Marketing Essentials: Analysis of Marketing Strategies for ALDI

This report provides a comprehensive analysis of marketing essentials, using ALDI as a case study. It begins by defining marketing concepts and outlining the responsibilities and roles of a marketing manager, including launching new products and creating marketing plans. The report then explores the interrelation of the marketing department with other organizational functions such as finance, production, human resources, and research and development, highlighting the importance of effective communication and coordination. Furthermore, it examines the marketing mix (7Ps) of ALDI in comparison to its competitor LIDL, evaluating product, price, place, and promotion strategies. Finally, the report includes a discussion on the creation of a marketing plan for ALDI, incorporating various marketing strategies. The report emphasizes the significance of marketing in driving revenue, determining consumer needs, and achieving business growth targets. The report emphasizes the significance of marketing in driving revenue, determining consumer needs, and achieving business growth targets.

MARKETING
ESSENTIALS

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK1.............................................................................................................................................1
P1.Responsibilities and roles of a marketing manager...........................................................1
P2. Explain roles and responsibilities of marketing related to wider organisational context3
TASK 2............................................................................................................................................5
P3. Marketing mix of ALDI...................................................................................................5
TASK 3............................................................................................................................................7
P4. Marketing Plan.................................................................................................................7
CONCLUSION..............................................................................................................................10
REFRENCES................................................................................................11

INTRODUCTION
Marketing is a process through which customers get attracted towards the products of a
company. Factors like research, analysis, requirements and needs of consumers plays an
important role in this aspect. Marketing involves all aspects related with business such as product
manufacturing, distribution and sales, advertisement etc. Without marketing concept, even the
most valued product fails to reach the potential customers (Wirtz, J., 2012). In this report,
research is carried out in the context of ALDI which is a German brand and manufacturer of
food, beverages and household goods. It was founded by Karl and Theo in 1913 and situated in
Essen. It is a brand related with discounted supermarket chain. This report will include the
concepts and different process of marketing. Also, responsibilities of manager along with
relation of marketing with other departments is mentioned. At last, strategies like marketing mix
and market plan is for ALDI is discussed.
TASK1
P1.Responsibilities and roles of a marketing manager
Concept of marketing
Marketing is a concept through which firms carry out analysis and research in respect to
their potential customers (Akaka, M. A., Vargo, S. L. and Lusch, R. F., 2013). These analysis
helps the company in formulating effective strategies. This will help ALDI in gaining wide
market popularity and high sales growth. Five kinds of marketing concept are widely in use:
 Production concept: It is one of the oldest business concept. It includes consumers will
buy those goods only which are not more expensive and available with ease. To take this
concept into use manager of ALDI needs to focus on production efficiency and less
product cost.
 Selling concept: It states that if products are not well promoted then people will feel
reluctant in buying them. It is very important for ALDI to undertake effective promotion
efforts that will increases there sales widely. ALDI can use this approach in case of
overcapacity of products (Silver, L., et. al., 2012).
 Marketing concept: This approach is based in accordance with the targeted market. Here,
goals of an organisation is achieved through producing and distributing better products to
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potential targeted market. It is a “customer first approach”. ALDI can target particular
section of people to fulfil their desired needs.
 Product concept: According to this concept, customers will buy products in accordance
with their quality and performance. Improvement in old selling products is the core of
this approach. For this ALDI needs to increase the quality of their products keeping in
mind the low prices.
 Social marketing: In this approach, aim of a company is to satisfy their clients more than
their competitors. In context to ALDI, firm should focus on well-being of both customers
and society.
Current and future trends of marketing is measured according to the needs of business.
Globalization and technology advancement highly impacts the field of marketing by introducing
new concepts everyday (Arguello, N., 2013). These factors are not independent and carried out
in relation marketing approach. ALDI can focus on daily requirements of potential clients along
with taking care of future needs by improving the quality of goods and services.
Overview of different marketing process:
Marketing is a set of various activities that results in high production sales and
satisfaction of customers. It includes sales, advertisement and distribution factors. To introduce a
new product market research and segmentation is a basic step. Several factors like pricing
strategies, budget, desired goals of firm must also given consideration. Marketing process if
implemented in an appropriate manner will leads to high profit margins and increased sales for
ALDI along with desired satisfaction of targeted customers.
Roles and responsibilities of a marketing manager:
Marketing resources of a company are managed under the supervision of marketing
manager. Manager needs to be polite, patient, friendly and easy going person to carry out its
responsibilities efficiently (Functions and Responsibilities of Marketing Manager, 2016). In
reference with ALDI, manager must be highly focused and capable to manage budgets and
timelines of company.
Roles:
 To launch new product: Manager needs to study the wants and demands of market
deeply. This will help ALDI in attracting new customers and retaining old ones which
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will affects the overall market shares of firm in a better way. Sales and profit will
increase.
 To create a market plan: It is under the supervision of manager to develop an effective
plan which will determine the marketing strategies for a specific product. In context to
ALDI, manager must take care of tactics like advertising, promotion, sales etc. This will
help ALDI in proper utilizing their resources.
Responsibilities:
 Responsibility towards customers: It is the responsibility of manager to study the needs
of clients and provide them required goods and services. Marketing managers of ALDI
needs to educate their clients about the appropriate use of introduced products and solve
the grievances of customers (Bačík, R., Štefko, R. and Gburová, J., 2014). This will
increase the market sales of firm.
 Responsibility toward organisation: Manager has several responsibilities towards the
firm. This helps the company in achieving their desired goals. To increase the brand
reputation and earnings of ALDI, marketing manager must plan, co-ordinate and control
all market related activities like sales, promotion & advertising.
P2. Explain roles and responsibilities of marketing related to wider organisational context
Interrelation of marketing with different functional department:
To develop an attractive and effective marketing plan close link with other department
within organisation is required. To improve marketing aspect, staff members of ALDI needs to
focus on interrelation between different departments within the firm.
 Finance department: Marketing department is highly dependent on finance department
for budget allocation (Rossi, P. E., Allenby, G. M. and McCulloch, R., 2012). Finance
department manages the funds of whole organisation. Budget for a particular department
is finalised in accordance with this department. It is the duty of ALDI's finance
department to ensure all the issues related with finance such as cash flow and cost
covering etc. Appropriate budget and funds results in proper research and promotion
tactics which enhance the market growth of firm.
 Production department: Production unit take care of producing products that satisfy the
present and future needs of their clients. Marketing department is concerned with
increased sales. Good communication among both department of ALDI will ensure
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standardised product to consumers. Also, orders placed for production by marketing can
be completed in time if work environment is healthy. ALDI's working member must take
care of its relation with production staff for smooth function of work.
 Human resource department: The work of HR department is to select, train and develop
hard working and efficient employees. Along with it knowledge about legal terms and
performance management is under them. HR team of ALDI can help marketing
department in recruiting a person with desired job description (Baines, P., Fill, C. and
Page, K., 2013). They will assist interview and organise induction for new staff member
of marketing department. This will helps the worker in understand their job more easily.
 Research and development: This department deals with the innovation, creativity and
research regarding new products. This unit of an organisation continuously innovate
commodities to take care of future needs of clients. These needs are known to them
because of marketing team which analyse the market trend and requirements. Marketer's
of ALDI must liaise with researchers to ensure that consumer needs are fulfilled. Good
relation between both teams will result in completion of tasks before deadline.
The value and importance of marketing roles:
For managing a business in an efficient way, marketing is a vital aspect. It increases the
revenue of company with the help of strategies like advertising, sales and online promotion etc.
Every aspect of business highly depends upon marketing. Without sales, no company can
sustain. Marketing not only emphasize on determining wants of people but it also creates a need
of product in the minds of customers (Pappas, N., 2017). Without appropriate marketing clients
will never get to know which product is available in market. This can results a heavy loss to the
revenue of ALDI as sales will reduce drastically and market growth will decrease. To achieve
high growth targets effective marketing strategies are needed to give proper consideration.
Conclusion regarding effective interrelationship among departments:
There are various merits of interrelation among different units within an organization.
Effective communication and co-ordination between various departments enhances work
enthusiasm of working staff in the firm. Management of trust issues will resolve many problems
that a growing organization faces most of the time (Baker, M. A. and Magnini, V. P., 2016).
Solved problems will help ALDI's working staff to eliminate fact-checking steps that reduces the
rate of production. A good linkage between different departments will enhance the working
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capacity of employees as performing tasks will be easy. Reduced conflicts between workers of
ALDI will leads to appreciable work performance, which leads to high profit margins.
TASK 2
P3. Marketing mix of ALDI
It is a tool or channel which helps to increase promotional actions and also assists
company to meet its goals and objectives. This tool is also used by ALDI to meet with the needs
and demands of its consumers and increases profitability in allotted time frame (Coombs, D.,
2012Desai, S. S., 2013). By this tool, company can make an effective marketing plan to offer
products and can create values and beliefs among its consumers. In order to analyse brand name
and reputation company follows 7Ps of marketing mix in comparison to its competitor LIDL.
Basis ALDI LIDL
Product ALDI is a retail brand of fastest
growing supermarket chain which
offers grocery items to its consumers
and it operates in UK. The company
focuses on to provide best quality
products to its consumers and at
affordable prices (Mihart, C., 2012).
It sells food and beverages products
with other different products. For
example, ALDI keeps experimenting
new products such as in winter
company offers snow gears, non-
camping gear, etc to modify its
product line on the basis of seasons.
LIDL is a independent grocery
wholesaler with more than 600 stores
and operates in UK. The company is
famous for is good quality products at
lower prices. It provides various types
of baby products to its consumers such
as, wipes, skin care, baby foods, etc.
along with fresh fruits and vegetables.
Price ALDI offers best quality products
and at lower prices to its consumers
which helps them to make consumer
base strong. Company uses unit price
The main focus of LIDL is on
penetration pricing which means low
pricing and more selling. Company
offers affordable grocery products to
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strategy for groceries that is
beneficial for consumers to easily
compare products with others.
its consumers.
Place Company operates in more than 18
countries and have stores above 8000
approximately. ALDI also provide
online services to its consumers
which is helpful for them to check
product details (Mueller, J. P. and et.
al., 2015). It has opened its stores at
different places where consumer can
easily approachable.
LIDL has a good number of
distribution stores which deliver its
product across UK. It has outlets more
than 600 and approx 10000 stores
across Europe.
Promotion In order to promote its product
among consumers ALDI provides
weekly newsletter called 'ALDI
inform' to gives details about new
products. Company uses the
promotional strategy of ATL (Above
the line) and BTL (Below the line) to
advertise its newly products at
market place.
The manger of LIDL runs TV
campaigns in many countries to
promote its products. The company
has also developed mobile apps
namely 'LIDL app' to provide discount
coupons among its consumers.
People ALDI focuses on needs and
preferences of its consumers as well
as its employees. Company provides
quicker scanning facilities of
products to its consumers and also
provides training to new employees
which assists consumers easily at
stores.
The manager of LIDL looks after the
benefits of its staff members and
consumers. It provides training
sessions to its staff so that it will be
easy for them to guide consumers
about their products details.
process ALDI has a sheer structure which LIDL categorise its product with full
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helps its consumers in finding
products easily (Papasolomou, I. and
Melanthiou, Y., 2012). The products
of company have larger barcodes for
quick identification and fast billing.
details so it will be easy for its
consumer to find and also helps to
manage their time frame.
Physical
evidence
ALDI provides better atmosphere
and good packaging of products to
its consumers which helps them to
allure towards the products and
stores.
The design and layout of LIDL attract
consumers towards its stores and
interior of centre is consist of good
ambience and cleanliness which helps
them in making their consumers stays
for a longer time.
TASK 3
P4. Marketing Plan
It refers to that process which helps the company in making overall firms plan. By this
process, company can advertise its products in the market (Gummesson, E. and Grönroos, C.,
2012). In context of ALDI, the manager of this company also use this plan to know consumer
demand for its related products. The plan of marketing also provides guidance which helps
company to improve their performance. Thus, this plan is beneficial for company in generating
future opportunities and to achieve their goals and objectives.
Executive summary
The plan of marketing is made in the context of ALDI, which is helpful for company in
promotional activities. There are various steps such as, overview of the company, mission,
vision, Swot analysis of ALDI and many more which helps manager to implement marketing
plans successfully.
Overview of the company
ALDI is a popular retail grocery brand which operates its business in UK. The company
provides its goods and services to its consumers in approximately 20 countries with having more
than 10000 stores overall. It provides food and beverages items to its customers along with other
new items on the basis of changing seasons (Malhotra, N. K., Birks, D. F. and Wills, P., 2013). It
offers superior quality products with affordable prices. There are approximately 104400 workers
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are performing in the company. Company also offers winter related products such as, snow
gears, non-camping gears, etc to its consumers. The manager of company uses the plan of
marketing to increase sales and profitability margins.
Vision: The vision of ALDI to become a leading company in retail sector by satisfying
customers needs.
Mission: The mission of ALDI is to provide top quality products in affordable prices.
Marketing objective
 To produce cookies with less calories and fat and to increase sales by 25% within 2 to 3
months.
 To increase market share by 12% in upcoming year.
STP: It refers to three stage process such as, Segmentation, Targeting, Positioning to build
targeted marketing plan. It s the process by which a company can know the demand and needs of
consumers that resides in different areas such as, geographic, demographic, etc. This process is
also beneficial for ALDI as it helps to determine consumers of different segments and method of
sales that suits customers habits.
 Segmentation: This process helps to analyse different types customers resides in
segments of market. The manager of ALDI also uses this method to determine consumers
tastes and demand which are living in different sections of market (Jenyo Gabriel, K. and
Soyoye Kolapo, M., 2015). Segmentation is dome on the basis of religion, castes, gender,
lifestyle, etc.
There are various ways to segment market and they are as follows:
Geographic: This can be done in the basis of country, religion, state, etc.
Psycho-graphic: It includes personality, values, lifestyle of people, etc.
Behavioral: It refers to the behavior of people towards product. For example, how they using
products and how much they are liking them.
Demographic: It consists of marital status, gender, education, occupation, etc.
 Targeting: In this, the company targets markets by analyzing the growth and size of
group of consumers (Malhotra, N. K., 2015). This is beneficial for ALDI as it helps to
analyse the sections of customer that are in-favor of company for longer period.
 Positioning: It is important for every company to maintain a proper position of brand at
market place. It refers to creating image of product in eyes of consumers'. The manager
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of ALDI also uses this to determine the company reputation and position in market.
SWOT OF ALDI
SWOT analysis is a strategic marketing planning tool which is used to help identify
Strengths, Weakness, Opportunities, and Threats.
Here are given point that will analysis the SWOT of ALDI.
STRANGTH:-
 ALDI has made a wide distribution channel across the county which is help to attract
large number of customers, That is helpful for business expend in the competitive
market.
 ALDI is providing better and a wide range products for its potential consumers at a
affordable price range.
WEAKNESS
 ALDI business growth rate still slow in the market compare to other competitors, proper
financial planning is also effect its business growth rate (Kennedy, A. M. and Parsons,
A., 2014).
 ALDI is still facing productivity management system which is very important to survive
in their revelry market and technology innovation is also important for it.
OPPORTUNITIES:-
 ALDI has a huge opportunities to expend its business by improving product and customer
management system.
 New store opening and technology innovation are also a huge opportunities for ALDI's
businesses growth.
THREATS:-
 Environment regulation, Government policies and taxation of different countries are also
become a threats for expend its businesses.
 Availability and cost of raw material is also become a threat for expend its business.
Marketing budgets
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year 5th year
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Initial money 5000 10000 12000 10000 20000
Investment 10000 20000 5000 10000 15000
Total 15000 30000 170000 20000 35000
Marketing outlay 2000 2000 1000 1000 2000
Promotion 600 3000 1500 1300 400
Sales publicity 1500 500 1000 1000 600
Direct selling 5000 1000 2000 2000 700
Total 9100 6500 5500 5300 3700
Monitoring and control:
This is an important aspect of organization which helps to determine the whether all the
resources are properly allocated or not. It is important for manager of ALDI to identify
marketing budgets in time (Khan, M. N. and Adil, M., 2013). This plan will help company
manager to know whether the activities are performing according to plan or not. This beneficial
for company to achieve its goals and objectives in allotted time frame.
CONCLUSION
From the above described research, it is concluded that to achieve goals and targets
desired by a company, attractive marketing strategies are needed. To derive a sustainable
performance manager's role and responsibilities needs to be carried out effectively . To create a h
friendly work environment, it is crucial to maintain a interrelationship between all other
departments . The work of marketing professionals is to specify the wants of the customers. For
working smoothly, tools like marketing mix are important. The meritoriousness of a marketing
plan is, it increases revenue sales and turnover of firm with strategic evidences if implemented
properly. These all conditions will leads to overall improved functioning of ALDI.
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