Does Aldi Own Trader Joe’S In 2022? (You’Ll Be Surprised)
With its laid back Californian feel and low prices and original goods, Trader Joe’s has gained cult status with the mass with numerous Facebook groups and websites dedicated to the 500+ stores located in 43 states.
Aldi Will Own Trade Joe’s in 2022
Aldi has Trader Joe’s. But it’s not the Aldi that is familiar to North American shoppers. Aldi Nord has Trader Joe’s. He was formed after the death of the Albrecht Discount German chain. Aldi Sud oversees Aldi US operations.
Are There Two Aldi’s?
There are actually two Aldi entities. However, before we dive into how one Aldi company took control of Trader Joe’s and the rest of the story, it’s helpful to know a little about the Albrecht history.
It is interesting that the Albrecht matriarch founded the first family grocery store in Essen in early 1900s. But, after two World Wars and a deteriorating economy, Germany was in dire straits. The Albrecht brothers, Theo and Karl, returned from the latter war and took over the running of the store.
No doubt seeing the bad state of things around them, the brothers wisely opted to carve out a niche in pantry basics for ultra-low prices. After the company’s growth, multiple shops were opened across Germany.
They lived together until the 1960s. Then, the brothers could no longer agree on selling cigarettes. Karl opposed the idea because he believed it would encourage shoplifters. Theo agreed with Karl.
They split and Theo took control of Aldi Nord, while Karl took over Aldi Sud.
When Did Aldi Nord Take Over Trader Joe’s?
Aldi Sud managed to reach the US in 1976. Importantly, Aldi Nord also acquired Trader Joe’s within three year.
As we can see, they weren’t looking to share a name or company with another chain to get into America.
Joe Coulombe, the founder and CEO of Trader Joe’s in 1979 (there is a Joe! He sold his company to Theo Albrecht (CEO of Aldi Nord).
AldiReviewer.com’s author reached out directly to Trader Joe’s, in an attempt to understand how closely Aldi Nord’s operation and Trader Joe’s’. TJ’s rep replied that both organizations operate independently.
Aldi Nord’s subsidiary Trader Joe’s operates in its own territory.
What Is Trader Joe’s?
Theo Albrecht bought Trader Joe’s in California as a way to make a sound investment.
Joe Coulombe (a Stanford University grad) founded Trader Joe’s. Coulombe began his career in convenience stores and drugstores. Coulombe acquired six Pronto Markets, which he was managing.
In the mid 1950s. In the intervening years, Coulombe had changed up his business model, making his stores stand out amidst the plague of 7-Elevens with unique and eclectic finds.
The chain was renamed Trader Joe’s during the 1960s to honor Trader Vic’s, a Los Angeles-area tiki restaurant. Aldi Nord offered their services shortly after.
And it’s easy to see why. Coulombe’s business model included more than simply finding random things and then putting them all together.
Instead, he curated luxury goods using items that were discontinued or had overstocks. Because he could get them at such a low price, he could transfer the savings to his customers. Sound familiar?
Whether or not that type of product (high-end/gourmet foods at low prices) made the Aldi Nord purchase of Trader Joe’s intentional, today it’s one of the biggest draws for both Aldi Sud and Trader Joe’s stores, and part of the reason middle-to-upper-class shoppers flock to both.
Is it the Same Thing that Aldi And Trader Joe sell?
Though some believe that Trader Joe’s US imports their store labels products from different wholesalers (so we haven’t been able to find any direct evidence), both stores stock similar items. In one case, Aldi appears to have copied.
The best example of this would be Trader Joe’s cult classic Everything But the Bagel flavoring. It was introduced in 2017 by Aldi. Aldi followed suit with their version under the Stonemill seasonings brand, which they simply named Everything Bagel Seasoning.
There are also similar products like wine for cheap (Trader Joe’s sells Two Buck Chuck and Aldi’s Winking Owl brand is $2.50/bottle), gourmet cheeses such as naan, butter, and almonds.
Aldi’s stock may be limited in space, so it seems that Trader Joe’s stores have a larger selection of the same items. Think of granola and fruit spreads with pickles or pickles.
The pantry staples section at Trader Joe is less extensive than the one on the website. However, you can find a few basic items by looking online at the “For the Pantry”. The 5-lb all-purpose flour bag sells at $3.99 while Aldi sells it for $1.15.
There is overlap between their product lines, but they are both competing for disposable income. Both have made it their mission, to sell at low prices.
But, one could argue that Trader Joe’s is a different kind of business than Aldi. They do occasionally overlap.
Does Aldi Own Trader Joe’S In 2022? (You’Ll Be Surprised)