Woolworths, Coles, and Aldi are in fierce competition as Aldi unveils its new online grocery delivery service in collaboration with DoorDash. Beginning with a trial in Canberra, Aldi aims to extend this service nationally in the coming months. This initiative will provide customers access to over 1,800 grocery items, including fresh produce, meat, dairy, and household essentials, directly from their homes.
However, shoppers should note that prices may differ when purchasing through the DoorDash app compared to in-store prices, with additional delivery and service fees applied by DoorDash. Finder’s money expert Angus Kidman indicated that Aldi’s decision to engage with a third-party service like DoorDash aligns with its long-standing policy of not pursuing its own online delivery to maintain its reputation as the lowest-cost supermarket in Australia. He remarked that this partnership allows Aldi to minimise overhead costs associated with delivery logistics while still keeping pace with competitors like Woolworths and Coles for customers who prefer home delivery options. Aldi has also been collaborating with DoorDash in the United States since 2023.
Jordan Lack, Aldi Australia’s Chief Commercial Officer, reaffirmed the supermarket’s commitment to providing high-quality groceries at low prices. Through this partnership with DoorDash, Aldi aims to meet customer demands for delivery services without compromising its pricing strategy. Notably, Aldi has been recognised as the cheapest supermarket in Australia by the CHOICE survey, maintaining this status consistently over the years. According to the latest report, a standard grocery basket at Aldi costs $55.35, compared to $58.92 at Woolworths, $59.22 at Coles, and $69.74 at IGA.
As consumer grocery spending trends shift, with households reportedly spending an average of $233 per week—up 27% from the previous year—Aldi is poised to capture a segment of the growing online market despite price variations. Shoppers should, however, remain cautious; while Aldi aims to keep its pricing competitive, DoorDash’s fees may affect overall costs. Kidman warned that Aldi might not always offer the best value online, highlighting that both Woolworths and Coles typically do not increase their prices for delivered items compared to their in-store rates, albeit with longer delivery times.
The competitive landscape also sees Coles and Woolworths partnering with DoorDash and UberEats for on-demand grocery deliveries. Coles, especially, has adjusted its product prices on these platforms to reflect the added convenience. Currently, online grocery sales account for approximately 11% of the overall market, with Woolworths and Coles noting significant year-on-year increases of 20% and 22.6%, respectively.
As Aldi ramps up its online offerings, the future of grocery shopping in Australia will be shaped by these partnerships and evolving consumer preferences, placing increasing pressure on traditional retailers to innovate and enhance their delivery services.
