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Lidl sees opportunity for 50 Long Island stores

Hard discount grocer expects pricing, convenience to resonate with shoppers

Russell Redman

December 16, 2019

5 Min Read
Lidl-West Babylon NY-store exterior.JPG
So far, Lidl has announced eight locations on Long Island, with this store in West Babylon, N.Y., one of the first two outlets opened.Photo by Russell Redman

Lidl last week launched its banner at the first of two dozen stores in metropolitan New York’s Long Island but sees the opportunity to have twice that many locations there.

Germany-based Lidl opened two stores, in West Babylon and Center Moriches, N.Y., on Dec. 11 and is slated to open another in Huntington, N.Y., this week. The West Babylon and Huntington stores were converted from the Best Market supermarkets, which Lidl acquired earlier this year, while the Center Moriches location is a brand-new store occupying a former Waldbaum’s space.

“We're focused right now on delivering the most convenient shopping experience, which means great locations,” said William Harwood, Lidl US communications director, at the West Babylon store grand opening. “We're continuing to look all across the Island. We could envision over 50 stores here.”

Arlington, Va.-based Lidl US announced the acquisition of Best Market in November 2018 and finalized the transaction in early 2019. Of the 27 Best Markets acquired, 24 are on Long Island, two are in New York City (Astoria and Harlem) and one is in Holmdel, N.J. A small Best Market store in Hicksville, on Long Island, was closed in September.

“The Best Market locations are convenient. We're going to continue to convert those. We're really excited to open them, and that's just the beginning for us,” Harwood said. “We have the two today. We have one next week in Huntington, and Plainview will come by early 2020. And then the second wave is East Meadow, Patchogue, Lake Grove and Oakdale. Those will be coming by the summer of 2020. So we'll have eight stores here in no time, and then we'll continue to convert and open more.”

Related:Lidl makes Long Island debut

Lidl-West Babylon NY-grand opening.JPG

An early morning snowfall didn't keep Long Islanders away from the West Babylon Lidl's grand opening event, as shoppers were both curious and excited about the area's new grocer.

Lidl expects to finish converting all of the Best Market stores within the next two years, according to Harwood. Of the eight announced so far for Long Island, two are in Nassau County and six are in Suffolk County. The Plainview store will take over a former ShopRite space, while the upcoming East Meadow, Oakdale, Patchogue and Lake Grove locations will be converted Best Markets.

“Customers have a lot to look forward to,” Harwood said, noting that Lidl pairs low grocery pricing with smaller, well-organized stores for faster, more convenient shopping. “At the end of the day, it means huge savings for a Long Islanders in terms of price and time. And those are things that we're really excited to deliver for them.”

At the West Babylon Lidl’s grand opening, a sign just inside the entrance spelled out the savings for customers: a weekly shopping basket of $92.79 for Lidl and $193.32 for the former Best Market.

Related:Lidl targets East Coast for 25 new stores

“The basket is $100 cheaper at Lidl than what you'd find at Best Market. So with us moving into the market, just from Best Market to Lidl, that’s $100 back in your pocket. What are you going to do with that each week? That’s $400 a month,” said Harwood. “That means a lots of people to be able to do that.”

Highlights of the West Babylon store include a fresh bakery, an expanded general merchandise and seasonal goods section, a large refrigerated and frozen foods department and — in response to customer input — a fresh-sliced deli meats and cheese display, where items are wrapped for grab-and-go convenience.

“We're really excited to be introducing a deli into Long Island as a pilot because of the feedback that we've taken in,” Harwood said.

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The fresh produce section, which features an ample assortment of organic items, is expected to become a destination department for the store.

“Lidl is a company with 11,000 stores globally, and each country operates with a great degree of independence in terms of the assortment,” he added. “We're always listening and adapting to the local markets that we operate in. That's how you have to go to grow and be successful like Lidl.”

Hard discount grocer Lidl encountered snags with its U.S. launch in 2017 and scaled back initial plans to open 100 stores over the following year. However, the company quickly reset its real estate strategy — to include smaller stores and leased sites, rather than just build-and-own locations — and has steadily grown its store base and earned high marks from customers.

The retailer now operates about operates about 80 stores in Virginia, the Carolinas, Georgia, Maryland, Delaware, New Jersey, Pennsylvania and New York. Lidl edged into the metro New York area in late 2018 with the opening of stores in Union, N.J., and Staten Island, N.Y.

Last week, Lidl also announced the purchase of six Shoppers Food & Pharmacy stores in Maryland and Virginia from United Natural Foods.

“Lidl has done a lot to correct the mistakes it made when it first entered the US market. It always had low prices and high-quality own-label products, but poor store location decisions and underprepared store personnel blunted the impact of its discount offer in the U.S.,” strategic advisory firm Brick Meets Click observed in an analysis last week. “As Lidl addresses these issues, we expect to see faster sales growth in the near term, especially as it enters dense, new markets like New York.”

About the Author

Russell Redman

Senior Editor
Supermarket News

Russell Redman has served as senior editor at Supermarket News since April 2018, his second tour with the publication. In his current role, he handles daily news coverage for the SN website and contributes news and features for the print magazine, as well as participates in special projects, podcasts and webinars and attends industry events. Russ joined SN from Racher Press Inc.’s Chain Drug Review and Mass Market Retailers magazines, where he served as desk/online editor for more than nine years, covering the food/drug/mass retail sector. 

Russell Redman’s more than 30 years of experience in journalism span a range of editorial manager, editor, reporter/writer and digital roles at a variety of publications and websites covering a breadth of industries, including retailing, pharmacy/health care, IT, digital home, financial technology, financial services, real estate/commercial property, pro audio/video and film. He started his career in 1989 as a local news reporter and editor, covering community news and politics in Long Island, N.Y. His background also includes an earlier stint at Supermarket News as center store editor and then financial editor in the mid-1990s. Russ holds a B.A. in journalism (minor in political science) from Hofstra University, where he also earned a certificate in digital/social media marketing in November 2016.

Russell Redman’s experience:

Supermarket News - Informa
Senior Editor 
April 2018 - present

Chain Drug Review/Mass Market Retailers - Racher Press
Desk/Online Editor 
Sept. 2008 - March 2018

CRN magazine - CMP Media
Managing Editor
May 2000 - June 2007

Bank Systems & Technology - Miller Freeman
Executive Editor/Managing Editor
Dec. 1996 - May 2000

Supermarket News - Fairchild Publications
Financial Editor/Associate Editor
April 1995 - Dec. 1996 

Shopping Centers Today Magazine - ICSC 
Desk Editor/Assistant Editor
Dec. 1992 - April 1995

Testa Communications
Assistant Editor/Contributing Editor (Music & Sound Retailer, Post, Producer, Sound & Communications and DJ Times magazines)
Jan. 1991 - Dec. 1992 

American Banker/Bond Buyer
Copy Editor
Oct. 1990 - Jan. 1991 

This Week newspaper - Chanry Communications
Reporter/Editor
May 1989 - July 1990

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