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Marketing Campaign Plan for Aldi

University: London School of Commerce

  • Unit No: 9
  • Level: High school
  • Pages: 13 / Words 3177
  • Paper Type: Assignment
  • Course Code: N/A
  • Downloads: 255
Question :

This sample will let you know about the:

  • Discuss about the 3 main marketing objectives for the campaign.
  • Discuss about the TOWS matrix and explaining marketing audits.
Answer :
Organization Selected : Aldi

Constructing a TOWS matrix and explaining marketing audits

Threat- Aldi faces intense competition in the market which causes a huge threat to its business as it results in reduced market share and customer base. There are many players or rivalry of Aldi like Best Buy, Walmart etc. Along with this the e-retailers or e-commerce websites such as Amazon moving into the grocery, this also poses a potential threat for Aldi.

Opportunities- Moving for an online business and providing products as per the specifications and preferences of customer seems as great opportunity for an enterprise. Customer needs are growing with a high pace and so there propensity to spend, customers shows willingness in paying premium for the services and even the discount stores could charge higher by way of offering better and quality services (TOWS matrix of Aldi, 2018). There also present large number of the new product range specifically in respect of niche products that offers new type of avenues for the business. Thus, this reflects an opportunity for Aldi in expanding its market towards different segments in accordance to the need and desire of the customers.

Weaknesses- Discount stores of Aldi results in lower profit margins and are heavily dependent on sales volume. Often the company is seen as indulged in an unethical practices such as price discrimination and in treating the suppliers in a bad way for ensuring consistent margins. Aldi requires to have high productivity level for surviving within a market (TOWS matrix of Aldi, 2018). The employees of an enterprise need to perform task in the multiple shifts and are been paid less as compared other similar type of the jobs. This results to dissatisfaction among all employees and leads to high attrition. Discount stores are seen as preferred shopping place mainly for the medium and low income class groups. It seems as very rare in finding out high income group in an organisation and it is still penetrating higher income class group despite of being in market for more than century.

Strengths- Discount chain store such as Aldi survive due to lower prices which it is facilitating to its customers. In such stores, most of those items are sold that the customers uses on a routine basis at a lower price in comparison to other retailers. Discount stores of Aldi develop a strong ecosystem that has altered the most crucial parameters with reference to food retailing. Aldi enjoys a higher level of the customer support from customers & for its wider range of the choices at an affordable prices. The chain is having large number of items that are offered on the basis of rotation which is been advertised through the pamphlets (TOWS matrix of Aldi, 2018). Aldi provides for a great savings through offering the products at lower price than the other shopping places. Discount stores as Like Aldi derives a biggest advantage in having a strong level of product mix. Along with this, it is having premium brands that are non-discounted and private label brands. On the other side, strength of its product mix is been seen as highly differentiated brands and products under each and every category of product. Get Assignment Example.Talk to our Experts!

Marketing audit refers to a comprehensive examination and assessment of the marketing objectives, activities and goals. Under this study marketing audit is been done by using the tool called pest analysis in order to analyse macro environmental factors that influences working of the company.

Political- It relates with the government regulations and political stability within the country that affects the functioning of the firm to a great extent. For example- high taxation demotivate the companies such as Aldi in maximising their respective profits (Pest analysis of Aldi, 2018). Trade barriers which the host country is having would be protecting Aldi, on the other state, trade barriers that country is having with trade partners will leads to harm the companies through preventing the potential exports.

Economical- This factor includes changes in foreign exchange, inflation rate, interest rate, gross domestic product and disposable income. For instance- fall in the disposable income results in declining purchasing power of the people which in turn affects the profitability and revenue of Aldi.

Social- It is the factor that involves attitudes, values, belief and culture which affects operational and marketing aspect of Aldi. With evolving lifestyle of the people, demand for the quality and differentiated product increases which is seen as beneficial for the company's sales and profitability (Pest analysis of Aldi, 2018). However, cultural differences and belief of the people is different in different country so it creates complexity for the company in taking care of all types of cultures.

Technological- It means the technological advancements and the developments which are very essential for an entity (Pest analysis of Aldi, 2018). For example- Aldi is looking for employing self service checkouts which helps in avoiding long queues. This would attract large customers as they can buy even a few product with efficient check out facility.

Justifying 3 main marketing objectives for the campaign

Identifying marketing objectives reflects as reviewing various options that the company is having in order to make effective strategies On the basis of the above findings it has been rep[resented that the 3 main objectives that the company would attain by way of this campaign are as follows-

Increasing market share and competitive advantge- For increasing the market share into the new area, company will be focusing on expanding its footprint in the current market by attaining competitive edge and maintaining healthy relationship with the customers (Teichert and et.al., 2018). Through the campaign relating to Expressing ourselves, Aldi would have to come up with innovative products so that more and more customers will be attracted towards the product and this results to achieving increase in the market share of the firm. Moreover, for gaining a large market share, company will develop effective strategies regarding satisfying the customers need by way of producing the goods as per the specification and the preferences of the customers. By increasing an engagement of the customers by taking their reviews and feedback on the social media could also act as the vital element in increasing the market share in growing world. Developing the referral programs in relation to customer helps in increasing the market share by using word of mouth advertising.

Increasing profit- As the profits of the company are low and declining in accordance to the SWOT analysis made so it acts as the main marketing objective that Aldi should strive for. For achieving this objective company should focus on reducing or cutting down expenses and the overheads along with selling of more and more products that contains a greater profit margins. By making investment in the projects or the products that seems to be highly profitable for the company in the future periods. An enterprise would be focusing on improving its negotiation skills in purchasing the raw materials from suppliers at a lower price, producing low cost products by making optimum use of the resources and selling the goods at higher price helps in ascertainment of increased profits (Rossiter, Percy and Bergkvist, 2018). By focusing on making the sales from start that includes using cost effective method like going online for growing the business, attracting five star ratings by getting the brand mentioned by media and the bloggers.

Building awareness of the Brand- It is the marketing objectives that indicates expanding reach and making people aware about the brand. Aldi by way of this campaign must look for building its presence by promoting its product through advertising on television, hoardings, templates etc. regarding its discount stores. Providing attractive offers and using branded packaging is also a big measure that helps in building presence of brand in new markets and in existing markets. By creating a presence on the social media through creating a website or page is also one of an effective method that helps in building the brand image of the company at a large platform where large customers are present (Key and Czaplewski, 2017). This would also helps the firm in creating a larger customer base and in enhancing the brand reputation of the company on online platform across the world.

Related Sample - Different Types and Purposes of ALDI

Outlining and examining marketing mix for attaining or achieving the objectives formulated over a period of 12 months

Product- Through Expressing Ourselves campaign, Aldi would be presenting information relating to its products so that awareness among the people could be achieved regarding the goods that the company is offering. It offers a wide range of the different food products with in-house brands such as Rich tea biscuits, Elevation, Little journey, Choco rice, Priano etc. It is having stock of around 1350 products comprising of the new items such as Friendly farms with Lowfeit Kefir, Whole milk Yogurt etc (Blut, Teller and Floh, 2018). Such differentiated and quality products helps the company in gaining high market share which in turn increases revenue or sales of the firm that leads to attaining higher profitability for the firm. By facilitating wider choice to the customers helps in gaining loyalty of the customers towards the product and in increasing the overall market share of the firm.

Price- Aldi will be using penetration and demand based pricing strategy in order to induce customers fro buying the quality products at low and affordable prices. Under penetration pricing strategy, company seems to keep its price lower so that average and low income people could also afford to buy the products of the company. Moreover, with respect to demand based pricing strategy, Aldi would set prices after inquiring and determining wants and needs of the consumers and in taking corrective steps for meeting the preferences of the customers in an effective manner. Thus, it is been determined in offering the products particularly of the routine usage at the lower prices without compromising the quality for increasing the market share, profits and well known presence worldwide (Datta, Ailawadi and Van Heerde, 2017). As the firm faces a stiff competition from its competitors, competitive pricing strategy would be used by it which enables in selling the products at lower prices as compared to the rival products.

Place- For capturing a large proportion of the market share, Aldi will expand and spread its business over other parts of the world. This assist the firm in creating brand awareness in most of the countries and leads to increase in profitability. Aldi is having approx 10360 outlets in around 20 countries such as United Kingdom, United states, Switzerland, Netherlands, Italy, Australia, Germany etc. Moreover, it could expand its business into India, Bulgaria, South Africa, Spain etc. which would helps the company in increasing its market share globally and this also results in building a presence of business on a global level (Stead and Hastings, 2018). It will also seeks for widening its distribution network which directly helps Aldi in achieving smooth supply of its goods to the customers and meeting the demand their demand on time so that they might not switch to any other rivalry brand.

Promotion- It is the most important marketing mix in which the company should make huge amount of investment for achieving or reaching to its marketing objectives effectively and efficiently. In order create brand awareness on global arena, Aldi will be using online marketing strategies, campaign and promotional tool by targetting a mass audience. This helps the company in improving its brand recognition across the world. By way of its new campaign that is named as “Expressing Ourselves” Aldi can promote its product in an effective way so that interest of the customers could be gained in purchasing or buying the product of the firm which assist in capturing a wide market share. Through using sales promotional tool that is offering discounts to the customers also acts as the useful strategy in increasing the sales that results to larger profits. This strategy attracts existing as well as the new customers towards the brand which enhance the market proportion of Aldi in comparison to its competitors within an industry and Aldi enables in the attaining competitive edge over its rivalry.

People- In context of this, Aldi will be working with its sales representatives that plays a key role in marketing efforts for attaining higher market share. These representative would helps in providing training to the sales team for showing respect and dignity to customers by taking into account their specifications and preferences. Aldi will appoint for more and more people in respect to its service department in which they are been contracted by the customers in case any kind of issue is faced by customers with regards to company's product. This department will be guiding its customers through a process of getting an issue resolved (Francis, 2018). Company is having people who are works with their suppliers in obtaining the raw material that plays a crucial role in improving and maintaining quality of final product produced. Aldi also has the people who works at the retail stores who helps customers in making decisions about selecting the best or suitable product which fulfils their needs.

Process- In meeting the needs of the customers on quick and faster basis, Aldi will be using various equipments and automation processes. Aldi will the computers for handling it several processes that helps in increasing efficiency and a timely delivery to the customers. The company will be constantly looking foe adopting new ways in innovating and improving processes in context of cost and efficiency. Saving cost eventually results to the lower price of an entity's product which increases its market share and in turn profitability.

Physical evidence- Presently, Aldi sells the product in distinct color packaging which easily identifies on the retail shelves. These are been placed on the special shelves facilitated by company that have distinct design and the color. It makes easier for the customers in locating such shelves within the busy retail stores. Aldi will opt for search engine optimization technique for improving its network on online website which is user friendly and allows the customers in viewing their products in the higher quality images taken from several angles (Pearson and Villanti, 2018). In terms of physical evidence, Aldi will be collecting timely feedback from customers in relation to packaging so that it could make the changes accordingly. Company seeks for setting up their own outlets in which it facilitates a friendly environment for encouraging customers in purchasing their products. Want to get Assignment help? Talk Our Expert Now!

Providing recommendations on the ways in Which Aldi could improve its customer service in being a part of the marketing campaign that is “Expressing Ourselves”

There are various strategies that Aldi should adopt by way of its new campaign for improving level of its customer services that are as follows-

Seeking feedback of the customers- For providing excellent level of customer service, it is important for the company to understand experiences, needs and demands of their customers. Aldi should ensure in providing multiple ways to the customers in sharing their views and opinions regarding an entity's product. The firm through this campaign should connect with its customers in collecting feedback by making them feel as valued and in resolving their issues respective issues. This helps in establishing the trust between company and the customers which in turn builds better or healthy relations with the customers so that level of the customer services resulted as improved.

Strengthening team of customer service- For improving customer service, building strong team is necessary as it helps in strengthening service performance. This could be done with hiring and training so Aldi should organize for training sessions in improving skills of the team that involves patience & empathy, better communication skills, knowledge etc. A representative of customer support service has the responsibility in dealing with different kinds of the customers so they should deal with them professionally and patiently (Siering, Deokar and Janze, 2018). They should convey or communicate with customers in positive way and should strive for a never ending conversations in the way that leaves the customer as satisfied. Aldi should ensure that its representative must have a complete knowledge of the service, products and the pricing plans so that they could provide correct information to the customers that in turn improves customer support service level. 

Best Marketing Assignment Help from our management experts!

Using CRM platforms- Aldi by way of its new campaign that is Expressing ourselves should streamline its workforce by making use of Smart CRM strategies or systems. It enables in ensuring higher level of the customer service standards. It provides for an useful insights about customers that could help in understanding needs of each and every customer, selling faster and facilitating personalized experience. It improves engagement and an interaction of the customers in building lifelong relationships and also helps in making the sales team working more closely with eliminating chances of ambiguity (Stead and Hastings, 2018). Through this company could be able to provide access to the customers for which they were been promised that leads to customer satisfaction. Most of the CRM platforms are seen as accessible on the multiple devices like desktops, mobile devices and laptops that assist the customers at anytime and anywhere across the globe.

Leveraging multi channel services- Company should purchase from the brands that offers a consistent service to customers across the multiple channels fro providing an omni-channel communication. Firm should help customers in switching between the multiple channels for getting quality service consistently (Francis, 2018). This boosts brand reputation and the credibility of an enterprise. Some of the best multi-channel services that should be provided to customers includes mobile services, social media and the self service which improves the level of customer service.

Read Also :- Organization and Business Environment & Report


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