ALDI: Marketing Plan, Roles, and Departmental Relationships

This report provides a comprehensive analysis of ALDI's marketing strategies, roles, and departmental relationships. It begins with an introduction to marketing, emphasizing its importance in creating, communicating, and distributing value. The report then delves into the key roles and responsibilities of the marketing function, including marketing planning, information systems, financing, promotion, research and development, pricing, and selling. It also examines the roles played by ALDI's marketing department. Furthermore, it explores the interrelationship between the marketing function and other departments within the organization, such as human resources, information technology, sales, finance, and research and development. The report concludes with a discussion of ALDI's marketing mix and the development of a basic marketing plan, providing a detailed evaluation of the components of the marketing function and their interplay with other units. The report highlights various marketing tactics used by ALDI to achieve its business objectives, providing a strategic marketing plan for the company.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1 ...........................................................................................................................................1
P1. Important roles and responsibilities of marketing function..................................................1
M1 Analysis of different marketing roles played by ALDI........................................................3
P2 Roles & responsibilities of marketing in organisational context...........................................4
M2 Interrelationship of different departments with marketing...................................................5
D1 Critical evaluation of components of marketing function & their interrelation with other
units.............................................................................................................................................6
P4 Marketing Mix of two different organisation........................................................................6
M3 Different tactics used by ALDI in order to achieve its business objectives.......................11
TASK 3 .........................................................................................................................................11
P4 Produce detailed marketing plan..........................................................................................11
M4 Produce Marketing Plan of ALDI......................................................................................14
D2 Design Strategic marketing plan of ALDI..........................................................................15
CONCLUSION .............................................................................................................................15
REFERENCES .............................................................................................................................16

INTRODUCTION
Marketing refers to the management process by which products and services move from
conception to customer. It is an activity of creating, communicating, distributing and transferring
offerings that have some value for clients, customers, society and partners at large. It is important
for every organisation in order to introduce and promote new products in the market (Analytics,
2011). Marketing is an activity through which firms communicate value and benefits of its goods
to customers. Effective marketing helps the firm in increasing sales and profits of company. It is
the responsibility of marketing manager to create merchandising plan and formulate appropriate
strategies to attain goals and targets of company. In the present assignment, chosen organisation
is ALDI which is one of the well-known grocery retailers in United Kingdom. The report covers
important roles and responsibilities of marketing function as well as its relationship with other
departments of organisation. It also includes the ways in which different firms apply marketing
mix in order to attain business objectives. Apart from this, basic marketing plan of chosen
organisation is also developed and evaluated in this project.
TASK 1
P1. Important roles and responsibilities of marketing function
Marketing concept deals in promoting goods and services in the market. It is the way
through which firms communicate benefits and value of its products to customers that encourage
them to buy same. It helps in satisfying needs and demands of consumers by providing goods
which they want. Main aim of every organisation is to earn higher profits and revenues and this
is possible only by satisfying customers. Thus, marketing emphasizes on promotion of those
goods and services that completely satisfy the needs of target audience. It also helps in
developing long term relations with them and gaining consumer loyalty. In present scenario,
marketing trends are changing frequently and at the same time, needs of clients are also getting
changed at a fast pace. So, it is necessary for the marketing manager to analyse current and
future market trends as well as identify unfulfilled needs of customers in order to find out the
way through which those requirements can be fulfilled (Aschengrau and Seage, 2013). It assists
the firm to bring new products in market according to consumer's needs that satisfy them. In the
marketing process, market situation is analysed in order to identify opportunities that assists
manager in formulating appropriate strategies for value proposition. Strategic decisions are taken
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related to product development, its pricing as well as distribution and promotional campaign.
After that, plan is executed and results are monitored in order to ensure its successful
implementation. Corrective measures are taken by the managers if required. Marketing
department structure will vary on the basis of needs of business (Batt, 2013). Basically, it
includes leader and top level executives who develop strategies and supervise operations of team.
Below defined are some key roles and responsibilities of marketing function that allow ALDI to
attain their objectives and targets in an effective way.
Marketing planning:
In order to attain objectives, it is necessary for ALDI to formulate an effective marketing
plan. For instance, if company is having 30% of market share and now, they want to increase it
by 50%. For attainment of this goal, marketing manager of organisation needs to develop a
constructive plan which includes promotional efforts, production level and quantity. It also
defines the roles and duties of manager and workforce towards attaining this.
Marketing information system:
MIS is used by companies to determine the changing needs of potential customers.
Basically, this system assists in collection and distribution of data and messages related to
dislikes and likes of customers. Marketing manager utilizes this information in order to make
strategic decisions concerned with the production of goods and services. In order to attain growth
and sustainability, it is necessary for the firm to use information related to customer’s choice in
an effective way. For this, data should be collected frequently and products must be developed
accordingly. ALDI uses marketing information system to determine the customer needs.
Financing:
It is an important function of every organisation as it determines the sources through
which firms arrange funds and perform their operations. Firm needs capital in order to run
activities successfully without any disruption. It is necessary to have sufficient funds to carry out
operations effectively and smoothly (Chen, 2013). In ALDI, manager is responsible to manage
enough capital and set up budget so that day to day operations can be performed without hurdles.
They mainly arrange funds by bank, investors, debt, etc.
Promotion:
It is one of those marketing functions which highly contribute in increasing the
profitability of company. Promotion is the way through which firms create awareness among
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customers about their products and services as well as communicate value and benefits of their
goods. The tools used in promoting products include advertising, personal selling, sales
promotion, publicity, etc. These tools assist the firm in encouraging customers to buy their
products (Jong and Marston, 2015). Companies convey their brand message among target
customers by doing various promotional activities. ALDI has adopted some promotional
strategies in order to attract a large group of customers.
Research & Development:
In the current scenario, preferences and needs of customers are changing frequently and
so, it becomes necessary for every business enterprise to determine their needs and offer them
products as per their needs and demands. R&D department plays a crucial role in it. Research is
conducted by organisation in order to identify the changing market trends and needs of
consumers. This function facilitates ALDI in assessing the preferences of clients.
Pricing:
It is the responsibility of manager to set an appropriate price for products and services
that create some value for customers. The factors which influence price includes rate of profit,
rate of competitor's product, laws and policies by government, etc. So, it is necessary for the firm
to set such price that is not high from view point of customers and at the same time, company
earns high profit. ALDI sells its products at reasonable prices which provides it competitive
advantage in the market.
Selling:
Marketing and selling are interrelated with each other. Main purpose of every
organisation is to generate high revenues by satisfying customer’s needs. For this, firm identifies
the inevitably of target audience and deliver them products as per their needs. Selling process
bridges the gap between ALDI and its potential customers. This is the path through which
company satisfies needs and demands of clients at right time.
Above mentioned are some key roles and responsibilities of marketing function that assist
ALDI in attaining higher growth and success by satisfying the customer needs (Draelos, 2010).
M1 Analysis of different marketing roles played by ALDI
Marketing plays a vital role in enhancing profitability of the company. Various activities
are conducted by firm in order to ascertain needs and wants of customers. Managers of
marketing department execute different roles in order to ensure impelling functioning of
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business. Marketing function helps the company in communicating message and information
related to product among customers. It also assists in attracting large number of customers
towards their brand and in production of high quality goods.
P2 Roles & responsibilities of marketing in organisational context
Marketing concept is related with different department of the company which enables
them to make strategic decision and accomplish business objectives in effective and efficient
way. With the help of marketing, business can easily achieve its short as well as long term goal
in systematic manner (Ellguth, 2016). It not only publicize goods and services but also involve in
delivering products to end users who actually need it. A firm consist of various departments that
work together in order to generate high profits and capture large portion of market share. Below
defined are different departments of ALDI that depicts use off marketing function:
Human Resource Development and Marketing:
The main responsibility of human resource manager is to recruit employees in
organisation who are skilled and knowledgable and meet the needs of firm. They forecast
employees need and hire individuals as per the requirements. They also provide training and
development to workforce in order to enhance their skills and they are able to perform in better
manner. Every firm emphasize on encouraging profitable clients to attain higher sales and for
this, they hire creative and skilled employees. Various marketing tools are used by human
resource manager of ALDI to communicate people about existing vacancy. The company rely on
both internal as well as external sources for recruiting candidates and for this, they use various
marketing channels. They use social media, websites etc. to convey message among people in
society.
Information Technology and Marketing:
It is necessary for an organisation to use advance technology in processes and operations
of business. Effective plans and policies are formulated by using innovative technology. It
enables the firm to capture large portion of market share. ALDI creates its own websites and
follow the similar trend that ultimately increase awareness among customers about company and
connect them with it in better way. Information technology department assists manager to
develop single view point of client which depicts all the interaction takes place between buyer
and company (Kohaut and Möller, 2014). It is a comprehensive description of social media
interact, consumer profile, past buying behaviour and other important information that defines
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buyers perception which is advantageous for company. ALDI also create their pages on social
media websites.
Sales department and Marketing:
These departments acts as mediator between production and distribution. The
responsibility of sales manager is to provide high quality products and services to customers at
minimum prices. It encourage them to purchase more products which results in higher
profitability of the company. Marketing manager also plays and important role in determining
needs and preferences of consumers (Evans and Mendlowitz, 2015). With the coordination of
both departments, firm is able to satisfy demands of customers by providing them products as per
their requirements. It ultimately leads the company towards high profitability and ensures growth
and sustainability of the organisation. Sales team of ALDI emphasize on two main components;
collect information about buyer preferences and make them happy in order to maintain healthy
and long term relation with them.
Finance department and Marketing:
Profitability of the firm highly depends on these two departments, i.e., finance and
marketing. Finance deals with feasibility, cost, profit of project and marketing is related to
volume, publicity, sales target, data mining, advertising etc. Both departments are rely on each
other for growth and success of the company. Marketing of goods requires a lot of money which
is provided by finance department of the firm. Manager prepare budget and allocate appropriate
amount of funds for promoting a product. Marketing put direct impact on sales and revenues of
company. Effective marketing increases profits whereas, if it is not much effective, it would
lower down profitability ratio of ALDI.
Research & Development:
This department assists the firm in determining current market trends and identifying
needs and demands of target customers. Manager of this department conduct research and assess
market situation. They analyse the needs of buyers and develop products according to their
requirements in order to satisfy them (W.A.N.G, 2010). With the help of these departments,
ALDI assess changing trends of market and try to cope up with them.
M2 Interrelationship of different departments with marketing
Success of every business organisation depends on the way in which they promote their
products & services and meet the needs and demands of target customers in an effective manner.
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A firm consist of different departments that work together to generate higher profit ratios for the
company. Various departments of ALDI uses different marketing tools that assists in attaining
their business objectives and targets in an effective and significant manner.
D1 Critical evaluation of components of marketing function & their interrelation with other units
According to the view point of Brooks and Simkin (2012), Organizations use marketing
tools to promote its goods and services among customers. Various functions of marketing like
pricing, research & development, financing, selling, promotion, MIS etc. enable ALDI to
accomplish its short and long term goals in effective manner. Marketing function is interrelated
with various departments of firm includes IT, Sales, HRM, Finance, Research & development
etc. Growth and success of the company highly depends on marketing function as it contributes
in increasing profitability of the firm.
P4 Marketing Mix of two different organisation
Marketing Mix refers to the combination of factors that is mainly controlled by an
organisation to influence buyers to purchase their products. In simple words, it means putting
right good at right place within specified time-frame. Elements of marketing mix are adjusted in
such a way that leads to fulfil the desire and wants of target audience by providing them what
they are actually looking for (Hockenberry, Wilson, and Rodgers, 2016). With the help of this
tool, marketer of company is effectively promoting or offering their product or services to
customers who actually needs it. Earlier there were only 4P's included in the marketing mix but
now it 3 more P's has been added to this tool. The main aim of this term is to depicts the way in
which marketer uses these all elements together just to offer right product to its target audience
that fully satisfies their needs and desires. Below mentioned is the marketing mix of two
different enterprise namely ALDI and LIDL:
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(Source: Elements of Marketing-Mix)
Basis ALDI LIDL
Product ALDI is a global supermarket
chain that mainly deals in
providing discounted products to
its target audience. Their
product range include food,
beverage, household goods,
Sanitary articles etc. They are
LIDL is also a leading
discounted supermarket
chain. They also deals in
providing products or
services mainly at lower or
discounted rate. They are
selling their product all
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Illustration 1: Marketing Mix

offering their goods at discount
or cheaper rate which attracts
the large number of customer
which ultimately enables them
to fulfil their multiple desire or
needs on probably lower rates.
across the globe. They are
offering wide range of
product at cheaper rate to its
target customer so that they
can pick the best among
them that fully satisfied their
unlimited wants or demands.
Price Currently company is having its
strong base in terms of market
share and profitability ratio.
They mainly emphasize on
providing goods at discounted
rate that fulfils the demand of
large number of consumer in an
effectual manner. They acquire
raw material in bulk quantities
from different suppliers which
enables them to offer their goods
at a reasonable rate. By
adopting economy pricing
strategy they are targeting the
customer who are mostly price-
conscious. This assist the
referred firm to minimise its cost
related to production and
marketing department. This also
helps in generating customer
loyalty and building strong
relationship with them.
LIDL is also offering their
products at an affordable or
discounted price that results
in attracting large number of
buyers or clients. Like ALDI,
they are also following the
economy pricing strategy
which enables them to
reduce or limit their cost
related to marketing and
manufacturing. This strategy
gives them the benefit of
competitive advantage over
small, medium or large
grocery stores that are also
providing the similar
products.
Promotion Focusing on its price saving Like ALDI, they also not
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strategy, ALDI is spending
minimal amount on promoting
their product. They are mainly
focuses on offering goods at
discounted rate. They promote
or advertise their product via
“Super Buys” offers which is
applicable till the inventory
lasts. When new stock is
introduced, ALDI communicates
this information to their
consumers via weekly
newsletter known as ALDI
INFORMS which reaches to
target audience through
newspaper or mail. In Australia,
UK and US market they laid
stress on advertising their
products. They mainly use
electronic, display and print
media in order to attract the
consumer. Apart from this they
also uses various promotional
techniques such as “swap and
save, “like brands only cheaper”
in order to gain competitive
advantage.
using much promotional tool
as they believes that their
discounted rates are enough
to attract or stimulate the
interest of target audience.
Currently they are not
possessing any loyalty
schemes. But yet they are
using some techniques in
order to advertise their
products. They have also
used store promotion method
but in that they are not
offering much discounts as
they are already offering
product at reasonable rate.
Place ALDI is mainly operating in 18
countries with more than 8000
stores all across the globe. It has
been figured out that almost
They are mainly operating in
Europe and USA with over
10,000 stores. Count on the
country, they mainly deals in
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every week, they opens their
new store in Britain. They
procure their goods in bulk
quantity from different suppliers
and put them in warehouse and
ensures that their quality is
maintained until and unless it
has been used by ultimate
consumer. They uses equipment
which are environmental
friendly and ensures negligible
waste disposal while
transporting the products. Their
presence is also available via
online stores.
offering different segment
products ranges from low
value to high end products.
Their main focus is to sell
maximum goods within short
span of time, thus they are
required to open up their
stores close to national
distribution centres that
enables the buyers to
satisfies their needs
conveniently.
Physical Evidence ALDI is mainly famous for its
global pricing, standardisation
and simple & flexible business
process. They are mainly
provides product at 30% lower
rate than its competitors. Their
all stores maintains standard rate
or price.
The majority of its stores or
layouts arranged in
traditional and linear way.
This assist the buyers in
finding stores more
conveniently and easily.
They often display their
brand in blue and yellow
colour which aid the
customer to know that there
is store is nearby.
People They possess lower consumer
services as they allow them to
chose their product own their
own. They gives higher pay to
They offers attractive salary
to its employees so that they
can work more effectively.
Training has been gives to
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