German discount retailer Lidl is set to significantly lower its prices, with individual items expected to be up to 35 percent cheaper in the region, according to a report in the Bild-Zeitung newspaper.
The company’s Germany chief executive, Friedrich Fuchs, described the move as the “biggest price cut in history”, aiming to “spare our customers significantly and send a clear signal to the industry”. He emphasized that it is not a promotional campaign, but rather a long-term commitment to offering the best price-performance ratio.
Lidl will primarily invest in price reductions, with the goal of permanently relieving customers and increasing the purchasing power of the general population.
The move is likely to be seen as a challenge to its main competitor, Aldi, which is often perceived as even more affordable by some consumers. However, price comparisons consistently show that the differences between the two retailers are relatively small.