Marketing Strategies of Aldi Australia

Running Head: Aldi Australia
Aldi Australia
Report
System04104
9/13/2019

Aldi Australia
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Executive Summary
Aldi Inc. is German company that operates its business in retail sector in more than 20
countries. The company is known for its aggressive marketing strategies and penetration
pricing strategy. The objective focuses on providing superior quality products on possible
low prices to every people in Australia. However, the company has still 11.4% market share
of total Australian retail market in grocery and fresh food products (Aldi, 2019). Although,
Aldi is giving strong competition to the other two giants of the Australian retail market
Woolworths and Coles. They are facing extreme pressure of tough competition because of
aggressive marketing and pricing strategies of Aldi. This report analyses the current
marketing strategies of Aldi and its impact on the performance of the company. The report
also includes that company should adopt several marketing strategies for future growth and
development in the Australian market such as focusing on fresh food products, providing
more benefits and offers to customers, and focuses on establishing a good relationship with
farmers for receiving fresh food products.

Aldi Australia
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Table of Contents
Executive Summary...................................................................................................................1
Introduction................................................................................................................................3
Company’s Background.............................................................................................................3
Marketing Analysis of Aldi Australia........................................................................................3
Marketing Strategies of Aldi in Australia..............................................................................3
Changing Strategies of Aldi since it launched....................................................................4
Competitors of Aldi in Australia........................................................................................4
Strategic Marketing Options for Aldi for Moving Forward in Australian Retail Market......5
Future Marketing Strategies in Australia............................................................................5
Conclusion..................................................................................................................................6
References..................................................................................................................................7
Appendix....................................................................................................................................9

Aldi Australia
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Introduction
Aldi Inc. is a German retail company and it is the third largest retail organisation in
Australia retail market after Woolworth and Coles. The organisation is famous for its unique
and innovative marketing strategies that help it to establish as a market third largest retail
company in Australian grocery and fresh food industry. The purpose of this report is to
analyse the current marketing strategies of Aldi and its situation in the Australian retail
market among its competitors. The report helps to study why Aldi required new strategies for
future growth and development in the Australian retail market. The report also analyses the
marketing strategies of Aldi that helps the company to avoid the oligopoly situation between
the Woolworths’s and Coles in the Australian market. The report also encompasses various
theories, models, and statistical information in relevant to the Aldi’s ability to continuous
growth and profitability in Australian sector.
Company’s Background
Aldi Inc. is a popular name in the German retail sector but it operates its business
internationally. The company offers 1390 to 1800 core range products and other grocery and
household products (Aldi, 2019). The company was founded in 1946 in Germany by two
German families. The company has more than 10000 stores in 20 countries including China,
Australia, Austria, New Zealand, and UK etc. (Aldi, 2019). The company is known for its
cheap and best products and it also sells the products under the private level brands. The
private label brands of the company are the heart of core product range of the company. The
private labelling strategy of Aldi allows it to offer quality products at the low cost. This
strategy of Aldi also it to dominate in the international market over its competitors including
Australian retail market (Aldi, 2019). The mission of the company is to “provide high quality
products at very low prices.” The vision of the company is “All people, wherever they live
have opportunities to buy great quality grocery and household products at lowest possible
price” (Aldi, 2019).
Marketing Analysis of Aldi Australia
Aldi entered in Australia in 2001 with the strategy with the strategy of charging low prices
for its fresh grocery and household products. After this, the company now focuses on