Aldi is the German discount retailer founded by brothers Karl and Theo Albrecht in 1946.
The brothers expanded their mother's grocery business, which had begun in Essen in 1913. Their business model focused on low prices, limited product ranges, efficient stores, and low operating costs. The name Aldi combines “Albrecht” and “Diskont,” the German word for discount.
In 1960, the brothers divided the business into Aldi Nord and Aldi Süd after disagreeing about whether to sell cigarettes. The two groups operate separately, although both retain the Aldi name and discount-focused approach. Aldi Süd later expanded into countries including the United States, where its stores use the Aldi name.
Aldi is sometimes confused with Lidl because both are German discount supermarket chains. Lidl was founded separately and is part of the Schwarz Group, while Aldi remains divided between the Albrecht family’s two independently operated companies.