As a basic supplier, the ALDI Nord Group aims to be wherever we are needed. However, the search for the perfect location for new ALDI stores is becoming increasingly complex. To simplify the decision-making process, Data Analysts and business experts have worked together to develop a location model. This allows to check how changes in the store network would impact certain key performance indicators. Taking into account the distance, socio-demographic data and competitors locations, the model uses an advanced gravitation approach to estimate market shares at store level from the customer perspective. This can be used to estimate sales figures and the catchment area, not only of our own stores, but competitors’ as well – an important building block in finding the perfect location for future stores. Through this approach, our Data Scientists help our business to make the right, data-based decisions.
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