Is Aldi Coming to Seattle or Washington State in 2024?
Seattle residents face steep prices at the grocery store, with food costs nearly 50% above the national average according to Forbes. Clearly, discounted grocery options are in high demand in the Emerald City and across Washington state.
Could German bargain chain Aldi finally make its way to the Pacific Northwest and help lower the area‘s sky-high cost of living? Here‘s an in-depth look at if and when shoppers might see Aldi in Seattle or elsewhere in Washington.
Why such high grocery prices in Washington?
Washington state‘s combination of high taxes, steep housing costs, and Seattle‘s urban density drive up the cost of living significantly.
For example, according to the Council for Community and Economic Research‘s Cost of Living Index, grocery items in Seattle are about 8% pricier than the national average. Meats, produce, and dairy are especially expensive.
With grocery prices much higher than typical U.S. cities, Seattle residents could clearly benefit from a more affordable option like Aldi entering the market.
What factors determine Aldi‘s expansion strategy?
Aldi has focused recent expansion in the Midwest, Gulf Coast, and especially Florida. What makes these regions higher priority than a potentially lucrative market like Seattle?
I‘ve analyzed several key variables that likely influence Aldi‘s strategic decisions:
Population density – Aldi often targets metros with 400+ people per square mile first. Florida has nearly double Washington‘s density.
New distribution centers – Aldi built a new distribution center in Loxley, AL in 2021 to supply Gulf Coast stores. No such warehouse exists yet to supply Washington stores.
Competitive landscape – The Southeast lacked extreme-value grocery competition before Aldi arrived. Seattle already has options like WinCo Foods and Grocery Outlet.
Brand awareness – Aldi has operated in the Eastern U.S. for decades, while the chain is still establishing itself out West.
Based on these factors, Florida offered advantages over Washington for rapid scaling. But that doesn‘t rule out Seattle as a future market.
Could Aldi succeed in the Seattle area?
Though it may not be Aldi‘s top priority yet, the Seattle metro has several characteristics that could allow Aldi‘s model to thrive:
Large population – 3.5 million residents with high grocery spend
Urban density – Seattle proper has 9,000 people per square mile
Housing boom – 500,000+ new residents expected by 2040
Foodie reputation – Demand for low-cost artisanal and organic items
Tech workforce – Young professionals on a budget
I‘d argue the stage is set for Aldi to disrupt the Emerald City grocery scene. Aldi‘s specialty of premium products for 20-50% less would have enormous appeal.
Early signs Aldi is considering Washington state
Though no deals are confirmed, Aldi has dropped some hints that Washington state is at least on the radar:
Aldi surveyed Washingtonians in mid-2022 to gauge interest and potential locations. This suggests active market research is underway.
Job postings for District Manager and Store Manager roles in Washington have appeared recently. These are key positions Aldi usually fills 1-2 years before store openings.
In 2021, Aldi applied for two liquor licenses from the state for undisclosed King County locations. The licenses likely signal interest in Aldi‘s new Corner Store concept with alcohol sales.
These signals point to Aldi seriously considering a Seattle launch soon. I‘d guess store announcements could come in late 2023 or 2024 if current plans hold.
Where would Aldi locate in Seattle?
When speculating where first stores might go, it‘s helpful to look at Aldi‘s preferred site criteria:
Free-standing buildings with 20,000-30,000 sq ft
Main roads with 30,000+ daily traffic
Easy highway access
Parking for 75+ cars
With these needs in mind, some ideal areas for first stores include:
West Seattle – High residential density. Possible locations off SW Avalon Way.
Renton – Retail space near The Landing or IKEA. Large nearby population.
Northgate – Major mixed-use development. Office workers and residents nearby.
Kirkland/Totem Lake – Affluent area but very price-conscious. Rapid growth.
Puyallup – Central location to draw Olympia and Tacoma shoppers.
Richland – Largest city in eastern Washington. Close to 300,000+ residents when including Kennewick and Pasco.
Aldi Could Offer 10-50% Grocery Savings
To highlight Aldi‘s potential appeal, I‘ve compared prices on some popular grocery items at Aldi versus existing retailers in Seattle:
| Item | Aldi | Safeway | QFC | Whole Foods |
|---|---|---|---|---|
| Dozen Eggs | $1.29 | $2.29 | $2.99 | $3.29 |
| Gallon Milk | $1.99 | $2.79 | $3.49 | $3.99 |
| Loaf Bread | $0.85 | $2.49 | $2.69 | $4.29 |
| Avocados | $0.47 each | $1.00 each | $1.50 each | $2.50 each |
| Salmon Fillet | $8.99/lb | $12.99/lb | $14.99/lb | $18.99/lb |
As shown, Aldi could shave as much as 50% off standard Seattle grocery prices. These savings would add up quickly for local shoppers.
Perfect Time for Aldi to Challenge Seattle‘s Grocery Elite
Seattle residents are hungry for more low-cost shopping options as cost of living climbs. Meanwhile, Aldi is rapidly expanding nationwide but still lacks stores out West.
The stage seems set for Aldi to disrupt the Emerald City‘s pricey grocery scene. While the discounter hasn‘t confirmed plans yet, I predict Aldi could plant its flag in Seattle within two years.
The grocery giants like Kroger, Safeway and Whole Foods should take notice. Aldi‘s bargain prices on premium goods may soon swoop in to shake up the status quo.
