ALDI Marketing Report: Roles, Mix, and Interdepartmental Relationships

This report provides a comprehensive analysis of the marketing function within ALDI, a multinational discount retailer. It begins with an introduction to marketing and its importance, followed by an examination of ALDI's marketing strategies, roles, and responsibilities. The report delves into the key roles of the marketing function, including market information gathering, planning, consumer support, promotional activities, and relationship management. It then explores the inter-relationship between the marketing department and other organizational departments like human resources, customer service, finance, administration, and research and development, highlighting how these departments work together to achieve ALDI's goals. The report also covers the marketing mix elements (Product, Price, Place, Promotion) and discusses how ALDI applies them in market planning. Furthermore, the report evaluates a basic marketing plan for ALDI and compares its strategies with those of its competitors. Overall, the report offers valuable insights into ALDI's marketing approach and its impact on the company's success in the competitive retail market. This report is available on Desklib, a platform providing past papers and solved assignments for students.

Marketing Essential

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 The key roles and responsibilities of marketing function for ALDI......................................1
P2 Marketing inter-relationship with other departments in organisation....................................4
TASK 2............................................................................................................................................7
P3 The ways in which different organisations apply the marketing mix to the market planning
.....................................................................................................................................................7
P4 Produce and Evaluate a basic marketing plan for ALDI.....................................................10
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Marketing is a process that assist organisation in promoting or advertising its products
and services in market. There are different tools and techniques that are used by marketing
managers in organisation for influencing consumer behaviour. Today, this function has gained
higher level of importance in corporate world as it not only promotes company's products in the
market it also conducts research which assists other organisational functions in acting as per
requirements. It is a very vital function that has to be maintained and managed in an effective
manner for ensuring that it fulfils its purpose (Al-Hasan, Thomas and Mansour, 2016). Basically
marketing is a function that aids company in developing and establishing a relationship with all
market forces. It has been stated by American Marketing Association, There are certain activities
which are conducted by organisations and process are developed for communication the delivers
and offers high level of value to partners, consumers and society. This report is based on ALDI,
which is a well established multinational discounted general merchandise and grocery retailer. It
is established in more than 18 countries where it have more than 10,000 stores. There are certain
issues which are there in front of company that needs to be addressed in a set period of time. In
this project it will be evaluated as how ALDI utilises all the tools and techniques in order to gain
competitive advantage over its competitors. Its marketing mix will be prepared and compared
with its competitor that poses threat to company.
TASK 1
P1 The key roles and responsibilities of marketing function for ALDI
Marketing refers to a process that aids organisation in promoting its products and services
in market. It influences consumers mindset and attracts them towards the goods offered by
company (Babin and Zikmund, 2015). There are many activities that take place within
organisation and outside of it. ALDI uses this for developing feasible market plan which is based
on four elements:
 Product
 Price
 Place
 Promotion
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The prime aim of using marketing and its tools is to attract new customers and retain
existing ones as to increase profitability (Baines, Fill and Page, 2013). The whole marketing
function evolved over the years, it went through certain phases which are mentioned below:
 Production concept: The managers were completely focused on producing most
favourable goods or homogeneous goods that are high in demand and low cost were
involved in their production.
 Product Concept: This states about an era when manufacturers believed that consumers
only want products that offers high value, quality, equity and performance at a very
reasonable rates (Baker and Saren, 2016). Companies used to keep on introducing new -
products or changes in existing products as to engage consumer in a effective manner.
 Selling concept: This is an era where managers believed that products need to be sold at
any cost, it does not matter what method is used. The consumer need to be influenced so
that he purchases the stated good at set price.
 Marketing concept: It is the most used and popular concept as it assist organisation in
gaining consumer based and fulfilled the end user demands. The companies started
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Source 1: Marketing Management Philosophies, 2017

researching and understanding customer demands and needs and they offered them
products which would fulfil those needs.
 Societal concept: This is a current theory that is used by companies. Today managers
analyse various issues and problems that exist in the society (Banerjee, 2013). All the
strategies and products are developed on the basis of these issues so that consumers needs
can be fulfilled.
ALDI needs marketing function as to ensure that all the resources are used at a optimum
level. The company is a common brand that is made up of two separate companies. It has more
than 10000 stores that are spread in a substantial area. The turnover of company is around 50
billion euro and it has more than 35000 employees. The company is known for its HR and
marketing polices which has led them to such heights.
The marketing function in ALDI plays an essential role of maintaining the level of
productivity and profitability. It assist other departments by informing them regarding various
market trends and fresh ideas. The managers are able to formulate different strategies on the
basis of gather data and other information about market forces. There are certain roles and
responsibilities of marketing function within ALDI that are fulfilled by the department. This
assist organisation in maintaining and enhancing the level of productivity and profitability. It
plays an important role in promoting as well as establishing company image in the mind of
consumers. The roles and responsibilities of marketing function are as follows:
 Gathering market information: The department is constantly analysing the market and
collecting data that can be used by other departments and to prepare various budgets and
plans (Beatty and Samuelson, 2014). It also assist managers in understanding different
market trends and situations according to which changes in polices are required to made.
 Market planning: The marketing managers are engaged in preparing plans for influencing
the end user as well as other market forces. It set path for the employees and assist
manager in directing as well as controlling all the activities.
 Consumer support and services: The marketing department is directly engaged in
management of end users needs and satisfaction level. For ALDI it is very vital to
maintain and boost the consumer base. It can only be done when organisation is able to
understand the issues and grievances of the end users.
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 Promotional activities: There are different promotional activities that are undertaken by
ALDI marketing department. It is responsible for influencing consumers and other
market forces by its innovative and interactive marketing schemes (Berkowitz, 2016).
The department is directly engaged in various programs that are formulated for capturing
higher rate of market share.
 Marketing intelligence: The department assist other functions in identifying different
opportunities that can be exploited by organisation. Marketing managers keep on
researching and analysing about the various issues and problems that can be turned into
profitable venture.
 Internal and external communication: The marketing department assist organisation in
communicating with internal and well as external parties. It enhances the flow of
information and ensures that all the task are achieved in a set time limit.
 Relationship management: Marketing functions is responsible for managing and
maintaining relationship with end user and other market forces (Bivins, 2013). It has to
ensure that all parties are satisfied and they do not have any issues related to the company
functioning.
These are few roles and responsibilities that has to be fulfilled by the marketing
department in ALDI. It assist organisation in enhancing its consumer base and productivity. The
marketing function uses various tools and techniques for making sure that other departments as
well its own capabilities are not impacted by any uncertainty that comes in future. It forecast and
formulates plans which are aligned with the organisational goals and objectives. The company
needs to invest proper amount if it wants to expand in future and attain desired level of position
in market.
P2 Marketing inter-relationship with other departments in organisation
There are various functions in organisation which are assisted by marketing department.
It is the responsibility of marketing manager to ensure that all the task are achieved in a effective
and efficient manner (Blythe, 2012). Today organisation need to approach markets in a very
interactive and strategic manner. It allows them in identifying various opportunities and gain
more market share. Marketing is a function that assist in establishing as well developing
relationship with consumers and other market forces. But to do so company need to interlink all
the activities of different departments so that all the efforts are directed in similar direction. The
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prime goal of marketing is to increase the market presence of company and its goods. Also the
change management is aided by the market department which brings in information that becomes
basis for various strategies.
ALDI is a multinational retailer that offers products and services at a discounted rate.
Various sales offers and discounts that are offered by company are formulated after analysis of
situation (Braslow, 2015). The marketing department ensures that the communication channels
are effectively working and all the data is reaching its end point in a set period of time. The
marketing department in ALDI assist organisation in boosting the sales which leads to higher
productivity and profitability. The main function that is performed by marketing is to collaborate
and co-ordinate with other departments and support company in achieve its targets. The various
functions performed by marketing in ALDI are:
 Research: This is the prime activity that is done by marketing department as to ensure
that it has right information for formulating strat6egy and plans. This activity provide
assistance to other departments also as information is collected not just for marketing
function but from whole organisation perceptive.
 Transportation: The supply chain management has become a separate field but in ALDI it
is assisted by marketing. The department provide right information regarding new
methods and modes that can be used for transporting goods (Brooks and Simkin, 2012).
Also it set inventory standards which is important to make sure that there is no scarcity of
resources at the time of need.
 Risk assessment: The marketing department also conducts risk assessment and evaluation
as to find out what is required by organisation for achieving set targets and goals. It
allows managers in identifying right opportunity that can be exploited by company as to
gain more in future.
 Forecasting: The marketing department forecast about probable demand and supply that
will take place in future (Campbell and Martin, 2015). It is a important activity that
provide data to other departments which enables them in preparing themselves and
organise resources to face future.
 Product Development: The new product development or introduction is under
responsibility of marketing department which has to be fulfilled as per requirements.
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There are other activities that are undertaken by marketing department that assist other
departments. ALDI has different functions that are interlinked as to direct all the efforts and
resources in same direction so that all goals and objectives are achieved in a set period of time
(Cua, Reames and Chai, 2013). The image below states about various departments that exist in
ALDI:
 Marketing with human resource: The department is engaged in collecting information
regarding various talent pool that can be accessed by company HR function for recruiting
and selecting individual. It assist in cutting down the time taken in the identification of
pool that can be used by company to recruit company.
 Marketing with customer service: The marketing department ensures that the customer
service is able to cater to the needs and wants of consumers in a right manner (Desai,
2013). There are various tools and techniques that are used by marketing department for
making sure that all goals and objectives are achieved.
 Marketing with finance: The marketing function provides crucial data regarding various
cost that are involved in the day to day activities as well as long term plans. It forecast
about future requirements which enable finance department in identifying the cost of each
activity.
 Marketing with administration: In ALDI administrator function is involved in decision
making process. It formulates and implements various plans and polices which are
required to attain targets (Peter and Donnelly, 2011). The marketing department provide
crucial information about various market changes which enables managers in identifying
various threats and opportunities that can be exploited for gaining market share.
 Research and development with marketing: There are many changes that keep on taking
place in market. The R&D department gets informed by marketing function as it provides
data about new changes that are coming in the market (Desselle, Zgarrick and Alston,
2016). Currently technology is changing at a very fast speed which needs to be adopted
by company for enhancing efficiency and effectiveness of organisation. The R&D
department uses this data as to develop new equipments and methods that will boost
productivity and efficiency of company.
 Marketing with production: The production department is engaged with marketing
function as its states about future demand and supply of company goods and services in
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market (Dibb and Simkin, 2013). It assist in understanding how much is needed to be
produced and supplied.
This is a example of how marketing department enables various other functions and
forms an relationship with them(Parsons, 2013). It is very important for an organisation as to
ensure that all resources are directed in same direction and it leads to achievement of goals and
objectives.
TASK 2
P3 The ways in which different organisations apply the marketing mix to the market planning
ALDI uses different tools and techniques for boosting its organisational productivity and
profitability. The managers understands the value of these activities which are undertaken by the
marketing department as they assist in enhancing performance of organisation. The most utilised
and important tool is marketing mix that is used for managing 7 P's of marketing and
services(Nguyen and Simkin, 2012). It aids company in formulating strategic plans and polices
which can be used for gaining long term targets (Dioko, 2016). Basically marketing mix is a
combination of different factors that are needed for assuring higher growth rate. These elements
have higher level of impact on consumer behaviour and company management.
Traditionally, the companies used to prepare four P's that were product, price place
promotion. But later on service sector importance grew in market which made organisations in
adopting 3 more P's that were people, physical evidence and process. This allowed companies
operating in retailing sector in managing products as well as services in a proper manner.
The two companies chosen for comparative analysis are ALDI and Cadbury. These both
companies are one of the largest in their own industry(Draelos, 2010). They have achieved this
level of growth due to the marketing mix and its application on market planning that was done as
to ensure that all objectives and goals are achieved in a set period of time. The reason behind
choosing two different organisation from two different sectors was that this will give an idea
about how the concept of 7P's is used by cited companies. It will also improve knowledge
regrading management of all the factors in promotion of goods. These organisations uses
marketing mix for ensuring that all goals are achieved in a effective and efficient manner. Also
they aid managers in controlling all these 7 aspects which can provide competitive advantage to
company. The analysis of marketing mix of these two companies is stated below:
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Basis ALDI Cadbury
Product ALDI is a multinational discount store
operator that gives different sales
offers to the consumers for buying
products and services. It deals in
grocery and general merchandise. It
also provide recipes to households for
making feast. The online shopping
site is also used for handling
consumer grievances.
It is a company that is famous for its
chocolates and other items. The product
range of company is very diversified.
They all are categorised as per the
seasons and according to that they are
sold in each and every country. The
products are also segregated as per the
demographic area.
Price The company offers its products at
higher discounted rates which is
attractive to consumers. There are
different sales offers that are floated
by organisation as to get attention of
consumers(Fill, 2011). The company
has opted for the low cost strategy
that is very useful in keeping profit
margin balanced.
The products o0f company are priced
as per their quality and quantity. It is
dependent on competition, demand and
packages. Basically all the products are
priced while following the strategy of
cost leadership and replication(Mittal,
2014). They put up their cost of product
which is followed by other companies
and they also do the same.
Place It is established in more than 18
countries where it have 10,000 stores
that caters to the needs of more than
15 million consumers.
The company products are available in
each and every country except Cuba
and north Korea. It is selling its
products in more than 200 countries.
Promotion The company invest negligible
amount in the advertisement and
promotional activities. ALDI do not
have any marketing department in
Germany as it is already well
established(Martin and Reed, 2015).
The company follows cost saving
The company is dependent on
advertising as to ensure that consumers
know about the new products that are
being introduced by them(McDaniel
and Gates, 2013). It uses electronic
media and attractive advertisement as
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strategy where it invest money in
promotional activities that are
effective in influencing consumer in
other western market. It uses print as
well as electronic media to promote
itself.
per occasion to attract consumer.
People The company understand the value of
human resource and invest heavily
into programs which will improve the
skills and abilities of individuals
working within organisation(Marshall
and Johnston, 2011).
The company understand the value of
its workers as they are the one who are
working hard for achieving all the goals
and objectives(Hauer, 2011). Today
they need talent that knows about how
they can use interactive strategies to
attract consumers and get products
manufactured in a efficient and
effective manner.
Process The company is focused on it core
process that allows it in flexing its
departments capabilities in more
wider context.
They keep on changing the process as
to ensure that they are able to deal with
the dynamic of market in a more
effective manner.
Physical
Evidence
It has physical presence in more than
18 countries with 10,000 stores. The
physical evidence of company is
evident and proven.
The products sold by company in more
than 200 countries states about its
physical evidence.
Comparison
ALDI and McDonald's, both are major player in their own industry type and there are
certain type of difference that exist between these organisation. They both use marketing mix as
a tool to differentiate their products from competitors(Malhotra, Birks and Wills, 2013).
ALDI Cadbury
The company uses marketing mix as to offer
wide range of products and services in a more
On the other hand, Cadbury is a global
chocolate maker and seller. The company is a
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