Investing In Your Community - Planning opportunities and benefits

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Investing In Your Community - Planning opportunities and benefits
Investing In Your Community
                                                                         Planning opportunities and benefits

T: 0844 406 8800
E: info@aldi.co.uk
W: www.aldi.co.uk
W: www.aldi.co.uk/about-aldi/property
Registered in England 2321869

Prepared in conjunction with McCann Manchester and Jones Lang LaSalle.
                                                                          Aldi – Winner of
                                                                         ‘Best Grocer 2019’
Investing In Your Community - Planning opportunities and benefits
Introduction

Aldi in the UK
Aldi is a supermarket operator that sells
quality products at low prices. Based on
the top 100 lines, Aldi is up to 26%
cheaper than the UK’s larger national
supermarkets.

Aldi stores have a limited
footprint and are of
modest size, designed to
serve local communities.
Discount retailer
                                 “In 2018, Aldi became
Aldi opened its first store      the fifth largest
in the UK in 1990 and            supermarket, ahead
has now expanded to              of Co-op, in addition to
over 800 stores across
                                 an increased market
England, Scotland
and Wales.                       share against the                                                           Contents
                                 ‘Big 4’ and other grocery
                                                                                                             Introduction                                      2
In 2018, Aldi became the         stores in the UK.”
fifth largest supermarket,                                                                                   Benefits and Advantages                           4
ahead of Co-op, in                                                                                           How We Differ...                                 10
addition to an increased market share against                                                                Expansion                                        12
the ‘Big 4’ and other grocery stores in the UK.                                                              Planning Policy                                  14
                                                                                                             Planning Compliance                              16
Aldi experienced 10.4% growth in 2018,                                                                       Summary                                          18
while achieving a market share high of                                                                       Case Studies                                     20
7.4% (Kantar Worldpanel for 12 weeks
ending 20/12/2018).

Aldi leads the way on supporting British                     Purpose of this Document
farmers. 100% of our fresh everyday meat
and poultry in the UK is from British,                       The purpose of this document is to              •	increasing competition resulting in lower
Red Tractor approved farms and more than                     demonstrate to Local Authorities how Aldi          prices for consumers
40% of the fresh fruit and vegetables we sell in             meets the sustainable development objectives    •	greater overall economic activity within that
the UK are also British.                                     set out in Development Plans and in National       particular area
                                                             Planning Policy.                                • reducing the distance required to travel
The main attraction of Aldi for UK consumers                                                                 • increased retail choice
is great value at low prices. Added to that Aldi             The report sets out significant economic and    • regeneration of a local area
also stocks an improved range and quality                    community benefits which can be achieved
of products, and British-sourced fresh meat.                 through the opening of new Aldi stores within   Aldi is aware however that each new site
All of this has combined to give Aldi a unique               towns and communities.                          needs to be approached in an individual
position within the grocery market.                                                                          manner, with local planning policies and
                                                             A new store in a local catchment area can       priorities taken into account. Aldi believes that
                                                             provide benefits such as:                       the benefits outlined above are an integral
                                                             • new employment opportunities                  part of any planning application.

2                                                                                                                       Aldi UK Planning Opportunities and Benefits
Investing In Your Community - Planning opportunities and benefits
Benefits and Advantages of an Aldi store

By addressing the objectives of local and national policies in planning
applications for new stores, the benefits that Aldi brings to the wider
community will be realised by more households.

These direct benefits include:                    created for Local Authorities help to boost the
                                                  local economy and bring additional benefits to
•	Increased footfall to nearby businesses        the community.                                                “Multi-million pound
   and centres                                                                                                  investments are put directly
•	A catalyst for future development in a local
   area including pump priming sterile sites
                                                  Linked Trips                                                  into each new store at the
•	Stimulating competition, which lowers                                                                        development stage.”
                                                  Aldi is not a one-stop shopping destination
   grocery prices and offers greater choice
                                                  like large supermarkets. Its stores do not
•	Reducing travel costs for customers as they
                                                  feature many of the amenities provided by
   can shop locally
•	Creating permanent, local retail jobs and
                                                  larger supermarket                                            Price and Choice
                                                  formats, such as butchers,
   training opportunities for the workforce
                                                  fishmongers, deli                                             Aldi sells high quality goods at the lowest
•	Increasing business rates and other
                                                  counters, pharmacies                                          possible price. Discounted prices are usually
   revenues for the local council
                                                  or cafes, thus reducing                                       achieved through bulk buying and economies
•	Bringing multi-million pound investment
   into each site
                                                  competition with small           “Aldi’s store concept        of scale, specialising in the number of lines
                                                  independent traders.
• A sustainable business model                                                     means that shoppers are      offered and maximising efficiency within the
                                                                                                                operation of its stores. The end result is that
                                                  Aldi stores are modest in        encouraged to continue
                                                                                                                shoppers benefit by paying less.
Investment                                        size, providing a discount       to use other retailers and
                                                  food store choice within         therefore real linked        The range and price of goods sold provide
Not only do new Aldi stores create jobs but       a given catchment area.          trips occur.”                shoppers with an opportunity to choose
they trigger further investment. New stores       The limited product line                                      to shop at Aldi in addition to the larger
often attract other retailers and businesses      of circa 1,800 products                                       supermarkets.
acting as a catalyst for regeneration, often      means that, unlike a large supermarket format
by redeveloping failing or redundant sites.       (which may sell up to 40,000 product lines),
This encourages further development and           shoppers will often visit other local operators               Accessibility
improvements to existing businesses.              to complete their weekly shop. This means that
                                                  shoppers typically supplement their shop at                   Stores are conveniently located in town
Many of Aldi’s stores are developed on            Aldi with additional trips to other shops                     centre or neighbourhood locations thus
brownfield sites, which were underperforming      in nearby centres and supermarkets therefore                  they are accessible to communities.
or derelict. New stores bring life back to a      real linked trips occur.                                      Where stores are located in out-of-centre sites,
community and provide security for local                                                                        they are much closer to communities than
businesses and residents.                         Aldi’s stores dedicate approximately 80% of                   Aldi’s nearest stores. New stores usually mean
                                                  their floorspace to convenience goods and                     shoppers can make shorter trips and continue
The investment an individual store brings         approximately 20% to comparison goods                         to access local facilities, thus contributing to a
directly to a site at development stage           made up of weekly specials. Given the short                   sustainable shopping experience.
is considerable. The knock-on effects for         term, seasonal availability of the special lines,
suppliers, local contractors and the revenue      they have a negligible effect on town centres.

4                                                                                                                          Aldi UK Planning Opportunities and Benefits
Investing In Your Community - Planning opportunities and benefits
Benefits and Advantages of an Aldi store
                                                                                                                                                               Distance store staff
                                                                                                                                                               travel to work (%)
Job Creation                                                                                                                                                   Miles                                            2% 3% 4%
                                                                                                                                                               ■ 0.0 - 2.5    ■ 10.1 - 12.5                                          4%
Aldi currently employs over 34,000                                                                                                                             ■ 2.6 - 5.0   ■ 12.6 - 15.0
                                                                                                                                                                                                                                             8%
colleagues in the UK, including over 24,000                                                                                                                    ■ 5.1 - 7.5    ■ 15.1 - 17.5

within stores.                                                                                                                                                 ■ 7.6 - 10.0   ■ 17.6+
                                                                                                                                                                                                          43%                                      13%

Aldi plans to recruit thousands of additional
colleagues at all levels during the next                                                                                                                                                                                              23%
few years to support its store expansion
strategy. This means new opportunities in the
                                                                                                                                                    “Aldi employs between 30
stores and distribution side of the business. A
vast percentage of these will be hired from                                                                                                         and 50 staff in its new stores.”
within the local communities where Aldi is
planning to open a store. Store roles
range from Caretakers and Store
Assistants to Deputy Store Managers,
Assistant Store Managers and Store                                                                                                                                             1 Caretaker
Managers.
                                               “Currently the distribution centres                                                                                                                                                          35 Store Assistants
Aldi employs between 30 and 50                 including regional administration teams
colleagues in its new stores, and prefers      account for 400-700 staff per region.”
to recruit colleagues locally as it
voluntarily enters into Local Labour                steel, brick and block work and shop fitting are
Agreements, demonstrating its commitment to         sourced locally, as well as cleaners and
a community. Aldi also offers one of the best       labourers. Local or regionally based                                                                                                1 Store Manager
working environments in the UK and one of           contractors are usually more competitive as
the highest rates of pay in the supermarket         travel and hotel costs aren’t required, therefore
                                                                                                                                 5 Store Deputies
sector, with the majority of Aldi colleagues now    keeping costs down and boosting the
receiving a minimum rate of £9.10 per hour,         construction trade in a local area.
regardless of their age, as of February 2019. All                                                           5 Stock Assistants                                                                                                  4-5 Assistant Store Managers
colleagues will benefit from rising salaries        The expansion in store numbers is leading to
during their service, with Store Assistant          requirements for new distribution centres
salaries rising to £10.41 in year four. Store       and growth in existing distribution centres.
Assistants working within the M25 will receive      This is resulting in further increases in jobs in
£10.55 per hour, rising to £10.89 in year three.    the logistics part of the business, ranging
                                                    from drivers to management. On average Aldi
                                                    distribution centres account for the creation of
Indirect Jobs                                       around 500 jobs per region.

Construction: At construction stage, Aldi is        Aldi offers exceptional, market-leading salaries
willing to enter into Local Trade Agreements        and offers full training for all
which ensure that local contractors are invited     colleagues which is tailored to each
to tender for new development contracts.            position and each individual. For
                                                    example, all Aldi Store Assistants
Due to the scale of the projects for new Aldi       receive a structured training
stores, both local and national construction        programme which typically
companies will subcontract large parts of their
                                                                                              “Aldi offers market-
                                                    lasts around six weeks and, where
projects to local or regional companies.            possible, the training will take place    leading retail salaries
Usually a range of skills such as ground works,     in their local store.                     across all of its roles.”

6                                                                                                                                                                                                               Aldi UK Planning Opportunities and Benefits
Investing In Your Community - Planning opportunities and benefits
Benefits and Advantages of an Aldi store

Career Progression                                  created more than 1,000 jobs for young people      Candidates with a 2:1 degree in any discipline      People:
                                                    since the initiatives began.                       and 96 UCAS points (or equivalent) are eligible     Aldi’s colleagues are the key to its success and
Aldi has two of the most successful Graduate                                                           to apply. Those with experience of managing         the company employs over 34,000 people
and Apprentice Programmes in the UK.                Aldi Apprentices are offered a permanent           a team in a previous role are able to join the      in the UK. It provides an appealing, efficient
                                                    position at Aldi once they have completed their    Programme via the Career Changer route and          and supportive work environment and is
Aldi demonstrated its commitment to                 training successfully and gained the necessary     start on a year two salary. Aldi also offers vast   committed to ensuring that each colleague
employing young people even before the              qualifications. Depending on the programme         internal career progression opportunities           receives the opportunity for individual
Apprentice Levy was introduced in April 2017 –      applied for, this may include a Level 2 Retail     across the business and provides additional         personal growth.
having made a significant investment in the         Management Qualification, Level 2 Warehouse        training and qualifications to support
development and training of apprentices             Operative Standard Qualification, Category C+E     colleagues to progress and develop.                 Community:
since it first launched its Stores Apprenticeship   licence or a Level 2 LGV standard qualification.                                                       Aldi seeks to make a positive contribution
Programme in 2012. It then introduced the                                                                                                                  to the communities of which it is a part by
Logistics Apprenticeship in 2013 and further        There are more than 70 graduate places             Corporate Responsibility                            applying its skills and resources beyond
extended its Apprenticeship offering with           available for the 2019 Area Management                                                                 the core business operations. Aldi supports
the Drivers Apprenticeship in 2016. The three       Programme. Graduate Area Managers spend 12         Aldi has a comprehensive Corporate Social           charitable organisations with donations of
available Apprenticeship programmes have            months training and learning the ropes before      Responsibility (CSR) programme in place,            money and products as well as by using other
                                                    they are given responsibility for four stores      covering three key pillars: simplicity,             resources available to the company, including
                                                    of their own. The training covers the entire       consistency and responsibility.                     the time and skills of employees.
                                                    spectrum of running a retail operation and is a
                                                    UK-wide Programme.                                 Aldi takes its responsibilities seriously and       Environment:
                                                                                                       actively promotes its five areas of Corporate       Aldi aims to minimise the ecological footprint
                                                                                                       Responsibility, many of which are already           of the entire business and strives to become
    “Over 1,000 apprentices hired                                                                      mentioned throughout this document.                 a climate-neutral company. Aldi continues to
    by Aldi as part of a three-year                                                                                                                        increase energy efficiency across the business,
    programme across the UK.”                                                                          Aldi is responsible to its                          minimising the impact of refrigerants,
                                                                                                       • Customers                                         improving logistics efficiency, using renewable
                                                                                                       • Supply Chain                                      energies and supporting climate protection
                                                                                                       • People                                            projects. Aldi aspires towards zero-waste
                                                                                                       • Community                                         business practices; reduce, reuse and recycle.
                                                                                                       • Environment
                                                                                                                                                           In cooperation with architects, planners,
                                                                                                       Customers:                                          engineers and construction companies, Aldi
    “Over 70 graduate places                                                                           In addition to ensuring customers only buy          implements innovative concepts to reduce
                                                                                                       products of the highest standards and quality       the environmental impact of stores and
    available for the 2019 area                                                                        at the lowest prices, Aldi provides information     distribution centres.
    management programme.”                                                                             so customers can make healthy choices when
                                                                                                       buying food and drink, including alcohol,
                                                                                                       by providing accurate and transparent
                                                                                                       information through clear product labelling.

                                                                                                       Supply Chain:
                                                                                                       Sustainable buying practices are essential to
                                                                                                       the long-term success of Aldi’s business.
    “Aldi employs over 34,000                                                                          Aldi’s aspiration is that all their products are
    people in the UK.”                                                                                 made in a sustainable way. Together with
                                                                                                       its suppliers, Aldi works towards increased
                                                                                                       transparency and continued improvement
                                                                                                       within the supply chain.

8                                                                                                                                                                                                Aldi UK Planning Opportunities and Benefits
Investing In Your Community - Planning opportunities and benefits
How we differ...

                                                                                                   to work, and the Guardian Best Graduate           An Aldi shopping trip often forms one part
                                                                                                   Employers lists.                                  of a wider shopping trip for convenience
                                                                                                                                                     goods. This allows existing businesses within
                                                                                                   Aldi offers a significant choice of locally       local communities, as well as the larger
                                                                                                   sourced fresh meat and produce – Aldi sources     supermarkets, to continue trading as
                                                                                                   its fresh meat and produce from the UK.           they were.
                                                                                                   Fresh fruit and vegetables are also sourced in
                                                                                                   the UK when in season, such as strawberries,      In addition, Aldi’s store format allows
                                                                                                   salads, carrots and potatoes. In addition,        customers to spill over to local shops, as we
                                                                                                   Aldi works with a range of local businesses       don’t sell tobacco and we don’t have in store
                                                                                                   and suppliers in order to supply fresh bread,     concessions such as a Post Office, a pharmacy
                                                                                                   milk and other dairy products. As such,           or a café.
                                                                                                   new Aldi stores provide a boost to the regional
                                                                                                   business community.                               Aldi launched its Corporate Social
                                                                                                                                                     Responsibility Policy (CSR Policy) in 2012,
                                                                                                                                                     ensuring that responsibility is an integral part
                                                                                                                                                     of our corporate decision-making processes,
                                                                                                                                                     including within the supply chain.

                                                                                                                                                     Aldi ensures that its prices are affordable,
                                                                                                                                                     so customers can be reassured that their
                                                                                                                                                     grocery bill will remain consistently low over a
Aldi’s business model has proved ideally suited to take                                                                                              sustained period of time.
advantage of gaps within the current UK grocery market,
                                                                                                                                                     Aldi does not operate a loyalty card scheme
by challenging the ‘Big 4’ supermarkets. Aldi’s business model                                                                                       or gimmicky offers which result in price
limits operating costs to ensure the lowest possible prices for                                                                                      fluctuations for shoppers from week to week.

its range of exclusive brands.                                                                                                                       It is essential for Aldi that all products are
                                                                                                                                                     made responsibly; they do not damage the
                                                                                                                                                     environment or workers.
The evidence for this is Aldi’s increasing     recognised brands, unlike
market share, indicating that shoppers         the major superstores
                                                                                                                                                     Aldi’s CSR Policy is constantly evolving as an
have been impressed with their overall         which stock between
                                                                                                                                                     important component of Aldi’s investment
experience.                                    15,000 and 40,000 lines.
                                                                               “Aldi received                                                        in local communities and is a strong offering
Aldi offers a consistent familiar shopping     Aldi stores do not feature      a total of                                                            compared to most other retailers.
environment, which resonates with consumers,   in-house bakeries,              16 gold accolades
compared to the confused formats and           butchers, pharmacies            at the Grocer
promotions which are used by competitors in    or cafes and so have a          Own Label
order to increase or retain market share.      minimal impact on small,
                                               local businesses.
                                                                               Awards.”
Aldi uses three key formats on its products;                                                                                             “Where possible Aldi’s
its ‘Core Range’, ‘Specially Selected’ and     This format is backed up by a range of                                                    fresh meat is UK sourced.
‘Everyday Essentials’, which are easily        award-winning products, which have been                                                   Fresh fruit and vegetables, such
understood by consumers.                       endorsed by industry leaders. Aldi was
                                               awarded ‘Grocer of the Year’ in the prestigious
                                                                                                                                         as strawberries, salads, carrots
Aldi has a core range of around c. 1,800       2018 Grocer Gold Awards and continually                                                   and potatoes are also sourced in
products and only around 5% of these are       features within the Times Top 100 places                                                  the UK when in season.”

10                                                                                                                                                              Aldi UK Planning Opportunities and Benefits
Investing In Your Community - Planning opportunities and benefits
Expansion

Aldi has an ambitious growth
strategy for the next few years.
Aldi is planning to open 60 new
stores in 2019 and will operate                                                                       “Aldi’s stores often provide
                                                                                                      a neighbourhood function
1,200 by 2025 across England,                                                                         which is reflected in
Scotland and Wales. It also                                                                           the scale of development
plans to extend a number of                                                                           and relationship with
stores in order to expand the                                                                         the community.”
available retail space.

Over the next decade,
Aldi hopes to double
its store portfolio,
offering significant
                                “Aldi is planning to
development
opportunities for               open 60 stores per year
Councils across the             across England, Scotland
UK to enhance their             and Wales.”
communities.

All distribution centres have undergone
significant expansion, a new RDC opened
on the Isle of Sheppey in January 2019 and
the East Midlands will have a new, dedicated
distribution centre in Sawley in 2020.             •	Aldi’s stores provide a neighbourhood
                                                      function which is reflected in the scale of
                                                      development and relationship with the
Typical Site Requirements                             community

Aldi is constantly on the look-out for new sites   New sites are identified by Aldi when it is a
that can accommodate new stores. Aldi has          viable business opportunity in order to allow
a standard store format which is essential         prices in store to remain consistently low.
to minimise development costs which are
otherwise reflected in prices for customers.

A typical site would be at least 0.7 hectares
(1.7 acres) and can accommodate
• a store of circa 1,900m2 gross
• at least 100 car park spaces
• provision for site access
• provision for servicing and deliveries
• landscaping
                                                                                                         Regional Distribution
• Aldi’s stores are modest in size
                                                                                                         Centre (RDCs)

12                                                                                                  Aldi UK Planning Opportunities and Benefits
Investing In Your Community - Planning opportunities and benefits
Planning Policy

The NPPF states that: ‘sustainable development                                       “Aldi has a strong track
can be summarised as meeting the needs of                                            record in delivering schemes
the present without compromising the ability of                                      which contribute to the needs
future generations to meet their own needs.’                                         of the local economy.”

It is about positive growth – making economic,        Town Centre Locations
environmental and social progress for this and
future generations. The planning system               As a retail operator, Aldi recognises that town
should therefore seek to facilitate sustainable       centres form an integral part of communities.
development.                                          Many of Aldi’s stores are located in town
                                                      centres, neighbourhood centres and on edge
Aldi supports the three overarching objectives        of centre sites, supporting and encouraging
of achieving sustainable development set out          new businesses. Many sites provide the
in the NPPF:                                          opportunity to redevelop and regenerate
                                                      centres which have suffered from high levels
•	an economic objective – to help build a            of vacant units and old building stock.
   strong, responsive and competitive
   economy, by ensuring that sufficient land of
   the right types is available in the right places
                                                      Community Site Locations
   and at the right time to support growth
                                                      Increasingly Aldi is opening stores in the heart
                                                      of communities, many in residential and mixed
•	a social objective – to support strong, vibrant
                                                      commercial areas. Often the local catchment
   and healthy communities, including
                                                      areas that Aldi stores serve are outside of town
   fostering a well-designed and safe built
                                                      centres and local authorities recognise that our
   environment, with accessible services
                                                      supermarkets provide a local offer, keeping
                                                      spend local and reducing travel costs.                                                                                 “Aldi contributes to positive
•	an environmental objective – to contribute
                                                                                                                     that the modest size of stores and moderate
   to protecting and enhancing our natural,                                                                                                                                  growth, making economic,
                                                                                                                     turnover has negligible impact on town centre
   built and historic environment; including          Retail Assessments                                             convenience offers. Overall, the assessments            environmental and social
   making effective use of land, and mitigating
                                                                                                                     show that the positive benefits on balance              progress for this and
   and adapting to climate change, including          Where Aldi’s new stores are located in
   moving to a low carbon economy                     out-of-centre locations, it is important we
                                                                                                                     significantly outweigh any potential harm.              future generations.”
                                                      demonstrate that the proposal is Sustainable
Most of Aldi’s sites are well connected to town       Development in line with the NPPF, thus                        Competition Commission
centres or within the heart of communities,           addressing the two key tests of Impact and
with many customers travelling on foot and by         Sequential Sites Assessment.                                   During the investigations by the Government’s
public transport.
                                                                                                                     Competition Commission into the grocery            Aldi is a prime example of how increased
                                                      An impact assessment is usually required for                   sector, the Office of Fair Trading (J Fingleton,   competition provides customers with greater
National Policy recognises that to deliver
                                                      out-of-centre schemes, and in particular those                 2006) stated that ‘Legislation is to protect       choice whilst not compromising quality. The
sustainable development, Local Authorities
                                                      of 2,500m2 gross or more. Aldi stores sit                      competition not competitors. In many               key driver when choosing where to buy
need to:
                                                      comfortably below this threshold and many                      scenarios consumers benefit from                   convenience goods is the quality and the price,
                                                      Local Authorities recognise that the modest                    increased productivity and efficiency in           thus keeping competition healthy with the
•	build a strong, competitive economy and
                                                      size of our stores does not require a full impact              terms of choice, wider availability, greater       larger supermarket operators and keeping
   ensure the vitality of town centres
                                                      assessment. Our impact assessments show                        innovation and lower prices.’                      more change in the purse.

14                                                                                                                                                                                  Aldi UK Planning Opportunities and Benefits
Investing In Your Community - Planning opportunities and benefits
Planning Compliance

Planning Policy encourages:
• a positive approach from decision takers
• approval of applications for sustainable development where possible
• Councils to work proactively with applicants to secure developments that
   improve the economic, social and environmental conditions of the area                                             Catchment
                                                                                                                                                                                                         “Aldi’s stores comply
                                                                                                                     Aldi’s modestly sized stores mean that many          network, but transferred
                                                                                                                                                                                                         with development plan
                                                                                                                     towns can accommodate more than one                  or linked trips. The local
Aldi’s stores are modest in size, providing         Out-of-centre                                                    store, serving shoppers visiting a town centre       nature of many of Aldi’s       policies in town,
a complementary convenience retail
offer to existing convenience shopping                                                                               and within local neighbourhoods. A new               stores also encourages         district and local centres
                                                    Aldi’s edge of centre,
provision in their respective catchment
                                                    community and retail             “The local nature of many of
                                                                                                                     store often provides a shorter shopping trip,        high levels of pedestrian      which meet the
areas. Aldi’s stores are spread across a                                                                             therefore reducing the need to travel as far,        shoppers and users
                                                    park stores which are            Aldi’s stores also encourages                                                                                       national ‘town centre first’
range of geographical areas.                                                                                         often to a store outside of the catchment area.      of public transport.
                                                    not attached to defined
                                                                                     high levels of pedestrian       This assists in clawing back trade which may         Pedestrian shoppers are
                                                                                                                                                                                                         policy objectives.”
                                                    centres have been
Some are located in:                                                                 shoppers and users of public    otherwise be spent elsewhere.                        particularly common in
                                                    approved by Local
•	town, district, local and                                                                                                                                              residential areas.
                                                    Planning Authorities             transport.”
   neighbourhood centres                                                                                             Aldi’s local presence helps to retain
                                                    because each have
•	edge of centre sites                                                                                              expenditure within a given catchment
•	local communities
                                                    demonstrated that they
                                                                                                                     area and contributes to improving market
                                                                                                                                                                          Design Compliance
                                                    meet Development Plan objectives, do not
•	retail and leisure parks                                                                                          share further demonstrating sustainable
                                                    harm the vitality and viability of nearby centres                                                                     Aldi recognises that design is a key
                                                                                                                     development.
                                                    and provide Sustainable Development.                                                                                  consideration and takes great pride in
Community Engagement                                Aldi chooses sites in local catchment areas                                                                           their appearance. Aldi injects multi-million
                                                    which can serve local communities, therefore                     Viability                                            pound investments into its sites to provide
Aldi engages in pre-application consultation        reducing the need to travel and providing                                                                             modern buildings.
with councils and the local community,              a convenient offer without having to make                        Aldi’s cost efficient concept means that often
involving meetings with local councillors,          a longer trip. The environmental, social                         it has to avoid complicated sites with land          Moving forward, the design of each store is
planning officers and members of the                and economic benefits of Aldi’s locations                        assembly issues which are often located in           consistent across Aldi’s portfolio, promoting
public. We hold exhibitions, provide letters        provide a convenient and competitive                             town centre locations. In such catchments,           modern, smart buildings with clean lines on
to local residents and advertisements in            shopping experience.                                             Aldi will seek to identify less complicated          main elevations and glazed frontages. In
the local press. At exhibitions, members                                                                             sites further afield, to edge and out-of-            sensitive areas, such as conservation areas,
of local communities, councillors and other                                                                          centre locations. This is a positive response to     bespoke detail is implemented. Aldi’s
stakeholders can visit Aldi’s project team
                                                    Choice                                                           consumer choice for shoppers as it allows Aldi       maintenance programme ensures all
to discuss the proposals and get answers                                                                             to keep its prices low and therefore, combined       buildings are reviewed and maintained to
to any questions. Local engagement is
                                                    Aldi stores do not provide      “Aldi wants to invest in your    with other benefits, offsets any perceived           retain standards. This programme emphasises
important and allows Aldi to work with the
                                                    a ‘one stop shop’ due to        community to provide a new       adverse impact on those centres.                     Aldi’s attention to detail.
                                                    their modest scale and
community to provide the right scheme and                                           local supermarket with
                                                    limited product range
establish support.
                                                    including branded               quality products at low          Highway Compliance                                   Residential Amenity
                                                    goods. This means Aldi’s        prices in an accessible and
In-centre                                           customers generally             sustainable location.”           Aldi considers highway matters within                The form, scale, appearance and layout of
                                                    shop elsewhere as well,                                          all its planning applications. Proposed              the proposed developments are taken
Aldi’s stores in town, district and local centres   to complete a full weekly                                        developments are encouraged to promote               into consideration within all planning
comply with Development Plan policies               shop. Aldi’s complementary offer therefore                       accessibility by all modes of travel, specifically   applications located close to residential areas.
which meet the national ‘town centre first’         provides a balance for shoppers who want the                     public transport, cycling and walking. Given         Aldi’s project team works closely with
policy objectives.                                  freedom to choose where they shop in their                       that proposed stores are conveniently located,       residents to ensure they are informed of the
                                                    local area to get best value for their budgets.                  the majority of car trips are not new to the         development’s progress.

16                                                                                                                                                                                                              Aldi UK Planning Opportunities and Benefits
Investing In Your Community - Planning opportunities and benefits
Summary

Aldi is keen to demonstrate to Councils
that Aldi considers all factors in preparing
its development proposals for new stores.

In addition to its town centre stores, both edge
and out-of-centre stores continue to provide
benefits to shoppers and communities by
providing economic, social and environmental
benefits, therefore providing Sustainable
Development in line with planning policy.

Aldi shoppers continue to shop in smaller,
local shops, thus keeping competition alive
in the convenience sector of local towns.

Benefits of Sustainable
Planning
In line with national planning guidance,                                                                   “Aldi is not a one-stop-shop
development should be sustainable.
                                                                                                           so it forms part of a wider
                                                                                                           weekly food shop, therefore
                                                                                                           shoppers continue to support
                                                                                                           other convenience store
                                                                                                           provisions including niche
     “Wherever possible, fresh
                                                   Aldi is sustainable in so                               and larger stores.”
     bread, dairy and meat                         many ways:
     products are sourced from
                                                   •	It creates development on brownfield sites        •	Many customers live within walking distance
     the UK, therefore UK suppliers                •	It acts as a catalyst for regeneration in            of new stores
     benefit from the success                         underperforming areas                             •	It is loyal to and committed to the
     of the Aldi brand.”                           •	It provides choice and accessibility for             development of its staff
                                                      shoppers in local communities                     •	Its efficient business format keeps costs
                                                   •	Aldi is not a one-stop-shop so it forms part of      down, prices down and contributes to
                                                      a wider weekly food shop, therefore shoppers         improving the environment
                                                      continue to support other convenience store       •	Locally sourced produce benefits local
                                                      provisions including niche and larger stores         suppliers
                                                   •	Stores encourage linked trips to other            •	At design stage consideration is given to
                                                      convenience stores, services and other               the local environment, residents and the
                                                      businesses                                           highway network
                                                   •	Stores are modest in scale therefore town         •	It sells quality products at low prices,
                                                      centres continue to thrive and function side         which is attractive to all members of our
                                                      by side                                              communities
                                                   •	It creates economic regeneration with jobs in     •	Aldi stores serve local communities
                                                      stores, logistics and construction                   thus complying with national planning
                                                   •	Local contractors benefit from new stores            policy by encouraging local sustainable
                                                   • Customers can make shorter trips                      developments

18                                                                                                                Aldi UK Planning Opportunities and Benefits
Case Studies

                                                  Public House and construction of a car park         •	97% of respondents thought the store was
     The Causeway,                                area. As a town centre scheme the proposals            an improvement on the site and considered
                                                  were policy compliant and it was recommended           the store has had a positive impact on the
     Billingham                                   that the application be approved.                      local area
                                                                                                      •	69% of respondents live less than two miles
     (Stockton-on-Tees
                                                  Planning Permission                                    from the store, exhibiting that the store is well
     Borough Council) 		                                                                                 used by people in the local area
     			                                          Planning permission was granted by
                                                  Delegated Decision.
     Store opened April 2016                                                                          Benefits
     Town Centre Site                                                                                 •	The store attracts local people to shop
                                                  Policy Compliance
                                                                                                         locally and encourages linked trips within
                                                  The proposals were in compliance with the
                                                                                                         the District Centre
                                                  development plan, as the site fell within
                                                                                                      •	Some local businesses have benefitted from
                                                  Billingham District Centre. The proposal would
Decision Making Process                           not have any adverse impacts on the character
                                                                                                         the new store
Approved by Delegated Decision.                                                                       •	The store has increased footfall in the local area
                                                  of the area, amenity of neighbouring occupiers
                                                                                                      •	Aldi’s investment has aesthetically improved
                                                  or access and highway safety therefore meeting
Site Proposal                                                                                            the area, following redevelopment of a
                                                  town centre, sustainable living and sustainable
                                                                                                         brownfield site
                                                                                                                                                                        “Over 20% of customers
Erection of foodstore (1,540m2 gross) with        travel objectives.
                                                                                                      •	Improved choice and low prices within an                       travel by sustainable modes.”
associated car parking and landscaping.
                                                                                                         area served primarily by more expensive
                                                  Public Response                                        supermarket operators
Store Size                                        The application for the food store was supported    •	High quality design and reduction in carbon
1,540m2 gross/900m2 net                           by local residents with a total number of 60           emissions
                                                  letters of support and 2 petitions supporting the
Site Description                                  application received during the formal
                                                                                                      Mode of transport                                                                                                     25
The site is situated on the corner of Moreland    consultation process carried out by Stockton
                                                  Borough Council.
                                                                                                                                                                                                                          jobs
Avenue and The Causeway, within Billingham
District Centre. The site was previously
                                                                                                                                                                                                                        created
                                                                                                                             74%
occupied by Billingham Arms Public House,         Customer Survey                                                                                             ■ Car (driver)
a car park and public realm.                      •	12% of customers walk to the store and                                                                   ■ Walk
                                                     9% travel by bus                                                                                         ■ Bus

Sequential Location                               •	Over 20% of customers travel by sustainable                                                              ■ Car (passenger)
                                                                                                                                                              ■ Other
Town centre site.                                    modes demonstrating the store’s accessibility           1%
                                                     to the immediate community
                                                                                                                                                              ■ Cycle
                                                                                                                                                                                                                   District centre
                                                                                                                 2%
                                                  •	Most customers (63%) visit Aldi for main                                                                                                                            site
Local Environment                                                                                                 2%
                                                     shopping, 16% for top-up shopping and
The store is located within Billingham District                                                                         9%
                                                     21% for both purposes                                                            12%
Centre. Queensway (a pedestrianised
                                                  •	92% of respondents also use other
shopping street) extends west of Moreland
                                                     supermarkets including the Asda store in
Avenue. The wider surrounding area is
                                                     Billingham District Centre (30%) and the
characterised by residential uses.                                                                                                                                                                                     1,540m2/
                                                     Tesco Store at Leeholme Road (54%)               Do you do other food shopping in the town centre?
                                                  •	46% of customers also use other convenience                                                                                                                        900m2
Planning Process                                     stores in the District Centre, demonstrating                                                                                                                        in size
An application for the erection of a 1,540m2         continued support for other shops in the         YES
foodstore with associated car parking was            centre following the arrival of Aldi
originally approved in 2011. In 2014 an           •	49% of customers were going on to, or had
                                                                                                      NO
application for a non-material amendment             already been to, other shops in the centre,
was submitted alongside a detailed                   demonstrating linked trips following the
application for the demolition of the former         arrival of Aldi                                        0%    10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

20                                                                                                                                                                                              Aldi UK Planning Opportunities and Benefits
Case Studies
                                                                                                                                                                                                                                   6%

                                                  robust employment land assessment
     3 Port Causeway,                             including marketing information to
                                                  demonstrate the site was not viable or suitable
     Bromborough                                  for B1, B2 and B8 uses. A sequential test and a
     (Wirral Council)          		                 retail impact assessment were required and
     			                                          both tests were passed and accepted by the
                                                  Council. It was also confirmed that Aldi would
     Stored opened July 2017                      keep its existing town centre store at nearby
     Out-of-centre Site                           Bebington. The scope and content of all
                                                  assessments were agreed with officers before
                                                  the planning application was submitted.
                                                  The development was supported following
                                                  consensus that the site was unlikely to attract
Decision Making Process                           interest from end users or developers for
Approved by the Council’s Planning Committee      employment uses and the retail proposal was
following officer recommendation to approve.      the most appropriate use including the                                                                                  “91% of respondents find
                                                  creation of local jobs.                                                                                                 the store is an improvement
Site Proposal                                                                                                                                                             on the site.”
Demolition of existing buildings and the          Planning Permission
erection of a food store, car park, servicing,    Planning permission was granted by the
access and landscaping.                           Planning Committee.
                                                                                                                Customer Survey                                    Benefits
                                                                                                                •	91% of respondents find the store is an         •	Efficient use of a brownfield site which had
Store Size                                        Policy Compliance
                                                                                                                   improvement on the site and has had a              otherwise attracted no market interest for
1,812m2 gross/1,254m2 net                         The site is a departure from the Wirral
                                                                                                                   positive impact on the local area                  employment use
                                                  development plan, as the proposed
                                                                                                                •	89% of customers also use other                 •	Improved choice and low prices within an
                                                                                                                                                                                                                                         30-35
                                                  development was identified as a Primarily                                                                                                                                                 jobs
Site Description                                                                                                   supermarkets and shops in the area                 area served primarily by more expensive
                                                  Industrial Area on the UDP Proposals Map and                                                                                                                                            created
The site is located at the junction of the A41                                                                  •	24% of customers continue to shop in their         supermarket operators
                                                  UDP Policy EM8. However, Aldi’s Employment
New Chester Road and Port Causeway at the                                                                          local town centre for food and other shopping   •	High quality design and reduction in carbon
                                                  Land Study, including over 12 months of
entrance to Wirral International Business Park.                                                                 •	67% of customers live within three miles of        emissions
                                                  marketing, met the criteria for loss of
The site was previously occupied by two                                                                            the store providing a local store and keeping   •	Complements the mixed use corridor along
                                                  employment land. Combined with a retail
office buildings.                                                                                                  travel costs low                                   the A41
                                                  assessment which passed the sequential
                                                                                                                                                                   •	Sustainable development in a mixed use area
Sequential Location
                                                  and impact tests, it was demonstrated                         Improvement in the area
                                                  that the proposal was compliant with the                                                                                                                                             Out-of-centre
Out-of-centre site.                                                                                                                                                                                                                         site
                                                  local plan and NPPF thus planning permission
                                                  was granted.                                                         91%                                 89%     Distance travelled (miles)
Local Environment                                                                                                                              ■ Yes               35
The store sits within a mixed-use area
                                                  Public Response                                                                              ■ No
comprising commercial, community and                                                                                                                               30
                                                  There was limited resistance to the proposal by
residential uses, a park and fronted by a                                                                                        9%                                     11%
                                                  members of the public with 91% of residents                                                                      25
landscaped area on the A41.
                                                  supporting the proposal as part of Aldi’s public
                                                                                                                                                                                                                                         1,812m2/
                                                  consultation. Supporters expressed their                                                                         20                                                                    1,254m2
                                                                                                                 Visiting any other stores
Planning Process                                  support for a new discount foodstore which                                                                                                                                               in size
                                                                                                                                                                   15
As the site was designated as a Primarily         would replace a brownfield site.
Industrial Area, Aldi was required to prepare a                                                      91%                89%                                        10

                                                                                                                                               ■ Yes                5
                                                                                                                                               ■ No
                                                                                                                                                                    0
                                                                                                                                                                              0.0-1.0 1.0-2.0 2.0-3.0 3.0-4.0 4.0-5.0 5.0-6.0   >6.0
                                                                                                           9%                     11%

22                                                                                                                                                                                                               Aldi UK Planning Opportunities and Benefits
Case Studies

                                                   Planning Process
     Chickerell,                                   As the site was identified as Key Employment
     Weymouth                                      site, Aldi was required to prepare a robust
                                                   justification to demonstrate the proposal would
     (West Dorset District Council)                provide supporting facilities and an economic
     				                                          enhancement over and above B1/B2/B8 uses.
                                                   A sequential test and a retail impact
                                                   assessment were required. Both tests
     Store opened September 2017
                                                   were passed and accepted by the Council.
     Out-of-centre Site                            It was considered that the retail use and
                                                   complementary uses would provide an
                                                   element of employment which on balance
                                                   bring a benefit to the local community.
Decision Making Process
Approved by the Council’s Planning Committee
following officer recommendation to approve.
                                                   Planning Permission                                                                                    “93% of respondents find
                                                   Planning permission was granted by the
                                                                                                                                                          the store is an improvement
                                                   Planning Committee.
Site Proposal                                                                                                                                             on the site.”
Hybrid application: Full application for the
                                                   Policy Compliance
erection of a Class A1 foodstore with associated
                                                   The site is a departure from the West Dorset/
access, car parking and landscaping and
                                                   Weymouth & Portland Local Plan, as the                                                             Benefits
outline application for up to 500m2 of Use Class                                                      Customer Survey
                                                   proposed site was identified as a key                                                              • The store has become an asset to Chickerell
A1 to A5 floorspace.                                                                                  •	93% of respondents find the store is an
                                                   employment site. However, the submitted                                                            •	Improved choice and low prices within an
                                                                                                         improvement on the site and has had a
                                                   employment land assessment demonstrated                                                               area served primarily by more expensive
Store Size                                         that a real effort has been undertaken to
                                                                                                         positive impact on the local area
                                                                                                                                                         supermarket operators
                                                                                                                                                                                                                              30
                                                                                                      •	97% of customers also use other
1,804m2 gross/1,254m2 net                          achieve alternative employment uses on that                                                        •	High quality design and reduction in
                                                                                                                                                                                                                             jobs
                                                                                                         supermarkets and shops in the area
                                                   site. Combined with a retail assessment which
                                                                                                      •	24% of customers continue to shop in their      carbon emissions                                                  created
Site Description                                   passed the sequential and impact tests, it was
                                                                                                         local town centre for food and other         •	The site is accessible by various
The store sits between the access road to Link     demonstrated that the proposal was compliant                                                          sustainable modes of transport
                                                                                                         shopping
Park ‘retail’ park and Cerne Villas residential    with the local plan and NPPF thus planning                                                         •	Introduction of a new store to serve
                                                                                                      •	79% of customers visit the store at least
park. The store is served by 126 car parking       permission was granted.                                                                               West Weymouth
                                                                                                         once a week
spaces with access from Chickerell Road.                                                              •	67% of customers live within four miles
                                                   Public Response                                       of the store thus keeping shopping                                                                            Out-of-centre
Sequential Location                                The local community and local members                 journeys local
                                                                                                                                                      Customer visits                                                       site
Out-of-centre site.                                supported the development, highlighting
                                                   the various benefits the store will bring to the
                                                                                                      Improvement in the area
                                                   local area.
Local Environment                                                                                                                                                           79%
The store sits within a mixed-use area
comprising commercial and residential uses.
                                                                                                                                                                                                                          1,804m2/
                                                                                                                   93%                                                    97%
                                                                                                                                                                                                                           1,254m2
                                                                                                                                                                                                                            in size
                                                                                                                                                              1%
                                                                                                                                                                2%
                                                                                                                                                                     3%
                                                                                                                                                                           5%         10%

                                                                                                                              7%                                                     3%

                                                                                                      ■ Yes                                           ■ Once a week ■ More than once a week ■ More than once a month
                                                                                                      ■ No                                            ■ Once a month ■ Daily ■ Less than once a month

24                                                                                                                                                                                                 Aldi UK Planning Opportunities and Benefits
Case Studies

                                                     Planning Process
     4 Roman Way,                                    As a mixed use development, officers
                                                     wanted to see a higher density development
     Crayford                                        and raised concerns regarding design.
     (London Borough of Bexley)                      Aldi demonstrated that this was a deliverable
     				                                            scheme on a long term vacant site.
                                                     Officers recognised the benefits of the scheme
                                                     including the design. Issues including
     Store opened November 2016                      highways and flood risk were also raised which
     District Centre Site                            were overcome with appropriate transport
                                                     and flood risk assessments. The principle of
                                                     retail development at the site was accepted
                                                     due to its district centre location.
Decision Making Process
Approved at Council’s Planning Committee             Planning Permission
following officer recommendation to approve.         Planning permission was granted by
                                                                                                                                                             “87.5% of respondents
                                                     committee decision on 20 November 2015.
Site Proposal                                        Unanimous support was obtained for the                                                                  shopped at the store
Regeneration of the site through the                 proposals at committee.                                                                                 at least once a week.”
construction of a Class A1 foodstore unit,
together with 3 additional class A1 units and        Policy Compliance
associated car parking and landscaping.              The proposals were considered to be in
                                                                                                      Customer Survey                                 Benefits
                                                     compliance with the Local Development Plan                                                       •	The store attracts local people to shop
                                                                                                      •	Most customers (79%) visit Aldi for main
Store Size                                           and were recommended for approval                                                                   locally and encourages linked trips within
                                                                                                         shopping, 23% for top-up shopping and
1,834m2 gross/1,266m2 net                            within the Officers Report. Subsequently, the                                                       the District Centre
                                                     application was approved by committee in
                                                                                                         20% for both purposes
                                                                                                                                                      •	The store has increased footfall in the
                                                                                                                                                                                                                        43
                                                                                                      •	91% of respondents also use other
Site Description                                     November 2015.                                                                                      local area
                                                                                                                                                                                                                       jobs
                                                                                                         supermarkets including the town centre
The site is bound by Roman Way and is located                                                            Sainsbury’s (48%) and the Asda store (15%)   •	Aldi’s investment has aesthetically improved                created
west of Crayford High Street. The site had been      Public Response                                  •	94% of respondents thought the store was        the area, following redevelopment of a
vacant for over 10 years and was formally            Aldi undertook extensive public consultation        an improvement on the site and considered       brownfield site left vacant for over 10 years
occupied by the Crayford BT exchange.                through a leaflet drop to local residents           the store has had a positive impact on the   •	Improved choice and low prices within an
                                                     and also met key stakeholders. More than            local area                                      area served primarily by more expensive
Sequential Location                                  90% of the local people that responded           • 87.5% visit the store at least once a week       supermarket operators
                                                     to the consultation expressed their support                                                      •	43 jobs created at the store, employing
                                                                                                                                                                                                                     District
District Centre site.
                                                     for the proposals.                                                                                  local people                                                Centre
                                                                                                                                                                                                                       site
Local Environment
The site is located within Crayford Major District                                                    Improvement in the area                         Visiting any other stores
Centre and is situated on an ‘island’ site
alongside three additional commercial units,
two of which are occupied by Cancer Research
and KFC. The surrounding area is characterised                                                                94.74%
                                                                                                                   94.74%                                          91.11%
                                                                                                                                                                        91.11%                                      1,834m2/
by further commercial uses.                                                                                                                                                                                          1,266m2
                                                                                                                                                                                                                      in size

                                                                                                                       5.26%
                                                                                                                           5.26%                                                 8.89%
                                                                                                                                                                                     8.89%

                                                                                                      ■ Yes                                           ■ Yes
                                                                                                      ■ No                                            ■ No

26                                                                                                                                                                                           Aldi UK Planning Opportunities and Benefits
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