Aldi is forcing big chains to keep their prices low.
IBIS World points out that Aldi has altered the industry's operating landscape with the popularity of its low-cost private-label products.
Many of Aldi products are Private Brand, so they can sell cheaper products, compared with Woolworths and Coles. Two competitors also serve many promotions to customers, and the price pressure moves to product suppliers. And, many small supermarkets also have low competitiveness compared with major market players. It can be a problem for customers, because of low quality and oligopoly.
According to IBIS World, Woolworths takes 37.5 per cent of entire supermarket industry and Coles takes 29.6 per cent and Aldi takes 9.9 per cent of Australia market.
