Comprehensive Marketing Analysis of ALDI: Strategies and Objectives

This report provides a comprehensive marketing analysis of ALDI, examining its marketing audit, SWOT and TOWS analyses, and marketing objectives. The report details the company's strengths, weaknesses, opportunities, and threats, offering insights into its market position and competitive landscape. It outlines SMART marketing objectives for a 12-month campaign, aiming to increase sales, market share, and brand value. The report further explores the marketing mix, including product, price, place, promotion, process, physical evidence, and people, tailored to ALDI's specific context. Additionally, it discusses strategies to improve customer service levels. The analysis considers ALDI's competitive environment and provides recommendations for enhancing its marketing effectiveness, ultimately aiming to achieve its campaign goals and maintain a competitive edge in the grocery market.

Marketing
Management

Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
Audit.......................................................................................................................................3
Marketing Audit.....................................................................................................................3
SWOT analysis of ALDI........................................................................................................4
TOWS analysis of ALDI........................................................................................................5
Marketing Objectives.............................................................................................................6
Marketing Mix plan................................................................................................................7
How to improve customer service level.................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Marketing management is defined as a procedure of effective planning, organising, and
implementing, pricing, promoting & distributing goods as well as achieve in market with an
objective to fulfil customer requirements and to attain desired goals within stipulated time
period. For the present report, ALDI is taken into consideration Deepak, R. K. A. and
(Jeyakumar, 2019). It was founded by Karl and Theo Albrecht in the year 1946 and at present it
has around 12,000 stores globally which shows company has high market share within the
market. ALDI mainly offers home essential products and quality grocery through its supermarket
chain. In order to attract and aware more number of people about its offerings, the higher
authorities of company is decided to conduct campaign of 12 months with a tagline “Expressing
Ourselves”. Its managers decide the time period that is 1st May 2020 to 30th April 2021. The
present discuss about marketing audit along with TOWS analysis of company. In addition to this,
SMART objectives is developed for the extensive marketing campaign. Moreover, Marketing
mix plan & strategies is discuss for improving customer service level of the organisation.
TASK
Audit
It is defined as an independent as well as systematic examination of documents, books,
vouchers, records as well as accounts of an organisation. This take place in companies in order to
identify how far non-financial and financial disclosures are presenting fair concerns.
Marketing Audit
It is defined as an analysis & examination of marketing activities, objectives and goals that is set
by companies. This audit is adopt to analyse the way in which marketing activities are planned as
well as managed by an organisation (Bagozzi, 2018). Marketing audit help companies to gain an
understanding about market trends and make improvements in their products and services. The
higher authorities of ALDI uses SWOT analysis in order to examine its strength and weaknesses
of the company. The SWOT analysis is defined below:

SWOT analysis of ALDI
Strength: The Company offers high quality goods with an affordable price which attract
more number of customers towards the company due to which ALDI earn higher profits. In
addition to this, the strength of company is its high market presence as it has more than 11,000
stores globally. Another strength of company is it purchase raw materials in large quantity due to
which company earn higher profit margins (Kotabe, 2020). Along with this, the key success of
ALDI is its talented and effective staff members which offer quality service to customers which
builds a positive image in market.
Weaknesses: ALDI is at present small as compare to its rivals that is considered one of its
major weaknesses. ALDI is not able to satisfy its staff members as they employees perceive that
they are not getting inputs according to the efforts they put in towards attainment of
organisational goals. This create dissatisfaction and lowers down morale of employees due to
which attrition rate of company is high. In addition to this, ALDI is not able to influence globally
as compare to another international chains.
Opportunities: The Company have the opportunity to enter into new product segment in
order to increase its sales and profit level. ALDI can offer organic food as it is easily accept in
market due to its high number of loyal customers. It is determined that company need to spent
amount on promotion or advertising in order to remain in competition at marketplace. In addition
to this, ALDI have the opportunity to enhance its business activities and operations in other
countries such as Africa, Asia and may more (Hüttner, 2018). It will help company to strengthen
market position and raise market share in a proper manner. The company can reposition its brand
as affordable goods rather than cheap products so that sales and profit get increased in a proper
manner.
Threats: ALDI has competitors such as TESCO, Walmart, Best Buy and many more that
has influence on overall profits and performance of the company. Along with this, Government
policies & taxation have an effect on business margins due to which reduces its market share
level. Another threat is its private label brand that can be tossed by well reputed brands within
the market.
Internal environment: Internal audit assist companies to evaluate internal controls that us
corporate governance and accounting processes. By the assistance of this, companies maintain
timely and accurate financial reporting and data collection. Internal audit assist in analysing

problems & correcting any issue before they develop in an external audit (Gaul and Baier, 2019).
The internal audit assist in gathering knowledge of current internal control process, testing on
fieldwork, follow up with employees and preparation of audit report.
TOWS analysis of ALDI
TOWS analysis helps an organisation to identify threats, opportunities and then compare it
with weaknesses and strength as well. In addition to this, it also help in developing effective
strategic plan that assist company to raise its effectiveness and productivity. The managers of
ALDI adopt TOWS analysis in order to develop plan and strategies for their coming marketing
campaign. The framework is mentioned below:
Opportunities Threats
Strength SO
 ALDI is a well settled
brand in market which
offer quality grocery &
house essentials in
market. It have the
opportunity to enter
into new product
segment such as
organic food as it can
be accept easily by
customers due to its
high market reputation.
 ALDI has well settled
supply network and
maintain good relation
with suppliers so
company have the
opportunity to
negotiate price from
ST
 The company offer
higher discounts to its
customers in order to
attain competitive
advantage. It may be
threat for company as
it profit margin is
declined rapidly.
 ALDI can enhance
market position by
fulfilling needs of
customer and
employees. It raise
productivity of
employees due to
which they work with
full potential towards
attainment of
organisational goals.

suppliers and gain high
profit margins.
Weaknesses WO
 Decline in the level of
sales and profit can be
maintained by offering
organic and fresh food
in market which is
becoming a new trend
in market.
 The company can
emphasise on
supplying healthy food
as it helps in resolving
issues of liquidity and
profitability (Meffert,
2019).
WT
 The growth & sales of
ALDI declines due to
opening of discount
and convenience stores
in market. This threat
can be reduced if
company close their
supermarkets and open
more discount stores at
marketplace.
Marketing Objectives
The main objective of conducting extensive marketing campaign of 12months that is
“Expressing Ourselves” by ALDI is given below:
 To enhance sales by 15% in coming 8 months by creating or educating people towards
quality products as well as service provided by company at global level.
 To accelerate 10% market share within coming 9 months by strengthening market
position and reputation of company.
 To differentiate and develop value of goods in order to attain competitive advantage from
its competitors prevailing at marketplace.
Justification of Marketing Objectives
To enhance sales by 15% in coming 8 months by creating or educating people towards
quality products as well as service provided by company at global level: The aim of conducting

extensive marketing campaign is to reach maximum number of people which has a most impact
on its overall sales as well as profit of the company. For this, company uses various promotional
tools and social media applications like YouTube, Instagram, Facebook so that they educate
people about the campaign and its quality offerings as well. With the help of this, the company
can gain the opportunity and fulfil its objective to raise at least 10% sales in the coming 6
months. Moreover, its higher authorities ensure that campaign will surely help in attracting more
number of people and help in earning higher profit for the company.
To accelerate 10% market share within coming 9 months by strengthening market
position and reputation of company: Another goal of the company is to strengthen market
position of the organisation at marketplace. This can be achieved by developing positive brand
image in the mind set of customers (Steenkamp, 2018). In addition to this, its marketing
managers uses media vehicles and offer quality products which spread positive word of mouth of
one customer to another people. If the products is positioned accurately, it help company to
develop positive brand image that have directly influence on market share of ALDI.
To differentiate and develop value of goods in order to attain competitive advantage
from its competitors prevailing at marketplace: The extensive marketing campaign conduct by
ALDI in order to develop value of its products in the mind of customers prevailing at
marketplace. It assist them to attain competitive advantage and market place and reaches
Company towards growth and development as well. This can take place if ALDI fulfil its
promise which take place with its customers. In addition to this, it is important for company to
maintain demand and supply of products as it help in satisfying customer requirements that leads
to customer retention. It also assist company to attain competitive advantage and gain leading
position in that particular industry.
Marketing Mix plan
Marketing mix is defined as a tool which is adopt by higher authorities of an organisation in
order to target right market by its products and services (Grimmer, 2019). This plan includes
tactics & strategies that is developed by companies in order to create awareness and promote
products in the market. It mainly includes 7P’s such as product, place, price, process, promotion,
physical evidence and people as well. It is important for an organisation to arrange all this
elements in an effective manner as it assist in making decisions which is profitable and beneficial
for the company. With the help of this tool, an entity can gain the opportunity to raise strength

level and reduce its weaknesses in an effective manner. Furthermore, marketing mix plan assist
in attaining competitive advantage which has a positive impact on brand image as well as
reputation of the company. This will also help company to increase its sales and profit level that
has a positive effect on overall market performance and market share of an organisation. The
manager’s pf ALDI uses marketing mix tool with an aim to achieve objectives which is
developed for extensive marketing campaign. This assist company to target right and potential
customers which increase sales as well as profit level effectively. The elements that is 7P’s of
marketing mix is mentioned below in context to chosen company:
Product: It is basically an item that is offered by companies in market in order to develop
value and fulfil requirements of customers. It is important for an organisation to offer product in
market by identifying customer requirements and market trends then only a product can gain
success and retain in market for longer time period (Lim, Jee and De Run, 2018). In context to
ALDI, its higher authorities focuses on offering quality goods in market so that more customers
can be attract which assist in raising loyal number of customers of company. ALDI offers
household essential & grocery such as wine, fruits, beer, tea, biscuits, Choco rice and many
more. In order to attain extensive marketing campaign, ALDI should maintain quality of goods
& deliver it on time period to their customers.
Price: It is an amount that is charged from customers by the companies in order to
provide products and service. It is significant for an entity to identify price of its rivals and then
set price of their offerings as it assist in attracting more number of customers and also helps in
engaging customers for longer time frame. With reference to ALDI, the company follow
competitive pricing strategy in order to sell it products as well as services at lower rates in
market. With the help of this, the company is able to attract maximum number of people due to
which it sales and profit level is increased rapidly (Bio, 2019). It also assist company to raise its
market share and gain success in market in an effective manner.
Place: It is termed as a location where people can easily purchase or access product and
service offered by the company. This consist of distribution centres, transport, franchise and
many more. In relation to ALDI, it has around 11,000 stores that shows high market presence of
company. Before deciding the location of its outlet, the mangers of ALDI identify market
visibility so that they can put store in right place. In addition to this, its higher authorities ensure
that adequate parking space is available in front of stores so that customers can conveniently and

easily access to their shops. Moreover, the company mainly emphasise on keeping store
ambience simple as it help in cutting down cost which has a positive impact on profits and
performance of the organisation. It also enhance sales of ALDI that is one of its extensive
marketing campaign objective.
Promotion: Promotion is mainly define as a manner by which companies create
awareness of their products & service in market. The marketing managers of ALDI uses
promotional tools and social media applications like YouTube, Instagram and Facebook in order
to reach maximum number of people at global level (Dogu and Albayrak, 2018). In order to
promote offerings, ALDI will going to organise extensive marketing campaign and decided its
tagline “Expressing ourselves”. This campaign will help company to increase their customer
base level that has a positive impact on sales and profit of ALDI.
Process: The ambience of ALDI stores is simple which assist in declining cost level of
company. The layout of stores is easy as well as convenient for customers to find products
quickly. In addition to this, company put barcodes on their products which help in giving fast
billing service to customer.
People: It is important for company to offer quality and on time service to customers and
for this, ALDI provides training session to its employees which has a positive impact on their
productivity and efficiency level. Furthermore, its design of stores is easy and customer can
easily pick products as there is no use of any staff members. Thus, it decline cost of company
and assist in earning higher profits in a proper manner.
Physical evidence: The Company offers same price of groceries at all the stores globally.
In addition to this, it provide 20% less rates as compare to the price charge by customers as
ALDI purchase products in bulk due to which they have high profit margins (Hua, 2019). It raise
sales of company that effect on its market position and market share in a positive manner.
From the above discussion, it is determined that adoption of market mix tool assist
companies to target right customer at right place and on right time as well. Moreover it also helps
an organisation to attain their desired goals or objectives within specified time period.
How to improve customer service level
There are many ways that can be adopted by ALDI in order to make improvements in
customer service are as follows:

Customer Feedback: It is important for companies to take feedback from customers after giving
them services as it assist them to gain an insight of customer perception towards company
product and also help in bringing positive change in the goods and services offered by them in
market. It also helps ALDI to gain knowledge regarding customer taste and preferences so that
they ca offer accordingly and retain in market for longer time period (Ziemba, Jankowski and
Wątróbski, 2018). This will make customers feel valued and important to purchase product by
ALDI and there is a spread of positive message from one customer to another customers which
leads to increase in sales and profit of the organisation. Furthermore, it aid company to gain
competitive advantage at marketplace and gain higher success in a proper and effective manner.
Provide Training to customer service Team: By the assistance of training, ALDI can
easily uplift skills and competencies of employees who give services to customers. It help ALDI
to provide quality as well as on time service to customers which build positive image in the mind
set of customers. This will create value of company in market that has a positive impact on its
market share and revenue level. Moreover, training assist staff members to handle or deal with
customers queries in an effective as well as proper manner. Giving training to customer service
team occur cost to company but give higher returns in coming future which assist ALDI to reach
on high position and gain success rapidly within the market.
Using Advanced Technology: In this competitive world, technology is changing rapidly and
influence on the performance and profitability of the organisation. Along with this, it also effect
on purchasing behaviour of customer as they prefer to buy or consume those products and
services which is new and innovative in market. It is important for ALDI to use advanced
technology in its process so that quick and effective service is given to customers that helps in
improving customer service level (Sander, 2019). Using of advanced technology assist ALDI to
solve customer queries rapidly that leads to retention of user for longer time period or it may turn
towards loyal customer for the organisation. Furthermore, it assist ALDI to not only improve
service level but also earn higher profits within short span of time and compete with their in
market efficiently and effectively.
CONCLUSION
From the above study, it is concluded that marketing plan includes overall actions as well as
strategies which assist in achieving objectives on time period. By the assistance of market audit,
it is easy for companies to identify market trends and customer requirements that leads to

customer retention and satisfaction as well. Furthermore, marketing mix allows an organisation
to target right as well as potential customers due to which a company can enhance sales and
profit level in an effective manner. Moreover, there are various methods such as using advanced
technology, customer feedback which assist companies to improve their customer service level.

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