Marketing Management: ALDI Marketing TOWS, Objectives, and Marketing Mix Plan

This report discusses the marketing management of ALDI, including TOWS analysis, marketing objectives, and marketing mix plan. It explores the strengths, weaknesses, opportunities, and threats of ALDI, as well as the objectives for the 'Express ourselves' marketing campaign. The marketing mix plan covers the strategies for place, people, promotion, price, physical evidence, and process.

Marketing Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Marketing TOWS.........................................................................................................................1
Marketing objectives for 'Express ourselves' marketing campaign.............................................4
Marketing Mix Plan of ALDI......................................................................................................5
Customer Service Engagement of ALDI.....................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Marketing management is one of the major function of an organization. The marketing
management gives opportunity to a business or company to promote own products and services
in the market. Without effective marketing management a company can't achieve its decided
goals on time. Currently many businesses are investing huge fund in their marketing campaigns
to build large customer base in respective markets segments. This type of managements is
completely managed by the marketing manager of a company, in which that manager prepares
specific marketing plans for boost their brand in different markets (Bhasin, 2018). This report
discusses marketing management of ALDI. It is one of the popular retail companies which
currently has large market share in European retail industry. There are TOWS analysis, different
marketing objectives, a productive marketing mix plan and different suggestions of improving
levels of customer service has been included in this report.
Marketing TOWS
TOWS analysis is a very productive strategical tool for businesses which shows major
internal factors of a business. Basically, TOWS shows four factors of ALDI here called threats,
opportunities, weaknesses and strengths. Marketing team of this company is capable to develop
some innovative marketing techniques through this analytical tool. These four major factors of
this analytical tool has been discussed below;
ALDI Strengths (S): Currently
company has very huge market
share in retail industry. Top-
level management of company
mainly focuses on expand their
business operations in new
market segments. Its current
expansion process is also very
effective, because it has
succeeded in expanding its
operations many European
countries. This company uses
competitive pricing strategy to
Weaknesses (W): The
company gain very low margin
on its products and services,
because it has offered vary low
prices to customers. This
company still using traditional
business strategies in their
daily operations. In this case,
these traditional strategies are
giving much effective return to
the company. Its research and
development team is also not
effective on their job role,
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set prices of their products and
services, in which this pricing
strategy is too good to the
company for taking huge
competitive advantages in the
market (Williamson, 2018).
Company has skilled and
talented workforce too in its
business environment which is
effectively covering all
activities of the ALDI.
because this team takes too
much time to innovate or
produce new range of products
and services in retail industry.
There is decision-making
ability of top-level
management is not excellent,
because many times its
management takes very poor
and unproductive decisions in
the business environment.
Opportunities (O): The
company has great opportunity
to expand its business
operations in new countries.
Marketing team of company is
able to take huge advantages
from digital marketing tool, so
it is another great opportunity
to this company. Literally,
company will gain large
market share in retail industry,
if its marketing team
implement digital marketing
tool in their operations.
Currently ADLI has
opportunity to sell its products
and services on e-commerce
sites as well. It can increase its
revenue through selling
products on own e-commerce
SO Strategies: The top-level
management of company is
able to develop great growth
opportunities by using its
strengths. For example;
currently company has great
reputation or brand image in
retail industry. In this case, this
effective reputation is a
strength of company, its
management is capable to
develop business expansion
opportunity by using its
current market reputation.
According to company's
strengths and opportunities,
management has opportunity
to use “business expansion
strategy”. This strategy will
really help to this company,
WO Strategies: According to
company's weaknesses, it is
still using traditional business
strategies in their daily
operations. Basically these
strategies are not giving
effective results to company.
In this case, ALDI has
opportunity to use “digital
marketing strategy”, because it
is a type of modern business
strategies. This digital
marketing strategy will help to
company for gaining effective
results in retail industry.
Nowadays, it is the finest
strategy to all businesses for
positively influencing
customers in the market, so
this company is also able to
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site. It has opportunity to
increase its performance level
in retail industry by
implementing various new
technological tools and
gadgets in its daily operations
(Omar, 2017). These
technological gadgets will help
to the company for completing
their all activities in the fast
manner.
because those companies are
able to attract large customers
towards brand, which has great
market reputation.
take huge advantages from this
business strategy.
Threats (T): Day by day
increasing market competition
in retail industry is main threat
for this company. On the other
side political uncertainty is
also another threat to
company, because many times
local government has imposed
different legal formalities on
the businesses which can
negatively impact this
company. Currently Walmart
and Tesco are main
competitors of ALDI which
has given great competition to
this company.
ST Strategies: ALDI currently
has very effective workforce,
in which it will capable to
increase its current
performance in the market.
This workforce is very helpful
for this company to innovate
new products and services. On
the other side, currently
company is facing threat of
high market competition. In
this situation top-level
management of company need
to implement “product
differentiation” strategy with
support of its effective or
innovative workforce. This
workforce will help company
to produce different exclusive
products and services to deal
WT Strategies: Top-level
management of this company
is not able to take effective
decisions within their daily
operations. It is mainly
weakness of ALDI. On the
other side, high market
competition and political
uncertainty are major threats to
the company. In this situation,
management need to use
“development strategy” to
improve their existing
decision-making skills
(Vlados, 2019). On the other
side, company can easily
develop or innovate new
product range within retail
industry with the support of
this strategy. The company
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with threat of market
competition.
need to develop its current
business strategies as well,
because it is necessary to deal
with weaknesses and threats.
Marketing objectives for 'Express ourselves' marketing campaign
The prime objective of the marketing campaign is to increase the customer base by
40% within a time span of one year through improving the quality of services and using
pricing strategy. To increase the customer satisfaction level ALDI has gotten online which is a
great advantage for the company (Hendriyani and Auliana, 2018). This will get a sense of
comfort in the customers which can be good for a longer retention in customers for the company.
There is a requirement in the company to improve the quality of the products which the company
is dealing with so that they can have a better and loyal customer base for themselves. There will
have to be analyses of the factors which are creating an issue and right strategies have to be taken
so that they can have an effective functioning and the customers can get a better experience.
There are a lot of strategies which ALDI will have to use with the new products which the
company is coming up with so that they can have a strong customer base for themselves which is
going to be very helpful.
Second objective for marketing campaign is to increase market share by 30% within
a time span of one year. From the TOWS analysis it can be concluded that the pricing strategy
of ALDI will have to be low therefore it is very important for the company to make the low price
products with the best of raw materials so that the customers are satisfied which is a very
important factor for the company (Abratt and Bendixen, 2018). There has to be detail
information about the products which the company is dealing with so that the customers are
aware of the products they are purchasing and if they like it then they can be loyal to the
company.
Third objective for marketing campaign is to increase the sales by 25% within a
time span of one year through product differentiation by eco-friendly products.
Environment is being a big concern for the world which is why the company will have to take
measures so that they can have an effective functioning for themselves. Customers want to shift
to purchasing products which are eco-friendly and that can be a great advantage for ALDI to get
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a larger customer base for themselves. The government of the countries is also supporting
companies so that they can shift to products which are environment friendly and that is going to
be a great advantage for the organization. Social media is a great way through which ALDI will
be able to show to the customers that the company has taken a lot of measures regarding this
safety for the customers and this can attract more customers in the organization. There have to be
organic or recycled products which can be produced for the customers which is very much in
demand so that the organization can make a profit out of that factor which is going to be very
good for the company (Iankova and et.al., 2019). ALDI will have to find ways through which
they can reach out to the customers from time to time which is a great advantage for the
company, and they can attract a lot of customers in the company.
Marketing Mix Plan of ALDI
Marketing mix is to analysis the different strategies which an organization can take so
that they can improve the companies image in market and increase the profitability. There are a
lot of campaigning motivates which ALDI has which have to be fulfilled so that the organization
can have an effective functioning for themselves which is going to be very helpful.
 Place Strategy
There has to be direct sell of the products which the company will come up with so that if
there is any innovation in the product is required then the company will be able to change that so
that they can satisfy the customers (Hurth and Whittlesea, 2017). When there is a third party
which is involved then the company does not have a good customer base because feedbacks do
not reach on time therefore getting online is the best solution which ALDI will have. This is
going to be cost friendly as well because advertisements can be done through this media and
there are large customer bases which can be targetted.
 People Strategy
There will have to be a motivation level higher than usual in ALDI so that the employees
can have a great influence in making the company achieve their objectives and goals from time
to time. The productivity and the quality of the organization can increase which is going to be
very helpful for the company and the organization will be able to have a better brand image for
themselves in the market (Dogu and Albayrak, 2018). Training and development will have to be
provided to the employees so that they can match to the standards of the organization so that the
company can function effectively and make the company have better future in market.
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 Promotion Strategy
The awareness of the product will be more and the organization will be able to get more
revenue for themselves so that they can have a better functioning for themselves. Promotions can
make the company increase their sales by 30% which is a great sign for the company. The
satisfaction level of the customers can only increase when the company improves their quality of
the products and the company will be able to have a better functioning for themselves (Chari and
et.al., 2017). Due to the environmental policies and the changes which ALDI is getting in is
going to make the company have a great advantage for the company and get a competitive
advantage in the organization as well which is going to be very helpful.
 Price Strategy
There have to be discounts which have to be provided to the loyal customers of the
company so that ALDI will have a set of loyal customers. This will help the company to increase
and have a sale of 40% than right now which is going to be a great factor for the company. The
products will have to have the right features and the products will have to be produced for the
premium customers as well so that they can increase the revenue of the company a lot (Tafesse
and Skallerud, 2017). Products will have to be sold before the expiry of products so that the
company does not have a loss and the organization will not have a loss in market.
 Physical Evidence
ALDI will have to increase their presence in the market therefore the tag line of the
company is “Expressing Ourselves”. ALDI will have to focus on the customer satisfaction only
then the company will be able to have a better market for themselves and loyal customers in the
company. Publicity of the products of the company will have to increase so that the company can
have a loyal set of customers and that is only possible when the company have an attractive logo
and packaging for themselves (Guesalaga and et.al., 2018). The services of the organization also
has to be improved so that the company can have a better functioning for themselves.
 Process Strategy
There has to be an update on the systems which are storing the details of the inventory in
the organization so that they can have a better track of factors which can affect the company.
There have to be mails and messages which have to be sent out to the customers so that they are
aware of the changes and the discounts which the company will put for the customers
(Armstrong and et.al., 2018). ALDI will have to get more feedback methods from the customers
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in the organization so that they can update their system accordingly and the changes which the
customers are expecting out of the company can be got in the organization.
 Product Strategy
The products of ALDI will have to be improved so that they can have a better functioning
and the better productivity in the organization so that there is a high revenue. There have to be
better environmental friendly products in the company so that there is a better chances for the
company to have a better functioning and higher profitability. There have to be a lot of
innovations which will have to be done in the company so that they can have a better functioning
for themselves which would be very helpful for the company (Chang, Wang and Arnett, 2018).
The packages will have to be very good so that there is a better functioning and the organization
will have to have a better functioning for themselves so that there is a better image of the
company fir the future.
Customer Service Engagement of ALDI
Customer service engagement is a process which involves the feelings of the customers
towards the brand value of the company so that there is a better understanding and the business
will be able to grow in the market. Strategies like lowering the prices of the products can be
better for the company and that will help the organization to have a better customer base for
themselves which is good for a long run in market. Social media is going to help the company
have a better promotional method so that the company will be able to have a better functioning
and the customer base will increase. There are a lot of changes which are coming up in ALDI
and the customers have to be updated which can be done through social media. There has to be a
transparency between the organization and the customers only then the company will be able to
have a good sell in market (Zhou, Mavondo and Saunders, 2019). There are new technologies
which are being added in the organization which have to be adapted in the company and that is
possible when the leaders and managers motivate the employees. Employees should have a high
level of motivation so that ALDI can have a higher functioning for themselves which is going to
be very effective.
The popularity of the products which ALDI is producing is not good which is why the
company will have to find ways through which they can make the company have better customer
engagement with the products they have. ALDI will have to have a special treatment to the upper
class in society so that they can have a better functioning for themselves which will help the
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company have a better brand image for themselves. The designs of the company needs
improvement as to attract more customers in the company which is going to make the company
have a better functioning for themselves and ALDI will have to get more customer base for
themselves (Illiashenko and Strielkowski, 2016). Campaigning is not going to be cost friendly
but spreading the awareness in the customers is a very important factor for the company so that
they can have a better functioning for themselves which will help the company to have a strong
customer base for themselves. Employees engagement is also required by the company so that
they can increase their productivity and make the company have an effective functioning for
themselves. Brand name and image in market will get improved of the company and the
organization will be able to have a better functioning for themselves.
CONCLUSION
From the above report it can be concluded that there are a lot of strategic and
technological changes which are required in an organization so that they can make the company
have an effective functioning for themselves in the market. There are strengths and weaknesses
in an organization which have to be considered so that the organization can get changes
accordingly for themselves so that they can have better opportunities in market. Report
highlights the proposal which increases customer service level in market so that the company can
have a better growth in market and gain a lot of profit from the market. Customer engagement is
a very essential factor for the company so that the company can have an effective functioning for
themselves and the organization can benefit from it.
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REFERENCES
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Online
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<https://www.marketing91.com/swot-analysis-of-aldi/>.
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