Marketing Strategies of Aldi

Running Head: Marketing Strategies of Aldi
Marketing Strategies of Aldi
Report
System04104
9/17/2019

Marketing Strategies of Aldi
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Executive Summary
This purpose of the report is to analyse the current marketing strategy of Aldi and
analyse what are the future opportunities for the company in Australian retail market. The
report also describes the future marketing strategies of the company to survive in the market
for long time period.
Aldi has acquired the third largest retail organisation in the Australian retail market of
grocery and fresh food products. The current strategy of Aldi in Ausrtalian retail market is to
operate its business with the mission of quality products on possible low prices for all
Australian people in both urban and rural areas.
The report also discussed the future strategies of Aldi Australia to face the tough
competition in the Australian retail market. To survive in the long term the company should
focus on fresh food products and make loyal customers. Apart from this, the company can
also support the Australian farmers that create its positive image among the customers, which
further help the Aldi to establish itself as a big brand in the country.
In recommendations, it has been found that if the company converts the potential
customers in loyal customers that will help the company to increase its market share in
upcoming years. However, to stay competitive in the market Aldi required to consider the
needs and preferences of customers and should increase its margin on the product because
without profit one cannot imagine to survive in the market for long run.

Marketing Strategies of Aldi
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Table of Contents
Executive Summary...................................................................................................................1
Introduction................................................................................................................................3
Background of Aldi Australia....................................................................................................3
Marketing Strategy Analysis of Aldi Australia..........................................................................3
Current Marketing Strategy of the Company.............................................................................4
Changing Marketing strategy of Aldi in Australia since it launched.....................................5
Competitor’s analysis of Aldi in Australia.............................................................................6
Strategic Marketing options for Aldi moving forward..............................................................7
Conclusion..................................................................................................................................8
References..................................................................................................................................9

Marketing Strategies of Aldi
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Introduction
Aldi Inc. is a giant retail organisation of Germany that is known for its attractive
marketing strategy in all over the world. This report analyses the marketing strategy of Aldi
Inc. in Australia where company is giving strong competition to two retail giants of grocery
and fresh food products in the market; Woolworths and Coles. Woolworths and Coles forms
a duopoly in the retail market and their market share is very high in compare to Aldi.
Although, the increasing market share of the company and penetration pricing strategy create
a fear of losing customers for other retail players in the market. The report analyse the current
marketing strategy of Aldi and its competitive position in the Australian market. The report
also analyses the future actions and marketing plans of the company to move forward in the
Australian retail market of grocery and fresh food products.
Background of Aldi Australia
Aldi Inc.is a German company that believes in quality products at possible low cost.
The Aldi Inc. operates its retail business in more than 20 countries in grocery and fresh food
products. The company also deals in home appliances and small digital products in the stores.
Aldi is a popular retail company in the German market but it is continuously increasing its
market share in Australia, Europe, South Africa, and Asia. Aldi was founded in 1946, it is
known for its high quality product in the market on low prices, and it is the primary
marketing strategy of the company in every market. The company currently operates its
business in Australia in more than 500 stores in NSW, WA, QLD, VIC etc., and competing
with its competitors with marvellous marketing strategy by providing high quality and
exceptional value (ABC News, 2016). The company is known for its aggressive marketing
strategy. Aldi has more than 12000 employees in Australia (Aldi, 2019). Aldi Australia’s net
profit in 2018 was AUD $8.650 billion while it is expected to grow with the rate of 15% year
and expected to reach $10.6 billion to $14.8 billion by 2020 (Aldi, 2019).
Marketing Strategy Analysis of Aldi Australia
Aldi started its business in 2001 in Australia and from day on it is focusing on
providing quality products to its customers on possible low cost or prices. The company
adopted the strategy of influencing the prices of products under its marketing strategy
(Grimmer, 2019). The company sells its products under its own labelling that provide its