Founded in 1972 by Aldo Bensadoun as a footwear concession within Le Chateau, a Canadian chain store, ALDO today has over 2500 stores globally and is available in 100 countries. The company is headquartered in Montreal, Quebec, Canada, and its current CEO is David Bensadoun. It is a division of ALDO Group, along with Call It Spring & GLOBO.
Since its inception, ALDO has been part of its parent company that aims to “be stylish and still stay real.” And this profound vision for the company and the brand is reflected in its products. It particularly sells shoes, but there are also other products sold by the brand such as bags, jewelry, watches, and accessories.
ALDO shoes debuted on six feet of department store shelf space in 1972 before its first store opened in Montreal in 1978. It was originally a domestic brand but as of today, the brand has a wide reach and has gained a large fan following. The company’s philosophy is to design products that reflect current trends while staying true to its brand identity.
However, some argue whether or not ALDO is a luxury brand because it does not have the same high-end materials and construction as other brands on the luxury level. That said, is ALDO considered a luxury brand?
Is ALDO A Luxury Brand?
Despite its marketing strategy as a luxury brand, ALDO is not a luxe. Instead, it is a brand that offers affordable and quality products. It is a good brand for those who are looking for trendy pieces without breaking the bank. And although its products are good, they’re not made from the finest ones we see on luxury items.
Here are the reasons why ALDO is not a luxury brand:
1. The Price Tag
ALDO’s pricing is on the lower end when compared to other luxury brands. While you can find some high-end pieces that cost a bit more, the average price point for an ALDO product is significantly on the entry-level.
For instance, women’s footwear costs from $30 to $220, while men’s footwear starts from $20 to $220. These prices are very affordable compared to many luxury brands of the same items where prices would start at approximately $1,000 above. This only shows that the company’s focus is not on luxury but rather on affordability and accessibility.
2. The Quality And Materials Used
While the quality of ALDO products is good, it does not match up to that of luxury brands. Luxury brands use high-quality materials that are made to last a long. On the other hand, ALDO uses cheaper materials that the company guarantee as sustainable and durable.
According to its website, some of the materials it uses are plant-based corn, ethylene-vinly-acetate (eva) with algae, recycled polyester (pet), recycled polyestern yarn (pet), recycled thermoplastic rubber, waterborne polyurethane, and recycled polyurethane.
While these materials are good and help the environment, they are also cheaper. Nevertheless, ALDO is using these materials with good intentions for the environment.
3. The Target Market
ALDO’s target market is the mass market while luxury brands focus on a more niche audience. Luxury brands typically have higher price points that only a small portion of the population can afford. ALDO, on the other hand, wants to make its products accessible to as many people as possible.
This difference in target market is reflected in the company’s an advertising and marketing strategy. While luxury brands use high-end models to market their products, ALDO casts a wider net by social media influencers that have a large following.
But, at the same time, while the brand reaches a wider audience, it’s lacking exclusivity which is one of the key characteristics of luxury brands.
4. The Brand Image
ALDO’s brand image is not as polished as that of luxury brands. While it has a strong identity, it does not have the same level of sophistication and refinement. Luxury brands typically have more prestige and sophisticated look while ALDO has more fun and casual image.
This is reflected in the company’s stores which are typically brightly lit with music playing. The store design is also more geared towards a youthful audience. All of these factors make ALDO seem like a more fun and affordable brand rather than a luxury one.
5. The Production Process
ALDO’s production process is not as rigorous as that of luxury brands. Luxury brands have a long and complicated production process that often takes months or even years to complete. ALDO, on the other hand, has a shorter and simpler production process.
Although the brand always ensures the quality of its products before it gets released in the market, it’s just that the process is not as detailed and intricate as that of luxury brands.
Thus, ALDO is sourcing its products overseas, particularly in countries where production costs are cheaper to make its products also affordable. According to its website, ” in 2020, 80% of our handbag and footwear production takes place in 55 factories owned by 30 strategic suppliers based mainly in China, Cambodia, Vietnam, and Portugal.”
Does ALDO hold value?
ALDO’s value may vary depending on the people’s perception. For instance, for a brand new ALDO handbag, yes, it has definitely held value. However, its value depreciates from the moment the product is bought and used.
Also, the majority of its products are already considered affordable compared to a luxury brand’s products. So, the resale value of ALDO’s products is not that high. Secondhand or pre-loved ALDO products won’t appreciate their price over time. But overall, ALDO products are good for personal use where their value may hold up for as long as it is useable.
Frequently Asked Questions
Is ALDO a good brand?
Yes, ALDO is definitely a good brand, particularly its shoes that are made of good quality and sold at a reasonable price.
Is Aldo made in China?
Yes, there are ALDO products that are made in China. And these are the handbags and footwear, according to its website. The company also sources in other countries like Vietnam, Cambodia, and Portugal.
Who owns ALDO?
ALDO is a division brand by ALDO Group that is owned by its founder, Aldo Bensadoun. It is safe to say that ALDO is a private retail company that is still majority owned and run by the family.