is reportedly cutting back on its famous middle aisle offers because sales have dropped to below a 10% share of total business as the cost of living crisis impacts shopping habits. The discount supermarket updates deals around non-food items for customers every Thursday and Sunday.
The middle aisle has been popular with shoppers over the years keen to find a bargain on anything from gardening tools to clothing. Last month, there was an offer on paddleboards, and this month there is a set of garden furniture on offer.
But there are reports that it could be scaled back. According to a recent report in German trade publication Lebensmittel Zeitung, the chain is cutting back on its non-food lines.
Read more: The little known Lidl app that saves me around £12 off my shopping every month
Sales of non-food products typically account for around 15% of sales for Lidl This has fallen to below 10% across almost all markets, with sales of products over €20 hit the hardest as consumers cut back on the amount they are spending in the face of rising inflation and surging energy costs.
Grocery Gazette reports that Lidl has cut non-food orders which had already been placed for the next financial year.
The discount supermarket has supported its growth in the grocery channel with its renowned ‘middle aisle’ which offers a wide and eclectic variety of non-food products, but demand has declined as shoppers focus on essentials. While non-food products typically offer higher margins, the increased cost of storage is also becoming problematic.
The report said that Aldi – which has also made a name for itself in the UK with its eclectic selection of ‘middle aisle’ non-food products – is also struggling with similar problems, with non-food sales falling to less than 20% of its total business.
High Streets Task Force expert, Dr Jackie Mulligan spoke after the latest retail figures show that retail sales have fallen by 1.2% over the past three months and were 3.4% lower than a year ago.
She said: "The three month decline of 1.2% paints a much more accurate picture of the UK high street than the July figure alone. People just aren't spending amid the cost of living crisis. It's no surprise to see clothing and household goods continue to be hit particularly hard.
"Retailers selling non-essentials are in a highly precarious position as inflation hits double digits."
What is the best bargain you have picked up in the middle aisle? Let us know in the comments below.
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