Lidl Withdraws from French TV Advertising Amid Regulatory Challenge

Lidl, the second-largest advertiser in France, has announced it will cease its traditional television advertising following a Paris court ruling condemning the company for deceptive commercial practices. The Paris Court of Appeal ordered Lidl to pay €43 million in damages to Intermarché after finding that 374 of Lidl's ads, aired between 2017 and 2023, falsely claimed product availability. These products were not available in Lidl stores for the legally required minimum 15 weeks, breaching French advertising laws.

Jassine Ouali, Lidl France's executive director for customer relations, explained that due to regulatory risks and what he perceives as an outdated framework hampering fair competition, Lidl will halt investments in linear TV advertising until the situation improves. Instead, the company plans to shift its focus toward online video advertising, which it considers a key growth area. Despite the exit from TV advertising—previously accounting for 22% of its media investments and expected to drop to zero by 2026—Lidl intends to maintain its commitment to print media and continue expanding its presence with plans to open 2,000 new stores.

Ouali also highlighted concerns about the impact on French media financing if large advertisers like Lidl reduce TV ad spend in favor of international digital platforms such as Google and Netflix. Lidl is actively contesting the court's decision but remains cautious given the regulatory environment leading to this strategic shift.