Analysis of Target Markets and Points of Parity and Difference of Coles, Woolworths and Aldi

The report analyzes the target markets of Coles, Woolworths and Aldi and identifies the points of parity and difference between them. Recommendations are provided to improve the points of difference. The report concludes that Ansoff’s matrix will help in managing the differences and make the company help to sell products more effectively.

Running head: MARKETING MANAGEMENT
Marketing Management
Name of the Student
Name of the University
Author note

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Table of Contents
Introduction......................................................................................................................................2
Target Market of Aldi......................................................................................................................2
Target Market of Woolworths.........................................................................................................2
Target Market of Coles....................................................................................................................2
Points of Parity and Points of Difference........................................................................................3
Recommendations to Improve Points of Difference.......................................................................3
Conclusion.......................................................................................................................................4
References........................................................................................................................................5

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Introduction
The report helps in the analysis of the different target markets of the three brands which
have been analyzed in the report. Furthermore, the points of parity and points of differences is
required to be identified for the same which will help in managing the different kinds of issues
and help in improving the points of differences effectively. The three brands which have been
taken in analysis of the report are Coles, Woolworths and Aldi which falls under the retail sector.
Target Market of Aldi
The current target market of Aldi is as follows:
Demographic – Lower income individuals who have limited income as to spend for the
daily groceries ("ALDI Supermarkets - Good Different - ALDI Australia", 2018)
Geographic- Both suburban and rural populations
Psychographic- Environmentally friendly packaging and locally produced vegetables
and fruits provided to the people at low prices (Goworek, McGoldrick & McGoldrick, 2015)
Behavioral- The cheap prices quality products are being sold to the customers in the
market who are price sensitive in nature
Target Market of Woolworths
The target market of Woolworths is the ones who are high income earners in the
economy. Furthermore, the company has introduced different kinds of women wear along with
the fashion accessories towards targeting the female customers in the market as well
(Woolworths.com., 2018).
Target Market of Coles
The target market of Coles includes the individuals or the customers who prefer quality
food and products however at a low price. However, the main target groups of Coles are the
premium and middle class Australian households and this helps in improving the sales of the
company as well ("Coles Supermarkets", 2018).

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Points of Parity and Points of Difference
Particulars Points of Parity Points of Difference
Woolworths Situated in Australia
Sells grocery items along with
different other clothes and other
baby products
The process is extremely
customer friendly (Lovelock &
Patterson, 2015)
Offers branded products which
are premium in nature
Prices are being competitive in
nature
Coles Situated in Australia
There is liquor along with baby
food products which are being
sold at Coles (Gürhan-Canli,
Hayran & Sarial-Abi, 2016)
The customer service is excellent
and they provide different other
benefits such as various offers
Offers the same branded products
to customers at affordable prices
(Shi et al., 2016)
Aldi Situated in Australia
It sells different food and non
food items
Uses unit pricing strategy which
helps the customers in comparing
with other stores in the market
The promotional activities is
comprehensive in nature
(Chernev, 2018)
The customer selection is not up
to the standard and the customers
selection process is not taken
care
Recommendations to Improve Points of Difference
Therefore, this can be recommended that the different points of difference can be
improved in analyzing the weaknesses and comparing the same with the other competitors in the
market. This has been seen and analyzed that in Aldi, the customer choices and preferences are

4MARKETING MANAGEMENT
not being taken care in an effective manner. This is the duty of the store to analyze the demands
of the customers which will help the customers in being and feeling confident about the
purchases which are being done by them. With implementation of the Ansoff’s matrix, this will
be suitable for the company to be diversifying their offerings for the customers.
Furthermore, Woolworths provide and prepare the different products which are suitable
for the different premium customers in the market. This is one of the huge weaknesses of the
company and this can be solved by them with usage of the market penetration approach along
with product development approach which can help in suiting the different demands of the
medium income group customers in the entire Australian market. Woolworths needs to target the
male and female customers both in their market as this will help them in increasing their overall
sales and gain huge productivity in the entire market as well.
Finally, the Coles need to improve their promotional strategies in order to attract more
customers with their everyday low pricing strategy and technique. With implementation of the
EDLP, this will help Coles in analyzing the demands of the customers and solve their grievances
in an effective manner as well. The product development strategy of Ansoff’s matrix can be used
which helps the company in diversifying their offerings for the customers and gain more
competitive advantage in the market effectively.
Conclusion
Therefore, this can be concluded that the target market of three brands are different from
one another, however there are different points of parity and differences in them. Furthermore,
the recommendation has been provided in which this has been seen that Ansoff’s matrix will
help in managing the differences and make the company help to sell products more effectively.

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References
ALDI Supermarkets - Good Different - ALDI Australia. (2018). Retrieved from
https://www.aldi.com.au/
Chernev, A. (2018). Strategic marketing management. Cerebellum Press.
Coles Supermarkets. (2018). Retrieved from https://www.coles.com.au/
Goworek, H., McGoldrick, P. J., & McGoldrick, P. J. (2015). Retail marketing management:
Principles and practice. Harlow, UK: Pearson.
Gürhan-Canli, Z., Hayran, C., & Sarial-Abi, G. (2016). Customer-based brand equity in a
technologically fast-paced, connected, and constrained environment. AMS review, 6(1-2),
23-32.
Lovelock, C., & Patterson, P. (2015). Services marketing. Pearson Australia.
Shi, C., Dubois, M., Chen, Y., Cheng, L., Ramezani, H., Wang, Y., & Zhang, X. (2016).
Accessing the exceptional points of parity-time symmetric acoustics. Nature
communications, 7, 11110.
Woolworths.com., (2018). Retrieved from https://www.woolworths.com.au/