Discount retailer Aldi has remained coy over reports it is preparing to enter the highly-competitive Californian retail market.

Reports have suggested that Aldi is preparing to enter California and has secured a site for a distribution centre in the state.

A spokesperson for the German discounter confirmed the grocer is bent on geographical expansion in the US but would not be drawn on which markets are currently being considered.

“Aldi currently is exploring opportunities in a variety of geographies,” the spokesperson told just-food.

Speculation has focused on the impact a move from Aldi would have on retailers already present in the market – particularly Tesco-owned Fresh & Easy, which is still struggling to turn a profit.

The Aldi spokesperson was confident on the company’s ability to appeal to consumers with its unique hard discount offering.

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“Smart shoppers know they can save time and money at Aldi without sacrificing quality. More than 20m customers each month benefit from our simple and streamlined approach to grocery retailing, and more people are walking through our doors every day. In fact, over the last several years, we’ve added approximately 80 new stores annually [in the US], expanding our ability to bring grocery savings to more people every day.”