Aldi Marketing Essay example

• The average grocery store has 47,000 products which makes it look like there is a large variety of choice – but it is an illusion – there are only a few major companies and a few major crops involved

ALDI has been able to tap a niche in the market that is more appealing to small stores, do not care much about the brand of a product but more to the economic benefit by buying the product in a more economical way.

As Aldi has already established itself as a large discount supermarket chain with over 10,000 stores in 18 different countries including Australia (2001), and holds a large market share in the grocery world due to its business culture and market leading initiatives. This report aims to provide the ALDI board of directors with:

6) Access To Distribution Channels: Big Three have ease of access to distribution channels, for instance through their “Shelf-Space Plans”. These were intended to give their products the most valued positions in supermarkets, offering also a simple resolution to shelf space struggle (space was allocated in proportion to historical sales

The grocery industry has a relatively high market commonality; a lot of grocery stores are somewhat related in terms of technologies used, labor force and the products or services offered in the stores. Differentiation with other competitors is key for survival in this highly competitive industry.

1. Introduction The intended purpose of this report is to outline the nature of the Australian retail market, specifically the retail food sector. This report will then discuss the role of market segmentation and how it has resulted in the emergence of new retail channels available to consumers. The emergence of ALDI as a new retail channel will be the focal point of the report along with a brief overview of other new-coming organizations such as Costco. Through the use of current journal articles, books, internet sites and government publications, this report will outline the benefits of the new retail channels available to consumers, especially in regards to saving on common expenses. This report will also discuss the possible room for

Asda gets its products straight from the manufacturers and then sells them directly to the customers they don’t need to involve a

This screenshot is about how Aldi is opening more shops combined with Tesco, Sainsbury’s and Morrison. Aldi’s expansion plan is equal to roughly 60 to 80 new shops. It wants to double the size in the UK to 1,000 shops by 2022. Moreover, this will affect supermarkets such as Sainsbury’s, Morrison 's and Tesco because they will make less profit, which is a downfall. This means that Tesco, Sainsbury 's and Morrison 's will decrease the prices of the products to enable they appeal to the customers.

Larger stores also offer people the convenience of additional services along with their shopping, for example post office, pharmacy and opticians. By addressing consumer’s expectations and using their buyer power they can offer a choice of products to reflect consumer’s diverse budgetary, dietary, ethical and environmental requirements. Furthermore their global buyer power enables consumers to benefit from choosing exotic produce all year round. With 30,000,000 customers (Bevan cited in Allen, 2009) choosing to use the big four supermarkets on a weekly basis it would suggest that they provide a format that consumers want.

Should Wal-Mart be worried about Aldi? Should Aldi be worried about Wal-mart? Do you believe Aldi to be at a competitive advantage or disadvantage relative to Wal-mart?

6. Store Layout: Store layout is crucial for customers to move. Shoppers won’t need a map to navigate their local Aldi, with a 5 star rating for store lay out. Coles, IGA & Woolworths received 4 stars for their layout.

After researching news releases about the company, it has been determined that the company uses a backward vertical integration system. The company has close relations with their suppliers. Consequently, partaking in a close relationship with the buyers permits the company to create a store brand product that is close to or beats the name brand product. However, the company only offers one name brand product. Moreover, most of the store consists of the Aldi name brand products which conversely, follows the steps of many grocery chain retailers who also carry their

This document represents The i-Fusions Consultant’s Report on BRITA. The company’s current business situation is analysed and various options for action considered. The report aims to identify a clear marketing strategy for Brita in order to address the current issues facing the company the associated falling sales.

This is so different from other supermarkets. Producers can directly control the selling of their products, which is more fair for both producers and customers.

It was a key decision to feature partners in the campaign, which uses them as a point of difference, distinguishing us from our rivals (www.guardian.co.uk ). The targeted customers of their products are richer class. The most important reason that they have loyal customers is because of the quality they provide. The customers of Waitrose believe in the company, such that even if they get the same goods cheaper in other stores (Tesco, Azda) they will still stick to Waitrose. In the product line the fruits and vegetables they put on the market are priced at a premium. “For anyone who enjoys food and can afford to pay a bit extra, it is easy to understand why the chain has built a following”. (www.guardian.co.uk )