Aldi is the fastest growing retailer of wine and beer.
That’s according to Arlin Zajmi, director of national buying and certified wine specialist for Aldi, who flew to Atlanta from company headquarters in Batavia, Illinois, to participate in a store tour for journalists at the grocer’s store in Buckhead in mid-July.
“The alcohol category has been a category that we really invested in and we’re really seeing the return into that, and now we are the fastest growing retailer in this space,” said Zajmi, who has 14 years of experience in the category and three with Aldi.
Aldi has a wine section in about 1,800, or 77 percent, of its stores, as determined by local laws. In New York, for example, the retailer can’t sell wine but can sell beer.
“Wherever we can have a beer or wine license we do, and when we do, this is what it looks like,” he said, pointing to the well-stocked aisle. “It’s very consistent for customers. If they’re going to different states, they can find their brand in Aldi.”
At any given time, about 120 wines are available. Some are carried year-round; others are rotated seasonally. The seasonal wines are merchandised on special crate-type shelving (see photo) to draw shoppers’ attention to what may be new and/or on-trend.
“We have a lot of new items that come in our stores about every three months. You can see them in the crate right there in the middle,” Zajmi said. “Customers are now getting used to that as they’re coming to the store. They have their everyday wine that they tried and they love, and they’re also getting new items every three months or so. That’s a great space for us to innovate and also to follow the trends.”
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For summer, one of the biggest trends has been premixed cocktails.
“We were able to react quickly, and we did our very own version of an Aperol Spritz,” he said of the wine cocktail with notes of citrus.
The summer seasonal wine selections also included the Giambellini Peach Bellini and the Oh Me, Oh My! Pineapple Mimosa.
“All you have to do is put them over ice, and you can find them all summer long,” Zajmi said.
The orange variety of the mimosa is available year-round; other seasons may bring mango, raspberry or pomegranate varieties.
“The idea is that if they love the orange, we want to give the customer different fruits throughout the year to try,” he said. “Then, over time, we also learn what the customer prefers. If they say, ‘Hey, pineapple is the best one,’ then great, we’ll offer it to you every day after that. It’s kind of a learning process for us.”
Another summer choice is Wicked Grove Pearsecco. Zajmi described it as a “light, bubbly pear [hard] cider,” noting that it has become the No. 2 brand in America in the category.
“It’s really fun when we create some of these brands and really show exceptional value – $5.99, $7.99, $8.99 for a six-pack, maybe. Customers are really gravitating toward that. And then once they try it, they can see the quality that we have for the price,” he said. “That is really the philosophy and the strategy we have around the wine and beer category at Aldi.”
Specially Selected wines find traction
The biggest challenge the grocer has faced since launching its Specially Selected line of wines last September is keeping up with demand, Zajmi said.
“That’s been majority of my focus – how can we keep these items in stock?”
Aldi chose some of the best-selling varietals from across the world for its 10-wine launch.
“Basically what we did is we picked the best grape from the best country and we turned into a bottle of wine that is sold at Aldi,” he said.
Price points for Specially Selected wines range from $7.99 to $14.99 (the latter being the highest price of a wine sold at Aldi), depending on the grape and where it’s coming from, he said. “This is our premium, our over-the-top, best-of-the-best wine from a quality perspective.”
The line launched with these varieties:
- Argentina: Uco Valley Malbec – $7.99
- Italy: Alto Adige Pinot Grigio – $9.99
- France: Côtes de Provence Rosé – $9.99
- New Zealand: Marlborough Sauvignon Blanc -$9.99
- U.S. (California): Napa Valley Cabernet Sauvignon – $14.99
- Spain: Rioja Reserva – $8.99
- Australia: Barossa Valley Shiraz – $9.99
- Italy: DOCG Prosecco – $10.99
- France: Sparkling Brut Rosé – $10.99
- Canada: Icewine – $14.99
Zajmi said the $14.99 cabernet is “probably the steal of the whole market because the average Napa Valley Cabernet in the U.S. is $30 to $60.”
“We’re continuing to bring new items [to the Specially Selected line] every single year,” he continued. “We work directly with the winery. We pick out the grapes from the estate, we develop the wine, we import it and use our distribution [system] to bring it to the store. So, no middleman, no negociants; we work directly with the supplier.
“Working directly with the wineries, we know that we can deliver high quality for less, and it’s the perfect formula of Aldi and that’s why this category is working so well in our stores.”
Zajmi emphasized the fact that every wine it carries is exclusive to Aldi.
“All the brands that you see here are only found at Aldi, which is fun, because then we can create that loyalty with our customers and also show them the quality that we can provide working directly (with producers),” he said.
“It’s not leftover juice; it’s not leftover wine … it’s truly developed for us, with us, directly with a winemaker. We work with the winery and the winemakers to develop the style of the wine that we’re looking for – at an exceptional value.”
While Specially Selected might be a weekend or special occasion wine, there are plenty of everyday choices as well. Aldi’s California Heritage line features nine varietals, “from Cabernet to Chardonnay to Moscato to sparkling, so really a wine for everybody,” Zajmi said, adding that the price point is under $5.
In fact, the majority of Aldi’s wine sales in the U.S. are in the $5 price range, he said, and most of its selections are priced at less than $10.
The grocer has confirmation from outside sources that it’s on the right track with its wine program. It has won more than 200 awards from Wine Enthusiastmagazine and other well-known industry publications, according to Zajmi.
“This year alone, the majority of our assortment has gotten really high scores from Wine Enthusiast,” he said. “So now the customer and the media and the trade understand the quality of the wine. We have to then continue to improve the quality of the brands. Every single year, every single partnership that we do with the winemakers and the wineries, we want to improve upon the quality.
“There’s more to come – 100 percent.”
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