Morrisons is introducing its own version of “middle aisle” bargains to compete with discount rivals Aldi and Lidl.
The supermarket chain aims to challenge its German competitors in the midst of a fierce price war in the wake of rising living costs. Many households have turned to discount retailers for cheaper groceries, household items, and weekly special deals. Aldi and Lidl have gained popularity for offering affordable products, often being ranked as the cheapest supermarkets by consumer experts.
Morrisons executives have unveiled this new approach following a decline in sales during the Christmas period, with the supermarket reporting losses of £381 million for the year 2025 while maintaining steady core earnings.
Recent data shows Morrisons’ market share dropped to 8.5% in the 12 weeks leading up to December 28, with Aldi surpassing the supermarket in 2022, and Lidl poised to follow suit.
As supermarkets nationwide slash prices and close underperforming outlets, they are reassessing their strategies to keep up with Aldi and Lidl’s influence on consumer shopping habits.
Amid challenges like higher wages, transportation costs, and energy expenses, traditional British supermarkets are feeling the pressure to match the discounters’ cost-efficient business model.
To counter this trend, Morrisons is expanding its discount range called “When It’s Gone, It’s Gone” and aims to replicate Aldi and Lidl’s successful middle aisle concept, offering exclusive deals on non-food items like toys, appliances, gardening tools, and cleaning supplies.
The “When It’s Gone, It’s Gone” range was initially launched in the summer of 2024 in 450 stores but faced setbacks due to bulk buying and supplier issues. The range was reintroduced in November, resulting in a 10% increase in merchandise sales, according to reports.
Morrisons anticipates that this strategy will not only drive sales but also attract more customers to its stores, leading to increased grocery spending alongside discounted purchases.
Chief Executive Rami Baitiéh expressed optimism about this development, emphasizing the positive impact of the bargain range on Morrisons’ performance and stressing the company’s commitment to continuous improvement.