German retailers Lidl, Tengelmann and Aldi are gearing up for battle in Iberia with ambitious store opening plans for their hard discount formats in the region over the next three to five years.
Aldi's announcement earlier this month of a move into the Spanish market was immediately followed by announcements from domestic rival Tengelmann of plans to increase its store portfolio in Spain and Portugal fivefold over the next five years.
Tengelmann currently operates 190 Plus discount stores in Spain and 18 in Portugal, where it is looking to achieve a critical mass of 500 and 100 stores respectively.
Lidl has also been expanding rapidly in the region.
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