Brand Map Australia: Aldi takes podium spot in supermarket preferences

Price wars and limited competition in Australia’s supermarket duopoly have long shaped Australian’s shopping choices and the battle for top spot. But as the debate surrounding Australia’s top supermarket continues, we put Aussie’s supermarket preferences to the test.

Surveying over 4,200 Australians in our inaugural ‘Brand Map of Australia’, we've revealed Woolworths as the preferred supermarket in Australia, ranking in top position for 34% of the nation’s shoppers. Following closely is red rival, Coles (31%), reinforcing the stiff competition between the two brands locally.

However, the dominance of Australia’s two leading supermarket chains is challenged by third place winner, Aldi, who despite a significantly smaller footprint, ranked as the preferred brand for 19% of the nation.

Diving into shopping choices on a state-by-state level, the top three supermarket preferences across NSW and ACT, Queensland, South Australia and Western Australia remain the same as the national order. The most notable difference is seen within Victoria, where Coles beats the competition (35%), with Woolworths (28%) and Aldi (20%) following behind.

When it comes to generational decisions at a national level, Woolworths leads as the preferred supermarket for younger Australians (33% of those aged 18-34) and those over 55 years of age (36%). Coles, takes top place for those aged between 35-54 (34%).

Overall national preference for brands like Harris Farm Markets, Friendly Grocer, Food Works and Costco is low. However, younger consumers (18-34) are significantly more likely to prefer these brands compared to the national average. This suggests these brands are resonating more strongly with younger consumers in the category.

Commenting on the data, Tracksuit’s Co-Founder and Co-CEO Connor Archbold, said: “While Woolworths’ and Coles’ positions as Australia’s top two supermarkets may not come as a surprise to many, the fact that Aldi is closing the gap in third place is pretty significant - especially when we compare its footprint in Australia.

“This definitely suggests things are shifting a bit for those top supermarkets. With everyone feeling the pinch of higher food prices, Woolies and Coles will need to make sure their brands are really hitting the mark for what people need. Building that trust and keeping customers loyal is going to be key for them to stay as the go-to supermarkets down the track.

“To really get a handle on this and make the most of it, digging into regional data could be a game-changer for any of these brands. That way, they can get a much clearer picture of exactly what's influencing shopping choices in different areas, see where they've already got strong local support, and even spot some opportunities they might be missing.”