Lidl is attempting to stave off growing competition from rival discounter Aldi with ambitious expansion plans of its own.
In an exclusive interview with The Grocer, regional director Martin Bailie said Lidl would open 40 to 50 stores a year over the next five years. That rate would keep it comfortably ahead of Aldi, which last year pledged to open a new store every week. Lidl current has 520 stores on the British mainland compared with Aldi's 415.
In the week Tesco was rapped by the Advertising Standards Authority for its claim to be 'Britain's biggest discounter', Lidl staked its own claim to the title. "We have opened 40 or 50 stores a year for the last five years and that's the rate at which we will continue," Bailie said. "We have a good pipeline and the openings for the next two or three years are already secured."
Lidl could eventually have 1,400 UK stores, added Bailie. He insisted that Tesco's discounter range, which was launched last year to counter the threat of Aldi and Lidl, had not eaten into its sales.
"Tesco's discounter range has not hurt us it has raised the profile of discounting, which has aided us," he said.
He also claimed the discounter boom was far from over, despite new figures from TNS showing Lidl's sales grew by 6.8% in the 12 weeks to 12 July compared with a rate of 12.3% in April.
"We are minnows compared with Tesco in market share but I believe our growth rate will continue after the recession because of our smaller base," said Bailie. "Our customer numbers are still in double-digit growth."