The second year of the Corona crisis did not allow the sales of Lidl Austria to increase as much. “The pandemic has further intensified the competitive situation in Austria. We had to make a lot of effort,” said Lidl Austria boss Alessandro Wolf in a broadcast on Monday. In 2021, the discounter increased its net sales with over 250 branches and 5,800 employees by around two percent to 1.5 billion euros. In the previous year, the increase in sales was still seven percent.
Business was good in this country at Lidl with organic products. Organic sales climbed by almost 20 percent in 2021. An exact sales figure was not given. Lidl currently has over 280 organic items, and it is expected to have 350 by 2023. By 2025, Lidl wants to expand the range of meat and milk substitutes to over 400. “Our goal is clear, to be number one in the discount segment for vegan offers,” announced the Lidl Austria boss.
Lidl did not want to comment on the topic of rising food prices. One makes “basically no information on the price development”, it said on APA request. The discounter, which belongs to the German Schwarz Group, pointed out that more than half of all food sold in the Austrian branches came from local suppliers. In the previous year, that was more than 400 million articles and a value added of more than 870 million euros. Austrian food suppliers have generated around 370 million euros by exporting to other Lidl national companies.
In modernizations, new buildings and extensions, the discounter in Germany invested around 100 million euros last year. To date, 180 of the current 255 locations have been modernized and converted to a new shop design. All branches are to be renovated by mid-2023, and the planned investment for this is again around 100 million euros. Lidl is no longer planning a large branch growth in Austria: “There is always potential for new branches if the location is right.” A new branch is planned for this year.
In order to be an attractive employer in retail and to find enough employees, Lidl Austria pays through a collective agreement. On March 1, the discounter increased the minimum full-time salary for all branch employees to EUR 2,090 gross, which is 16 percent above the collective agreement.