Marketing Essentials: ALDI UK Supermarket Chain Report

This report provides a comprehensive analysis of ALDI's marketing strategies, focusing on the roles and responsibilities of the marketing function within the organization. It examines how marketing interrelates with other departments such as finance, sales, research and development, human resources, IT, and production. The report delves into the application of various elements of the marketing mix, comparing ALDI's approach with that of competitors like Tesco. It evaluates the tactics employed by ALDI and explores the development of strategic marketing plans, highlighting key factors and their impact on the company's market position and customer engagement. The report covers topics such as management information systems, financing, distribution, pricing, promotion, and selling, providing a detailed overview of ALDI's approach to market analysis, product delivery, and competitive advantage.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
P1 Roles and responsibilities of marketing function...................................................................1
P2 Roles and responsibilities of marketing relate to wider enterprise........................................3
M1 Roles and responsibilities of marketing................................................................................5
M2 Importance of interrelationship between marketing and various function of enterprise......6
D1 Analyse and evaluate the key factors of marketing function................................................6
TASK 2............................................................................................................................................6
P3 Comparison of application of various elements marketing mix............................................6
M3 Evaluation of various tactics apply by enterprise...............................................................10
D2 Strategic marketing plan......................................................................................................10
TASK 4..........................................................................................................................................11
P4 & M4 Marketing plan..........................................................................................................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Marketing is appropriate process that are conducted by members to communicate to
public about their items and services. This help organisation to grab attention of large number of
people and enhance sales. Management require to provide quality items and services to
customers to improve market position and reputation. Along with this, they even require to use
appropriate promotional tools to attract people and generate adequate revenue from business
(Griffitts, 2016). Present report is based on ALDI, which is popular supermarket chain
established in UK. Executive require to provide variety of items and services to customers and
fulfil their needs and wants. Marketing department require to perform various roles and
responsibilities and interconnect it with other departments, so that organisation targets and
objectives are achieved timely. In this assignment, marketing mix between ALDI and TESCO is
highlighted which helps administration to analyse their market position and share.
P1 Roles and responsibilities of marketing function
Marketing concept is used by management to inform public about their items and
services; thereby influence them to purchase things to fulfil their demands. This helps members
to grab attention of large number of customers and communicate them about varieties offered by
firm. So, administration is able to improve market share and generate adequate profit from
business. In ALDI; social sites, newspaper, magazine, radio tools are used by managers to
capture interest of people towards their items. So, company is able to compete with rival brands
and position themselves superior than competitors. Thus, various roles and responsibilities
which are associated with marketing department of ALDI are as follows: MIS (Management information system): This tactic defines that subordinates require to
conduct market survey to acknowledge needs and wants of people. This helps
organisation to produce appropriate items and deliver adequate services to customers
(Desai, 2013). As in ALDI, marketing department unit uses various methods to evaluate
and gather information about present taste and preferences of public. So, efficient
decisions are taken by manager in respect to expansion and establish branch in different
nations. Financing: Organisation require to have adequate funds to conduct appropriate business
activities and timely accomplish targets. It is necessary that operations are conducted
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effectively and efficient marketing tools are used by superior. ALDI has strong market
reputation and goodwill, so executive can easily increase their capital. Banks, financial
institutions and shareholders are various devices which provide monetary assistance and
support to firm. Thus, members are able to attain objective and achieve targets within
time specified to them. Distribution: This process specifies that companies require to deliver appropriate items
and services in marketplace; so that people are able to purchase products in according to
fulfil their requirements. Online sites and stores are various tools that are used by ALDI
to provide items to public and make them purchase things in respect to their needs and
wants. This helps firm to enhance their market reach and increase their customer base.
Manager even require to evaluate efficiency of distribution channel used by them. Along
with this, they even require to have accurate information about channel used by
competitors (Malhotra, 2015). Price: This concept defines that administration require to set adequate rates for items and
services to attract large number of customers. It is essential that appropriate amount is
charged by organisation from customers. Marketing department require to have accurate
and complete information about prices that are set by competitors which are selling same
items. As, company's success and growth depends upon value which are set by
management. In context of ALDI; which provide different variety of items require that
manager should set adequate rates for items. This benefits company in grabbing attention
of people and enhance sales, thereby generate adequate profit from business. Promotion: This is prime responsibility which require to be performed by marketing
department. It is necessary that manager frame adequate message to spread information
to public about items and services. Enterprise require to use different types of
communication tools and techniques to establish connection with public (Askeland and
Wright, 2013). In ALDI, adequate advertising tools such as print media, social sites,
public relation, sales promotion, etc. are used by marketing unit. This benefits firm to
attract customers and inform them about varieties of items provided by them. So,
manager is able to grab attention of large number of customers and enhance market
image and reputation.
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 Selling: This activity defined that organisation require to deliver adequate items and
services in market to fulfil needs and wants of people. It is essential that firm outlets are
established in different nations, so that marketing department is able to influence buyers
and make them purchase products in according to their requirements (Murali dharan and
Neha, 2013). ALDI has outlet in various countries, so firm is able to attract large number
of customers. Manager uses various distribution channels to trade items and services to
buyers effectively.
Thus MIS, promotion, distribution channel, pricing and selling are various
responsibilities that marketing unit require to perform. It is necessary that ALDI deliver different
variants of items in marketplace to fulfil demands of people. With help of market survey,
management is able to acknowledge taste and preferences of public, thereby provide adequate
products to customers. Company require to provide quality items and services to clients to attain
their needs and wants. Along with this, marketing manager require to set adequate prices to
attract large number of customers. They even require to formulate efficient strategies for
promotion and pricing, which helps subordinates to enhance sales. Administration require to
generate adequate revenue, so that they are able to hold market share and position for longer
period. Marketing unit require to conduct business operations effectively and establish
competitive advantage. Apart from this, they even require to have information about rival firms;
their product and prices charged by them. Thus, ALDI is able to grab attention of large number
of customers and increase sales volume.
P2 Roles and responsibilities of marketing relate to wider enterprise
Marketing is considered as a business function which specifies that member's duty is to
frame appropriate strategies and take care that quality items and services are delivered by
organisation in marketplace. It is necessary that firm establish competitive advantage to position
themselves higher than rival brands (Baker and Magnini, 2016). In ALDI, manager have frame
appropriate promotion and pricing tactics; which helps company to grab attention of large
number of people. Superiors require to deliver quality items and services to clients to satisfy
them and retain market position. Along with this, they even require to provide set adequate
prices, so that customers will purchase products in according to their demands. Organisation
require to conduct market survey to anticipate taste and preferences of public, thereby provide
them adequate items and services. Marketing manager require to expand business and establish
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branches in different nations. This benefits firm to increase customer base and enhance sales.
Thus, marketing unit roles and responsibilities is associated with other departments are stated
beneath:
Finance department with marketing function: Administration require to have adequate
funds, so that they are able to purchase appropriate assets and material for firm. It is necessary
that money is utilised properly, which help management to make system function in according to
market conditions. If firm have limited wealth, than business person require to utilise it
appropriately (Rudden, 2016). System functionality and activities will be affected, if organisation
have funds shortage. ALDI will be able to make success and growth in market, if management
have adequate capital available. Finance unit prime responsibility is to frame budget for each
division separately, so that adequate activities are conducted in firm. Marketing department
require to establish connection with finance unit, so that manager will be able to take appropriate
money to organise promotion activities.
Sales and marketing function: In every organisation, management require to deliver
appropriate items and services in marketplace. With aid of market survey, superiors are able to
acknowledge needs and wants of people, thereby manufacture products accordingly. Marketing
unit responsibility is to design attractive message to communicate to people about things offered
by ALDI. This benefits sales team to easily grab attention of large number of customers and
make them purchase items to fulfil their needs and wants.
Research and development department and marketing function: People taste and
preferences keeps on changing with time, so it is necessary for superiors to timely conduct
market survey. This helps management to anticipate demands of people, thereby deliver adequate
items and services in marketplace (Hugos, 2018). In ALDI, R&D department execute activities
to research about market trends and communicated accurate information to public. This helps
marketing unit to get accurate and complete information about customers needs and wants.
Thereby, make changes in system such as implementing latest tools and techniques. So, creative
and innovative items and services are provided by firm.
Marketing department with human resource management function: Every organisation
require to have adequate manpower, so that appropriate business operations are conducted.
Employer responsibility is to take care that firm have skilled and competent members which help
them to deliver adequate items and services in marketplace. They even require to establish
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healthy relations with staff members which help them to make them perform tasks effectively.
As in ALDI, human resource duty is to provide tasks to members on basis of their skills and
abilities. It is necessary that marketing unit have sufficient workforce, so that activities are
conducted proficiently. HR manager even require to execute training programs to enhance
capabilities of members and make them perform tasks effectively.
IT department and marketing function: Research activity is conducted by R&D unit
which helps management to acknowledge needs and demands of public. Websites and social
sites are various tools that help firm to anticipate market position and goodwill of firm. It is
responsibility of IT unit to design attractive online sites of ALDI to provide accurate information
to customers about items and services offered by them (Smith, 2014). Along with this, they even
require to implement modern tools and techniques in system; so that quality products are
provided to clients. So, marketing team with help of internet is able to communicate to large
people and operate business globally. Thus, with help if latest technologies management is able
to utilise resources efficiently and improve market position.
Marketing function with production department: Each organisation require to deliver
adequate items and services in marketplace, so that customer's needs and wants are completed. It
is necessary that modern tools and techniques are implemented in system, so innovative and
creative products are manufactured. Marketing team has complete information about taste and
preference of public, so they are able to provide information to manufacturing unit about
customer's requirement. ALDI which is retail store require that different variety of items are
provided by management to grab attention of large number of customers and enhance sales. This
benefits firm to compete with rival organisations easily.
M1 Roles and responsibilities of marketing
Each and every enterprise, marketing unit plays essential part in taking care that adequate
business operations are conducted. It is necessary that organisation should have information
about needs and wants of people, so that appropriate items and services are delivered in market.
MIS, promotion, pricing and distribution are various activities that require to be performed by
marketing team of ALDI. These tasks advantage firm to aware people abut items provided by
them. This helps members to attract customers and influence them to purchase products to fulfil
their needs and wants. Along with this, management is able to utilise market opportunities and
establish competitive advantage.
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M2 Importance of interrelationship between marketing and various function of enterprise
Finance, human resource, production, IT, R&D, marketing and sales are various
department which require to function effectively. These ate various units which are connected
with each other, so system will function in effective manner. This benefits ALDI to utilise
resources efficiently and deliver quality items and services in marketplace. Administration
require to coordinate work of departments and take care that adequate manpower is available in
firm. This help company to make employees perform duties effectively and provide quality
services to customers. Thus, management to attract large number of customers and enhance
market position and share.
D1 Analyse and evaluate the key factors of marketing function
Human resource management, production and finance are various components which are
connected with marketing department. It is necessary that these units work is coordinated
properly, so that system function effectively and adequate items and services are delivered in
marketplace. This helps organisation to grab attention of large number of customers and enhance
sales. Thus, management will be able to attain goals and objectives; thereby firm will acquire
success and growth.
TASK 2
P3 Comparison of application of various elements marketing mix
Administration require to make system function effectively and utilise resources
efficiently, so that goals and objectives are accomplished timely. It is necessary that appropriate
marketing mix is designed by management which helps firm to enhance market position and
share (Wang, Chen and Chen, 2016). Product, price place, promotion, people, process and
physical evidence are various elements which require to be formulated appropriately for ALDI.
This helps company to grab attention of large number of people and establish competitive
advantage over rival brands. So, subordinates are able to easily attain targets and generate
adequate revenue from business.
Therefore, this is comparison of marketing mix in respect ALDI and TESCO which is
discussed beneath:
Basis ALDI TESCO
Product This company has provided TESCO offers a wide range of
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foods products as well as
beverages on affordable and
less price as compared to other
firms. Apart from food
products other goods like
clothes, household and electric
appliances etc. ALDI used to
purchase goods from selected
suppliers after than branded
them with own name by
controlling all productions.
products like clothing,
groceries, electronic as well as
financial services. Along with
this, this firm sells goods of
other branded companies also
in its stores. This firm also
uses product line catering
which aid to meet demands of
every customer on time.
Price Due to lowest prices, this firm
has got success in getting high
number of retention. Along
with this, other policies used
by it are unit pricing strategy
for groceries which help
customers to compare rates of
products with other firms
easily. Marketing penetration
aid to enter into new
marketplace as well as gain
profitable share. Other
strategies used by ALDI are
competitive and psychological
pricing.
Its pricing strategy is based on
cost leadership which helps in
maintaining low price of
products as much as possible.
However, increasing rates of
fuels and raw materials
increase little bit its price of
products. But it doesn't affect
much on sales performance as
measured.
Place ALDI has more than 8000
stores in UK and other
countries. It keeps all the
products in bulk quantity so
Since almost retailers of UK
use two distributive channels
that are online and offline.
Therefore, TESCO also uses
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that demands of customers can
fulfil on time. Along with this,
it offers products through
online services also which
helps in ensuring minimum
waste disposal. This firm has
named its stores according to
regional appearance. But as
compared to other retailers, its
customer service quality is not
much effective.
both techniques to sell its
products. It has near about
7000 stores in all around the
world. This firm is known for
its best customer service also
which helps in enhancing
brand image at marketplace.
But in order to gain
competitive advantage, lowest
price strategy of other retailers
forced TESCO to offer its
product in low and flexible
cost.
Promotion As product of this company is
available on low prices,
therefore, ALDI doesn't invest
much on promotion. It use
'Super Buys' techniques in
which rates of some products
are available on discounts and
changes according to week.
Furthermore, it use additional
techniques like 'swap and
save', 'like brands' etc.
Brand image of TESCO is
much strong than other retailer
companies of UK. This strong
image helps in promoting
products in a profitable
manner. Along with this, it
uses television, newspapers
and social media to advertise
the products as well. For
promoting excellent services
of this enterprise, its managers
offers a club card system to
people. This system allows
customers to collect points and
purchase products on the same.
People ALDI which is supermarket
chain has large area, so
TESCO which is service firm,
require to provide adequate
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employees will not be able to
cooperate with customers.
Store offers various kinds of
items to fulfil needs and wants
of people. Self service concept
is provided by firm, so clients
are easily able to select things
and purchase things on basis of
their needs and wants.
Along with this, company have
skilled and competent
members, so customers get
quality services.
items to people. It is necessary
that employees are skilled, so
that customers get adequate
offerings. As, there are large
number of competitors in same
sector; so it is essential that
appropriate things are provided
in outlets.
Process In ALDI, administration have
set appropriate process and
layout; so customers are easily
able to purchase items.
Employees don't require to
give assistance to people, as
they will themselves select
products and choose things on
basis of their needs and wants.
Along with this, as items are
arranged properly; so
customers are able to save
their time and efforts. Apart
from this, as products have
barcode which helps staff
members to quickly made bill.
TESCO outlet consists various
brands, so customers find it
difficult to differentiate
between items. Firm also
consists various products
which don't have specific
brand name, so people will not
purchase them. So, market
image of company is affected.
Market position will decline
and superior will not be able to
generate adequate profit. Thus,
TESCO will not be able to
compete from other rivals.
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Physical evidence This has been examined that in
marketplace, large amount of
items are delivered by ALDI.
Home products and many
other kinds of things are
provided by firm. This is only
outlet which are providing
grocery items at adequate
rates. The infrastructure of
ALDI is modern and latest
tools and techniques are
implemented in system.
In TESCO, products are
displayed in traditional
manner. Management are
using different colours to
differentiate their items from
competitors.
M3 Evaluation of various tactics apply by enterprise
In ALDI, administration require to frame appropriate strategies and tactics; so that system
function effectively. This helps firm to utilise funds, material and manpower efficiently and
timely accomplish their goals and objectives. Management require to deliver quality items and
services to customers, which help organisation to retrain people for longer period. They even
require to implement modern tools and techniques in system; so that innovative and creative
products are delivered in market. Along with this, training and development programs need to be
executed by superiors to enhance skills and abilities of employees and make them perform tasks
effectively. This benefits ALDI to enhance sales and generate adequate profit from business.
D2 Strategic marketing plan
ALDI require to provide different variety of items and services to people, as it is a
supermarket chain. Management require to frame appropriate strategic plan which helps firm to
grab attention of people and enhance sales. Along with this, they even require to formulate
adequate marketing mix to provide adequate products to customers and satisfy them. This helps
company to increase customer base and improve profitability.
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TASK 4
P4 & M4 Marketing plan
Administration require to formulate appropriate marketing plan which is defined as
written document of firm. It is essential that higher authorities specify activities which require to
be executed by marketing team to inform public about their items and services (Mittal, 2014).
So, employees will be able to utilise resources efficiently and deliver adequate items and services
to customers. Marketing team require to consider these components, so that effective marketing
plan is formulated. Thus, these are various elements which are as follows:
Vision: ALDI wants to become leading firm in grocery sector at marketplace. For this,
management require to provide quality items and services to people. Along with this, company
require to provide products at affordable rates.
Mission: Firm require to provide adequate products to customers in according to their
taste and preferences. It is necessary that adequate things are present in ALDI store to fulfil
demands and needs of people. This helps firm to establish competitive advantage and enhance
market position.
SWOT analysis: It is described as below: Strengths: In organisation, business activities are conducted effectively which helps
management to timely accomplish work and make success. ALDI provide quality items
and services to customers which benefit firm to grab attention of large number of people.
This helps enterprise to enhance market share and generate adequate profit from business
(Pike, 2015). Along with this, as administration have set up branches in different nations;
so executive are able to increase their customer base.
 Weaknesses: In comparison to rival brands, ALDI organisation's size is small.
Management is able to enhance market goodwill at international market, as items are
provided at appropriate prices. But, people may perceive that quality is not appropriate as
products are provided at lower rates. Opportunities: Asia and Africa which are developing countries is adequate opportunity
for ALDI to enlarge business. Business person will be able to increase customer base and
sales. Along with this, they will be able to improve production and enhance productivity.
Besides this, management even require to use appropriate promotional tools to attract
large number of customers.
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 Threats: ALDI have various competitors which are operating business in same sector.
TESCO, ASDA and LIDL are various rival firms, so it is necessary that appropriate items
and services are provided by administration to grab attention of large number of
customers (Pappas, 2017). Along with this, ALDI even require to implement modern
tools and techniques in system so that resources are utilised efficiently and quality
services are delivered in marketplace.
Goals and Objectives: Administration require to formulate appropriate tactics, so that they are
able to make system function effectively. With help of SMART tool, ALDI is able to establish
adequate position in market and provide adequate items and services to people. Specific: It is necessary that goal and objective are framed appropriate and according to
market conditions. Measurable: This specify that management require that goal and objective should be
such that they are able to compute and estimate their effectiveness. Achievable: Goal and objectives require to be such that members are able to accomplish
it by making system function appropriately. Relevant: It is essential that goal and objective require to be adequate (Swenson, Rhoads
and Whitlark, 2014).
 Time: Objective and goals require to have adequate duration specifies by administration.
Segmentation, Targeting and Positioning: Segmentation: ALDI has divided market into segments which help administration to
provide different variety of products in according to needs and wants of each person.
Along with this, administration main focus is to provide quality items and services to
customers to increase sales and revenue (Wu, Kirkole and Huang, 2016). Targeting: Company's prime purpose is to fulfil requirements of public and satisfy them;
by providing them appropriate items.
 Positioning: In Germany, ALDI market reputation and image is effective which helps
administration to grab attention of large number of people. Apart from this, executive are
also able to operate business globally.
Marketing Mix: Product: ALDI which is supermarket chain provide different variety of products to
customers to fulfil their needs and wants.
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 Price: Administration have set adequate rates for products to attract large number of
people in respect to rival firms. Place: ALDI have set up outlets in almost 15 countries, so executive have large customer
base which benefits firm to enhance sales and profitability.
 Promotion: Social sites, advertisement, print media are various tools used by company to
inform to public about their items and services.
Marketing strategy: Relationship marketing strategy is used by administration of ALDI
which help firm to advertise items and services effectively. This tactic helps organisation to
establish strong connection with customers and retain them for longer period (Yee and
Yazdanifard, 2013).
Implementation: ALDI objectives and targets are accomplished timely, as effective
marketing plan is formulated and executed in system.
Evaluation: It is last stage which specifies that management require to ascertain
efficiency of every step and acknowledge variation which require to be taken care. Thus, in
organisation system will function effectively and business operations are conducted
appropriately.
CONCLUSION
As per above report, it can be comprehend that marketing activities help administration to
spread awareness to public about items and services offered by company. Marketing team
require to conduct market survey to acknowledge needs and wants of people, thereby make
departments function appropriately. This helps firms to provide items in according to taste and
preferences of people. It is necessary that appropriate promotional tools are used by firm to
attract large number of people. Social sites, websites and advertisement are various techniques
that are used by management to promote to customers about their variety of products. With help
of marketing plan, superiors are able to give direction to employees about system functionality.
Along with this, it is essential that appropriate marketing mix is framed by organisation which
helps firm to accomplish goals and objectives timely and compete with competitors.
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