Group 1 - Aldi's first store in Kunshan opened on May 10, attracting over 100,000 visitors and achieving sales of 1.1 million yuan in a single day, setting a new record for the company [1] - Kunshan, a county-level city with a GDP of 538 billion yuan and a per capita disposable income exceeding 70,000 yuan, demonstrates significant consumer potential comparable to some provincial capitals [1] - The rise of Aldi in Kunshan reflects a broader trend of retail revolution in county markets, with various supermarket brands increasing their presence in these areas [1] Group 2 - Aldi's transformation in China involved shifting from a high-end boutique supermarket to a budget community supermarket, with a key turning point in 2023 when it reduced its SKU count to 1,600 and increased its private label share to 90% [2] - Aldi has developed 13 private label series in China, including a value series priced at 9.9 yuan, with over 500 low-priced items making up about 25% of its total SKU [2] - Unlike Sam's Club and Costco, Aldi employs a community store strategy with smaller store sizes (500-1,000 square meters) and no membership fees, catering to daily shopping needs within a 3-kilometer radius [2] Group 3 - Aldi's competitive advantage lies in its global supply chain and localization efforts, exemplified by its direct sourcing and cold chain logistics, which significantly reduce costs and enhance efficiency [4] - Over 80% of Aldi's suppliers are local, with major supply bases in the Yangtze River Delta and Shandong, allowing for cost advantages through scale procurement and local sourcing [4] - Aldi's partnerships with local farms and cooperatives in Jiangsu help maintain low fresh product costs, supporting its reputation for "low price without low quality" [4] Group 4 - The rise of Aldi signifies a trend where the perception of "low price does not equal low quality" is becoming possible in a rational consumption era, with vertical supply chain integration and regional closures forming core barriers to entry [6] - The community supermarket sector is experiencing intense competition, with major players like Hema NB rapidly expanding their footprint in the Yangtze River Delta [7] - Hema NB's smaller, more flexible stores have become a key format for penetrating lower-tier markets, with over 200 stores planned by March 2025 [9] Group 5 - The competition in community retail has entered a phase driven by efficiency, with Aldi and Hema NB leveraging their strengths to build competitive moats [10] - The awakening of consumer power in county markets is evident, with retail sales in these areas projected to exceed 22 trillion yuan in 2024, growing at a rate of 8.7% [11] - Aldi's strategies include upgrading fresh supply chains, multi-channel layouts, and differentiated product offerings to enhance customer experience and reduce fulfillment costs [13][14]