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Aldi plans to add over 800 U.S. outlets by 2028, marking its largest expansion in the country.
The expansion strategy includes converting 220 acquired Winn-Dixie and Harveys Supermarket stores into Aldi formats.
Aldi's focus on private-label products has driven a 7% increase in foot traffic, outpacing the grocery industry's 1.5% growth.
Leadership changes see Atty McGrath and Karla Waddleton taking CEO and COO roles to guide the expansion.
A flagship store in Manhattan's Times Square is set to open next summer, signaling Aldi's national ambitions.
German discount grocer Aldi is undertaking its largest-ever U.S. expansion, planning to add more than 800 outlets by 2028. The strategy is a direct bet that soaring grocery prices have permanently altered consumer habits, positioning the chain to become one of America's dominant food retailers.
Betting on the budget: The company's heavy reliance on private-label products, which make up roughly 90% of its inventory, is the foundation of its low-price strategy. The approach is working: according to data from Placer.ai, foot traffic surged by over 7% in the first half of 2025, crushing the wider grocery industry's anemic 1.5% growth.
Flipping the competition: To accelerate its takeover, Aldi is converting hundreds of locations from rival grocers. After acquiring around 400 Winn-Dixie and Harveys Supermarket stores, the company plans to flip 220 of them into its own format. According to an analysis by Grocery Dive, this strategy is heavily concentrated in the Southeast, with Florida alone accounting for nearly half of new store announcements in 2025.
Insiders take the helm: To steer the high-stakes expansion, Aldi announced a leadership shuffle that puts two company veterans in charge. Longtime executive Atty McGrath is stepping up to become CEO of Aldi U.S., with another 20-year veteran, Karla Waddleton, taking the COO spot. In a surprising twist, the discount retail model appears to run in the family. Aldi was founded by the same German brothers who also created the popular U.S. grocery chain Trader Joe's.
Aldi's playbook of converting rival stores and doubling down on a low-price, "treasure hunt" model is quickly moving it from a niche discounter to a mainstream grocery giant. The expansion culminates next summer with a flagship store in Manhattan's Times Square, a clear signal of its national ambitions. "Opening our first store in the heart of Manhattan will be a significant milestone for Aldi as we continue to expand access to affordable, quality groceries in the most in-demand locations across the country,” said Aldi Regional Vice President Chris Daniels.
