Comprehensive Marketing Management Report: ALDI Supermarkets Analysis

This report provides a comprehensive analysis of ALDI Supermarkets' marketing management. It begins with an introduction to marketing management principles and then delves into a TOWS matrix assessment, evaluating the company's strengths, weaknesses, opportunities, and threats. The report outlines ALDI's marketing objectives, focusing on business expansion, customer base growth, and the provision of quality products. A detailed marketing mix plan is presented, including product, place, price, promotion, people, process, and physical environment considerations for launching chocolate biscuits in Iceland. Furthermore, the report discusses strategies to improve customer service levels. The analysis highlights the importance of adapting to market competition and leveraging digital marketing to achieve objectives. The report is designed to provide a detailed overview of ALDI's marketing strategies and their effectiveness.

Marketing Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
TOWS Matrix..............................................................................................................................1
Marketing Objectives...................................................................................................................3
Marketing Mix Plan.....................................................................................................................4
Ways to Improve Customer Service Levels.................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Marketing management is one of the major tasks within an organization. Without
effective marketing management a company or businesses can't able to achieve their goals on
decided time period. Companies make different strategies to complete their marketing activities
in productive manner. Each business always need to run a specific marketing campaign to gain
huge competitive advantages in the market. Management of marketing activities is not just a
small task to a company, because it always needs to create a strong plan for smoothly managing
activities under marketing. This report discusses marketing management of the ALDI
supermarkets. Some specific marketing principles, strategies, models, theories, concepts and
roles included in this report. A productive marketing campaign will also be discussed in this
report which will help to company for gaining large customer base in respective market. TOWS
matrix will be evaluated in this report which support to understand company's current strengths,
threats, opportunities and weaknesses.
MAIN BODY
TOWS Matrix
TOWS matrix is a very helpful tool to understand major internal factors of ALDI. Matrix
includes various elements called, strengths, weaknesses, opportunities and threats which impact
company is both terms positively and negatively (Arkadan, Macdonald and Wilson, 2017). This
matrix is important in understanding competitive environment of the market. All elements of this
matrix has been discusses below;
Marketing TOWS for ALDI Strengths (S): ALDI is
continuously progressing in its
business expansion process. It is
currently highly successful in
expanding its operations in
different countries like; UK, US,
France, Australia etc. Its
products quality is also excellent.
Through good product quality,
company has gained large
customer base in the retail
Weaknesses (W):
Company's marketing
strategies are not much
productive, it is one of the
main weaknesses. Its
management still using those
traditional marketing
techniques in their marketing
campaigns. These traditional
techniques not give
productive results, because it
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industry. Company has efficient
workforce which is working day
or night to achieve decided goals
in the market (Hurth and
Whittlesea, 2017). Currently this
company operating its all
business activities on a
progressive path.
is time to use some modern
and latest marketing
techniques in business
environment to attract large
customer base.
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Opportunities (O): Company
have big opportunity to expand
its business operations in new
markets, because company
currently have many market
options where it has still not
entered. It has opportunity to
implement some modern and
latest marketing techniques in
their marketing campaigns.
Through these techniques,
company will earn more profit
(de Saband and et.al., 2018).
Hiring some skilled employees
within business environment
will assist in boosting current
business performance. It is
also a great opportunity for
ALDI and the reason behind
this is, skilled employees
always give huge input in daily
operations in comparison to
unskilled employees.
SO Strategies: Currently
company has great customer
base in the market because of its
good brand value, through which
it is able to develop business
expansion strategies. ALDI will
gain huge market share on the
basis of expansion strategy.
Company is providing quality
products to customers currently,
so these quality products will
support company in its
expansion process. This strategy
is too important to company for
gaining effective profit in current
competitive markets. Its current
high brand image will give great
contribution in their expansion
strategy, because when any
company has good brand image,
then it no need for additional
marketing activities in initial
stage of new market.
WO Strategies: Company's
present marketing strategies
are not much effective and it
has opportunity to use the
latest marketing techniques
too. In this case, it'll able to
use digital marketing
strategy. Digital marketing
nowadays become too
popular, so company will
able to use this marketing
strategy to attract large
customer base towards
brand. Digital marketing
strategy support in gain huge
competitive advantage as
well. It just needs to start use
of latest and new marketing
techniques for creating this
strategy.
Threats (T): Day by day
increasing competition in retail
industry is proving to be the
biggest threat to ALDI
supermarkets (Omar, 2017).
This company currently
running its operations in many
European countries like;
ST Strategies: High market
competition is the biggest threat
to company, and on the other
side it has effective workforce.
In this case, quality products on
cheap prices strategy is too
favourable for the company,
because it currently produces
WT Strategies: According
to its current weaknesses and
threats, company need to
implement product
differentiate marketing
strategy. With support of this
strategy, company will able
to produce some exclusive
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Germany, United Kingdom,
France, Ireland etc. so, local
retail companies under these
countries currently give great
challenge to this company.
Specially UK's Tesco, Marks
& Spencer, ASDA and
Sainsbury retail companies are
main competitors for ALDI.
quality products with support of
its skilled employees. In this
situation, if company provide
quality products to customers on
low rates under retail industry,
then it'll easily able to deal with
current competitive market.
range of products and
services to sell in retail
industry (Hänninen and
Karjaluoto, 2017). This
strategy enables company to
easily handle market
competition, and it'll able to
remove its current marketing
weaknesses also through this
strategy.
Marketing Objectives
On the basis TOWS matrix analysis there are mentioned three major marketing objectives
of the company.
To Expand Business Operations: This is one of the main objectives of company. In this time it
is good in its expansion process, so it'll easily able to enter the new markets. If, company will
achieve this objective on time, then it indirectly enables to increase its market share in global
retail industry. Top-level management of company is too active to create extra ordinary plan for
expansion process. That's why company can easily achieve this objective. In this situation,
company can remove many barriers also within their business environment, if it can successfully
achieve this objective. Achievement of this objective is very necessary to ALDI, because
currently most retail companies also do same thing (Voeth and Herbst, 2019). In case, if
company doesn't achieve this objective on time, then it'll lose big opportunity to generate huge
revenue in retail industry.
To Gain Large Customer Base: This is second main objective of the company. To achieve this
objective in decided time period, management need to boost its marketing processes. Currently
marketing is one of the main source to company for achieving this object. In its marketing
processes, it needs to implement some logical and meaningful marketing tactics. Through these
tactics it'll attract many people towards brand. Tesco has the largest customer base in European
retail industry, because it has very excellent marketing techniques. In this case, company also
enable to achieve large customer base with support of these techniques. Nowadays many useful
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techniques for marketing existing which company should use in their promotional campaigns.
For example; social media marketing, affiliate marketing, sponsorship, etc. Currently social
media marketing highly influencing customers in different market segments, in which marketing
team of company need to systematically manage its social media pages to positively influence
customers. In conclusion, marketing is the only major way for company to achieve this objective
in specific time period.
To Provide Quality Products: In many European countries like UK, Ireland, Netherlands, etc.
people are ready to pay any cost for buying quality products and services, so this also a big
objective of ALDI to always provide quality products to customers. Company will gain high
profit through this objective, because once company provide quality products in market, then
people will automatically attracts towards brand. Company need to offer cheap prices also with
quality products to generate more revenue in a year. It enables to use various quality control
methods in their production department. For example; Just in Time (JIT) and Lean production
method (Gama, 2017). By implementing these methods, it can effectively maintain its products
and services quality. This objective will give great contribution in all over growth of the
company, so management highly need to provide quality products in different market segments.
Marketing Mix Plan
Marketing mix plan includes 7Ps of marketing which very helpful to the company for
achieving its main objectives. Marketing mix is basically a set of strategies which organizations
use for promoting their products and services in respective market segments. In this marketing
plan company has chosen its exclusive chocolate Biscuit product to launch in Iceland. There are
7Ps includes seven elements called Product, Promotion, Place, Price, People, Process, and
physical environment. Means company need to consider these all Ps during its marketing
campaign to achieve positive results. These seven Ps of marketing mix has been mentioned
below;
Product: Top-level management of ALDI has decided to launch chocolate biscuits in the retail
markets of Iceland. This is one of very popular products of this company. Currently sales ratio of
this product is very high, because most customers very like these biscuits. Management
expecting very favourable results from this product. From development to date, this product
gives very high contribution in all over growth of company (Samiee, 2020). Company has
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decided, if this product achieves high popularity in the new market, then it'll add some new
chocolate flavours also in these biscuits.
Place: The management of company has chosen Iceland retail market as a place for launching
chocolate biscuits. This market is very favourable option to ALDI, because all external factors of
this country are positively impact to retail businesses. Iceland is of the richest countries in all
around the world, in which people of this country are easily able to afford products and services
which company offers. That's why this option is too favourable to company.
Price: Market competition is something high in retail industry of Iceland, in which company is
responsible to offers customer friendly prices to people in this country (Singh, 2018). Top-level
management within company need to use some finest pricing strategies before launching
chocolate biscuits in this market. Firstly, company need to compare price of its product with
existing price of same valued product. Then try to offer price of product something less than
existing competitors. Provide good chocolate biscuits with cheap price is necessary to the
company to gain huge people attention in initial stage within Iceland.
Promotion: Promotion is another very important term within marketing mix. Marketing team of
ALDI need to be highly active during product launching in new market. Main reason behind last
statement is, with the support of effective promotional activities company will able to attract lots
of people towards brand. Team need to make some attractive advertisements related to chocolate
biscuits. Then it needs to run these advertisements on almost all platforms within this country.
For example; Social media, broadcasting, newspapers, television and radio etc. Company able to
hire some local popular personalities also for product promotion in this country. Popular
personalities' means, local singers, actors, artists, influencers, etc. Promotion is only thing to the
company which will boost its selling in initial stage.
People: Before product launching, marketing team of company is responsible to divide people in
different groups, like; age wise, gender wise, income wise, etc. It is necessary to the company for
fulfilling demand of all people in this new market. On the other side, most people of within
Iceland are completely literate (Chin and Mansori, 2018). They believe in buying quality
products. Means, they are always ready to pay any cost for buying good quality products and
services. In this situation, management of company is need to offer good quality product to
people in this country. With this step, it'll enable to attract many customers in initial stage. If,
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marketing team divided people in different groups, then it can save its lots of time and cost in
starting stage.
Process: Product launching process in this market must needs to be productive. Company need
to implement some modern business strategies to run all launch processes in productive manner.
Management is responsible to clarify all objectives, goals, aim behind this process with their
employees. It needs to select some highly skilled employees within all employees for launching
processes, because they will enable to give effective input. To run all processes in productive
manner, management can take technical support, because with the latest technology provides
various technical gadgets and tools. These gadgets and tools are too important to reduce lots of
human efforts within product launch processes.
Physical Evidence: Physical evidence is also very important part of marketing mix technique
because with this, businesses are able to build effective relationships with their customers
(Varadarajan, 2019). Suppose the company sale their products through a product representative,
in which this step of company promotes interaction value between brand and customers. On the
other side, this type of relationships with customers is very necessary for company to build large
customer base initial stage. Company always needs to be connected with their customers,
because this connection between brand and customers gives great results. Physical evidence
within marketing mix give facility to the company to deeply understand basic needs and wants of
customers.
Ways to Improve Customer Service Levels
There are various meaningful and logical ways available to ALDI for improving their
levels of customer service as part of Express Ourselves (Marketing Campaign). These all
important ways of improvement has been discusses below;
Communicate Clearly: To improve current customer service levels, company first need to
clearly communicate with their customers. There is clear communication very necessary to
company for carefully listening customer's demand. Many times businesses not able to provide
that products to customers which they highly demand. Bad or unclear communication is the main
reason behind this type of situations (Reinecke, 2016). Management is responsible to develop the
finest communication skills within their workforce, because when employees will deal with
customers, then they can understand what customers expecting from company. That's why good
communication is important for improving levels of customer services.
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Take Feedbacks: This is also a productive way to improve customer service level. In this way,
company need to provide a specific feedback form to their customers, where they can share their
opinion on ALDI's products and services. Customers feedbacks are very supportive in improve
products quality as well. There are many sources available for company which helpful in taking
customer's feedbacks. For example: social media platforms, official website, official blog, etc.
Currently social media is highly uses by most companies for taking customer feedbacks, so this
also very good way of improvement.
Give Customer Care Support: Company able to choose this way also for improving its levels
of customer service. People always have many complaints about products of any company, in
which ALDI need to provide 24*7 customer care services to people (Sharma, 2018). This step of
company make able customers for registering their complaints. Company able to take huge
advantages from this way, because when customers registering their complaints, then it'll able to
produce products according to customer's demand. That's why this way also too productive for
company.
Give Discounts: This is company's first priority to give discounts to customers in the market.
Specially to those customers which are loyal customers of ALDI. This way of improve customer
service level attracts new customers as well, because people always want to buy thing on
discounts. People feel well when they save some amount on any purchasing. This way promotes
great brand value of company within respective market. If company start provide products on
discounts, then it is positive step towards improving customer service level.
Quick Response: Most customers don't like such companies which not give response on time. In
this case, top-level management need to maintain effective time-management values within its
business environment. With proper time-management, company will able to give quick response
to customers. Quick response habit of company also helpful improving its brand image in retail
industry. In this case, this is also a great way for improving current levels of customer service.
Change Defective Products: A business always responsible to change defective products.
Means, when a customer has purchased any product of company, but then it is realized there is
something defect in that product. In this situation, when customer demand for change, then need
to change that product (Taylor, Reilly and Wren, 2018). This step of company will put positive
impression on customers, so at the end this is also a favourable way to ALDI for improving its
customer service levels.
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Use Polite Language: Polite language is also a key of success to any business, in which
employees within company always need to use polite language when they deal with customers
within supermarket. Polite language of company shows good values of company to customer.
That's why this is also a good step towards improve customer services.
Provide Trial Period: Customers always want to trial products and services before buy, in
which company need to give them trial period for some selected products. In this case, when they
get satisfied with product in trial period, then they mostly buy that product. Customers
understanding product's value by taking trial period of that product, so this also a productive way
under marketing campaign for improving levels of customer service.
Many ways of improvement still available to company which are too supportive in
develop levels of customer service (Matthyssens and et.al., 2016). Improvement in customer
service is necessary task to the management, because it'll able to give full satisfaction to
customers through these ways.
CONCLUSION
It can be concluded that according to TOWS matrix, ALDI's current market reputation is
high. This matrix shows some major weaknesses of company as well, in which management is
responsible to create productive strategies for dealing with these weaknesses. High market
competition within retail industry is the biggest treat to company, so it'll able to use product
differentiate marketing strategy. With support of this strategy, it can easily deal with their
competitors. Business expansion, gain large customer base, provide quality products are three
major objectives of the company. In this case, top-level management is responsible to employ
modern marketing techniques within their business environment, because it'll able to achieve all
objectives in decided time period through these techniques. There is one of the finest marketing
strategies called; “7Ps of Marketing Mix” also included in this report. This is too favourable
marketing strategy to the company, because it can easily enter the new market through this
strategy. At the end, some major ways has discussed which will help to company for improving
levels of customer service within their “Express Ourselves” marketing campaign.
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REFERENCES
Books and Journals
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review. Journal of Marketing Management and Consumer Behavior. 2(2).
de Sabando, and et.al., 2018. The marketing orientation as a university management philosophy:
a framework to guide its application.
Gama, A. P. D., 2017. A balanced scorecard for marketing. International Journal of Business
Performance Management. 18(4). pp.476-494.
Hänninen, N. and Karjaluoto, H., 2017. The effect of marketing communication on business
relationship loyalty. Marketing Intelligence & Planning.
Hurth, V. and Whittlesea, E., 2017. Characterising marketing paradigms for sustainable
marketing management. Social Business. 7(3-4). pp.359-390.
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forward. International Marketing Review.
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activities. Journal of Strategic Marketing, pp.1-12.
Varadarajan, R., 2019. Theoretical underpinnings of research in strategic marketing: a
commentary. Journal of the Academy of Marketing Science. 47(1). pp.30-36.
Voeth, M. and Herbst, U., 2019. Marketing-management. Schäffer-Poeschel.
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Sharma, G. 2018. 4 Strategies to Help Improve Your Customer Service Standards. [Online].
Available Through: <https://www.socialmediatoday.com/news/4-strategies-to-help-
improve-your-customer-service-standards/529799/>.
Singh, R. 2018. What are the 7Ps of Marketing. [Online]. Available Through:
<https://medium.com/the-startup-growth/what-are-the-7ps-of-marketing-
ad2572f7eb16>.
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