So I think, it's going to be pretty huge, maybe not in the first year, but TGT and WMT should definitely be aware of Lidl, because it's a very serious competitor. What do you think about it? Lidl: First 20 U.S. stores to open this summer http://www.supermarketnews.com/store-design-construction/lidl-first-20-us-stores-open-summer
First rule: never underestimate your enemy. Lidl has invested 5 billion euro last year in opening new stores. They have over 10,000 stores and turnover was 100 billion euro. They are now the biggest retailer in Europe. It will not take years to achieve something big in the US. They are more agressive then Aldi. And the Schwarz group has a lot of money.
Indeed ... speaking from Europe, here, my expectation of Lidl would be that they'll achieve something big in the US, and much more quickly than many people will expect.
In 2016 they were number 6, in 2017 they were already number 4. They grow very aggressively. In 2012 sales were at 38 billion; in 2017 sales will be over 100 billion, so tripling sales in 5 years time.
Walmart came to Europe and left too. I think the Tesco model is different from the Lidl model. So result might be different too. One loser does not mean that they all will be losers. Aldi did not leave. And management and business model from Lidl is much better. We will see. Future will tell. In the very late 90's consultants told Lidl there were two huge growing markets: the very rich the "poor" Prediction was that the middle class would suffer and shrink. Lidl took the bet and become retailer for the "poor". It was a big hit till now. In the US the middle class has the same problems, so the recipe might work there as well.
Lidl in Europe is not for the poor. (Aldi perhaps, but even they are making an effort to offer more branded goods lately) I just shopped at Lidl yesterday. They have great Irish porterhouse steaks, foie gras, gravd lax, good quality fruit and vegetables. Nice wines (They have Saint Emilion Grand Cru and Italian Barolo on stock at all times in my local shop). So definitely not budget.
With "poor" I mean what was before the middle class, not the real poor. That's why I wrote "poor" and not poor. They are lower priced then Carrefour, Delhiaze, Albert Hein... So their clients are shifting to Lidl. Lidl to me is better than Aldi. Their Irish meat is indeed delicious, not cheap, but cheaper then in other shops for the same quality.