Features

Lidl Ireland’s reputation is second to none

12 Dec , 2024  

Lidl Ireland continues to go from strength to strength, having recently been named the Most Reputable Retailer and Second Most Reputable Organisation overall in the Ireland RepTrak 2024 Report of 100 organisations.

This top position is the retailer’s highest since the study began in 2000 and underscores how Lidl’s reputation is continuing to resonate with Irish shoppers. In April, Lidl reached a record-breaking 52-week market share of 13.4%, maintaining its position as the fourth-largest chain in Ireland.

Commenting on the results, outgoing Lidl Ireland and Northern Ireland CEO JP Scally said: “Our reputation as a responsible, sustainable retailer that delivers on our price-and-quality promise is paramount to our performance as a business, and we’re delighted to see that Irish shoppers, suppliers, business partners and future employees are continuing to make Lidl their first choice.

“We have worked hard across all areas of the business to build, maintain and enhance our reputation over the years, taking calculated risks with industry-leading initiatives whilst always remaining true to who we are.

“These results reflect how we’ve crafted a unique position for ourselves, not only in supermarket retail, but as a leading brand in Ireland.”

The first Lidl Ireland stores opened in 2000 and over two decades later, the retail giant has almost 180 stores, three regional distribution centres and employs more than 6,000 people in the Republic of Ireland. Lidl takes great pride in providing its customers with the highest quality products at the lowest prices, and works with a network of more than 260 Irish suppliers from the communities it operates in to keep its shelves stocked with nutritious, fresh produce.

Lidl Ireland’s commitment to Irish jobs and suppliers is without question. It recently announced a further €15 million investment in pay increases for its existing workforce in the Republic of Ireland with a further £3 million being invested in the retailers’ operations in Northern Ireland. Lidl has invested €32 million in pay rises for employees in the Republic of Ireland with employees benefiting from an approximate 13.5% increase since February 2023. This latest investment has resulted in every Lidl employee benefitting from an approximate 6% pay rise, equal to, on average, €2,000 additional for every employee per annum.

Lidl was the first retailer to commit to paying the new Living Wage rate of €14.80 as recommended by the Living Wage Technical Group in October 2023. It was also the first company in Ireland to adopt the Living Wage recommendation in 2015.

Lidl Ireland also procured more than €1.6 billion worth of goods and services from Irish suppliers and business partners in 2023. A total of €1.1 billion worth of goods was procured from the Irish agri-food industry, with an additional €500 million worth of services provided by local Irish businesses to the retailer last year.

Of the €1.1 billion worth of goods procured from local food and drink suppliers, €800 million stayed within Lidl Ireland’s operations to be sold through its local store network and more than €300 million was exported internationally through the retailer’s expansive network of stores, showcasing the best of Irish produce on the global stage. Lidl continues to give Irish producers unrivalled access to local and international markets, supporting the growth and success of Irish produce worldwide.

From a €22 million contract with Longford baker Panelto Foods to a €1.5 million deal secured with Abbey Farm Foods in Laois, suppliers the length and breadth of Ireland have benefitted from Lidl’s support in 2023. Many of these deals included significant exports with Kildare-based cooked meats producer, O’Brien Fine Foods, securing a colossal €60 million contract with the retailer in late 2023 which has facilitated them exporting to Lidl stores across mainland Europe, including Bulgaria, Croatia, Denmark, Finland, Greece, Romania and Slovenia. Meanwhile, Bantry-based Keohane’s fresh and frozen Irish seafood reaches the shores of Great Britain, Germany, Cyprus, Italy and even the USA.

Alongside its established supplier network, Lidl Ireland is committed to supporting small and medium sized home-grown businesses through its industry-leading Kickstart Supplier Development Programme, supported by Bord Bia. The programme is designed to give up-and-coming Irish producers the opportunity to realise their potential by advancing their product, brand and business with dedicated support from Lidl experts. Now in its eighth year, Lidl has invested €8.5 million in growing more than 150 Irish businesses across the island of Ireland with 14 products now part of Lidl’s everyday product range.

“Growing our local supplier network has always been a priority for us and we are proud to have established relationships with almost 1,800 suppliers and business partners from Bantry to Ballyjamesduff, Gorey to Galway,” JP Scally stated.

“This year, we’re pleased to peel back the curtain for the first time and showcase our valued business partners who make our business what it is behind the scenes. Many of our relationships span more than 20 years and we very much see our suppliers and business partners as an extension of ourselves. We’re proud to play a part in helping them grow, succeed and showcase their quality Irish products and services on the global stage by facilitating export deals through our global network of Lidl stores across 31 countries.

“In 2023, Lidl Ireland procured more than €1.6 billion worth of goods and services from local businesses, with more than €300 million worth of goods exported globally through the Lidl network. This record investment is a huge driver of economic growth, and this report demonstrates our commitment in supporting the entire network of local businesses to grow, develop and enjoy success.”

On October 1, Robert Ryan will take over as CEO of Lidl’s Irish business, replacing JP Scally who was recently appointed CEO of Lidl France. Mr Ryan joined the company in 2003 and has worked across a variety of roles, including as sales operation manager and regional managing director. He was appointed to the board of directors in 2018.  

Commenting on his move to France, where he previously held the position of operations director for three years, Mr Scally said he was proud of “more than doubling our market share in both Ireland and Northern Ireland, and bringing our value offering to dozens of new communities”.

Lidl Ireland has committed over €10 million to the development and promotion of Ladies Gaelic Football since 2016 and recently completed its six-year charity partnership with Jigsaw, the national Centre for Youth Mental Health in Ireland, by announcing it has raised €3 million funds for the charity.

Jigsaw provides free confidential, professional support to young people aged 12-25 in 14 centres across Ireland and online. Lidl Ireland has partnered with Jigsaw since 2018 and twice extended its contract with the charity to continue delivering vital mental health initiatives and services to those in need across Ireland, particularly in the wake of the Covid-19 pandemic and its significant impact on youth mental health.

Supported by its team of more than 6,000 employees and two million weekly shoppers across the country, Lidl Ireland has smashed its initial fundraising target to deliver €3 million in support to fund vital charity services and reach thousands of young people across the country struggling with their mental health.

Launched in 2018 and delivering immediate and significant impact, the partnership between Lidl and Jigsaw quickly raised awareness and trust of the charity amongst the Irish public, growing from an awareness baseline of just 24% in 2018 to 61% in 2023. Trust in the Jigsaw baseline also grew from 64% to 72% in the same period.

Throughout the lifetime of the partnership, Jigsaw also saw a significant increase in referrals to its services across the country, rising by 49% between 2018 and 2023, with the number of appointments offered to young people in the same period jumping by over 59%.

The milestone fundraising achievement was marked at a celebratory event at the Radisson Blu, Athlone, and was attended by more than 135 representatives from Lidl and Jigsaw, as well as service users and partners that have benefitted from Jigsaw’s bespoke programmes and initiatives, delivered in partnership with Lidl Ireland.

Lidl (Head Office)

Main Road,

Tallaght,

Dublin,

D24 PW6K

Telephone: 01 421 2000

Web: www.lidl.ie

First published in Grocery & Retail Ireland magazine Vol 3 No 3, Winter 2024