Marketing Essentials: Comparing Marketing Mix Strategies of Aldi and Tesco

MARKETING ESSENTIALS

Table of Contents
LO2: (P3, M3, D2).....................................................................................................................3
Part A.........................................................................................................................................3
P3: Compare the ways in which different organizations apply the marketing mix to the
marketing planning process to achieve business objectives (M3).............................................3
LO3: (P4, M4, D2).....................................................................................................................8
Executive....................................................................................................................................8
Company Overview...................................................................................................................8
Current Marketing Situation Analysis.......................................................................................9
Internal analysis.....................................................................................................................9
External analysis..................................................................................................................10
SWOT analysis.....................................................................................................................11
Objectives.................................................................................................................................13
Strategy....................................................................................................................................13
Segmentation, targeting and positioning (STP).......................................................................14
Tactics & Action......................................................................................................................14
Budget......................................................................................................................................14
Control......................................................................................................................................14
Conclusion................................................................................................................................15
References................................................................................................................................16

LO2: (P3, M3, D2)
Part A
P3: Compare the ways in which different organizations apply the marketing mix to
the marketing planning process to achieve business objectives (M3)
The framework of marketing for any company is its marketing mix. These marketing mixes
has previously been defined for being a list of marketing tools, which the company uses for
reaching the aim and goal set by the organization. Previously there have been four marketing
mix, namely, product, price, promotion and place. Later, they have been extended to seven
from four. They are product, place, price, promotion, people, process and physical
environment (Kotler, 2015).
7ps MARKETING MIX ALDI TESCO
Product ALDI has a large variety of
grocery and home products
of healthy living, ALDI
products under the same
brand name, products for
infants and babies and home
goods. In addition to that,
they have various recipes and
tips. They include main
course, side dishes,
appetizers and snacks,
desserts, beverages,
breakfast, kids’ craving
products, recipes for holiday
and other such aspects.
There is a large variety of
products in Tesco. They include
clothing, food, financial
services, electronics and other
products and services. The
service and product services
expand substantially and so the
company has ventured into the
sector of online marketing as
well. The company offers
delivery services for grocery
and people are able to download
free music too. Apart from these
services, the company has over
forty thousand other lines of
product that are exhibited in
their retail stores. Within each
of these categories, the
company provides a large
variety of choices ranging from
regional produce, type, brand,
overseas food cuisines and

every other service that a
customer may look for in a
retail company.
Place ALDI is a German base
brand, operating since 1913.
It has its headquarters in
Essen and Mulheim, both of
which are in Germany, Aldi
Nord and Aldi Sud to be
specific. Its operations in
Germany have thirty-five
regional companies
individually for ALDO Nord
and have over two thousand
stores in Northern, Eastern
and Western Germany. On
the other hand, ALDI Sud
has thirty-two regional
companies with over a
thousand stores in the
southern and western
Germany. In the overseas
basis, it operates in quite a
number of companies,
France, China, Australia and
Denmark, to name a few.
TESCO has its headquarters in
England, Hertfordshire and
Chestnut. The company has its
stores spread in the rest of the
world. Two primary distribution
channels are employed by their
services and products, offline,
as well as online. There are six
different kinds of stores in their
online forum forums. There are
Tesco Extra, Tesco Express,
Tesco Compact, Tesco Metro,
Tesco Superstore and Tesco
Homeplus. The survey done by
the company shows that all the
customers and consumers are
not comfortable and habituated
with big stores like the ones
that Tesco has and it is also not
possible for setting up so many
stores for them. So the company
uses small stores so that the
people have ease of
accessibility.
Price One of the key strategies that
Aldo has is offering good
quality product at low and
affordable prices, especially
if it is bought in large
quantities. Aldi too buys
large quantities of products
that allows great influence
for negotiating the prices
The company tries to maintain
low and affordable prices
without compromising on the
quality of the company’s
quality’s products and services
that would take them to the path
of losses eventually. Keeping in
mind the price affordability for
its customers and trying to
make them happy and satisfied,