Big Box

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Walmart shakes up U.S. leadership teams in food, merchandising

Walmart is making big changes to its food leadership team, according to an internal memo obtained by Reuters. “The changes come at a time when the world's largest retailer has been conducting price tests across several U.S. states and pushing vendors to undercut rivals,” according to the report, which also pointed to increased pressures from Lidl and the expansion of Aldi, who with strong private brands portfolios have “raised the stakes for American grocery chain operators.” (Reuters)

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Reuters: Aldi looking to topple Walmart as EDLP leader

Walmart may no longer be king of the EDLP hill, Reuters reported Thursday. An internal Aldi study found that the prices across the 1,600-store discount grocer are 21% lower than any rival, including Walmart. Aldi CEO Jason Hart plans to press that pricing advantage with a capital expenditureof $1.6 billion to expand and remodel 1,300 U.S. stores and open 400 new stores mainly in Florida, Texas and on both coasts by end of 2018, he told Reuters. According to the report, Aldi carries about 1,200 SKUs, 90% of which are private label. Comparitively, Walmart stocks as many as 40,000 SKUs, 30% of which are private label. (Reuters)