Kaufland is part of the world's fourth largest retailer and is bringing its brand of supermarket shopping to Australia. It has set up a new corporate headquarters in Melbourne with plans to launch with six supermarkets around Melbourne with more to follow across the country. Here's what you need to know.
Kaufland is part of the Schwarz Group which started in Germany during the mid 1980s. They now have over 1300 stores in seven European countries. Its Australian presence is limited at the moment as the company is looking for locations and is dealing with some controversies around permits and zoning although they have purchased a former Bunnings site.
I'm guessing the company is eyeing off some of the old Masters sites although Woolworths might be loathe to sell them to a competitor.
Although Kaufland says its focus is on providing "a wide range of products across all price categories – from premium to budget" they are known for offering the same sort of no-frill shopping experience we see at Aldi.
The company currently has over 40 job openings with all those focussed on backoffice and warehouse roles. Recruitment for stores hasn't yet commenced. While most of the jobs are at the Melbourne base, there are also roles at the Brisbane, Sydney and Adelaide offices.
Competition is a good thing and the stranglehold Coles and Woolworths has had on local retail is being broken. As well as Aldi, the IGA group is there with a solid share of regional areas. And Kaufland, if they get the local formula right, can further shrink the dominance of the near duopoly.