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Digital Marketing Strategy Text And Cases

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Question:

Discuss about the Digital Marketing Strategy Text and Cases.
 
 

Answer:

Introduction

Frequent changes have been taking place in the business environment such as social, culture, political, economic and technology which pushes companies to develop different strategies to cope up with the changes taking place in the business environment. Besides this, adoption of the marketing strategies leads to increase in the customer base of the company which in turn helps in increasing the market share of the company. Companies need to adopt different strategies as per the changes taking place in the business environment for the purpose of remaining competitive in the market (Shankar, et al. 2012). The report will emphasizes on different strategies adopted by Aldi in terms of marketing in order to attain competitive edge over other players in the market. Along with this, it also emphasizes on different marketing strategies that can be adopted by Aldi to sustain competitive advantage over other players in the market.

Background of the company

Aldi is founded by two brothers namely Karl Albrecht and Theo Albrecht in the year 1913 in Germany. It is a common name given to two leading global discount supermarket chains in 18 countries. The company has opened its first store in Australia in the year 2001. The main aim of the company is to provide quality products to customers in Australia at low cost. Besides this, it also makes contribution in the growth and development of the economy by creation of different job opportunities for the people of the country. The company makes effort for the purpose of building strong and harmonious relationships with different suppliers of the products such as farmers, producers and manufacturers. The company procures products from Australia when it did not attain high quality products from other countries. For the purpose of reducing the level of competition in the market, the company provides different opportunities to the farmers in Australia for the purpose of providing fresh produce to the company (Aldi Australia, 2016).

 

Marketing Strategies of Aldi till now

The main goal of the company is to provide quality products to its customersat low prices. Majority of the products offered by the company are exclusive brand of Aldi as it exceeds the quality of products offered by other national brands. The company provides an opportunity to its customers to replace the product or refund the amount paid by the customer if they are not satisfied by the product. The company provides products to its customers at 50% less price than the other national brands. This is achieved by the organisation by the use 0of savings from its business operations and concentrated buying power. The company has also entered in to a partnership with Red Cross for the purpose of providing high quality healthy food to the disadvantageous people of the country (Aldi Australia, 2016).

Along with this, the company has also entered into a partnership with FoodREDi for the purpose of providing information related to health and vital food nutrition to vulnerable families, mentally ill and young people. In this way, the company also aims at spreading awareness about the products and services offered by the company among the targeted customers. Besides this, it also facilitates in providing information regarding the healthy lifestyle to disadvantageous families.  Along with this, the company has also take part in giving donations in not for profit organizations such as One Voice for the purpose of development of first fully self contained mobile shower bus in Melbourne. This bus offers safe place to shave, brush and shower and easy access to free clothing to the homeless people in the country (Aldi Australia, 2016).

 Along with this, the company has also used a Future fish logo on its products that provides information that the fish is from healthy fish population and is certified by the food regulatory authorities of the country. The company has also entered into partnership with Sustainable Fisheries Partnership for the purpose of providing the sea food to the customers by evaluating the fisheries by improving sustainable practices. In addition to this, the company is the f3irst Australian supermarket that has received the approval of the Heart Foundation which checks the nutritional value provided in the products. Thus, it helps in attracting customers and increase its profits and sales of the company. The company has used cost leadership strategy to penetrate in the market (Ferrell and Hartline, 2013).

It has able to achieve large market share in the Australian market. The company works closely with the suppliers in order to maintain the high quality of the products by preserving their nutritional contents. The company emphasizes on the non use of artificial colors in the products offered by the company.  Besides this, the company has also made investment in publishing different advertisements on television. This method helps in spreading awareness about the products among large audience at a time. The television commercial advertisements provide full information related to the nutritional value and price of the products which aids in attracting large number of customers. This is because the company is providing high quality products to customers of Australia at low prices in comparison to its competitors. Besides this, the company has also share the advertisements on YouTube as there is an increased use of internet by the people across the globe (Hougaard and Bjerre, 2013).

The company has planned to open approximately 70 stores in Western Australia. In addition to this, the company receives feedback from their loyal customers through Facebook. The company receives information related to the product being most demanded by its customers on Facebook. The use of social media facilitates in spreading awareness about different products and services offered by the company to its customers. Besides this, it also facilitates in building strong and harmonious relationships with customers. This helps in achieving high level 0f customer satisfaction. The company also provides an opportunity to its customers to share their views and opinions regarding their experiences on its official website which also helps in persuading potential customers to buy the products of the company (Doole and Lowe, 2008). 

 


The company has also provide a customer an opportunity to purchase a product by the use of their phones. The company has launched a mobile application through which customers can order the product from the Aldi store and receives it at their doorstep.  The other method used by Aldi to promote its products is word of mouth publicity. This creates a positive brand image among customers.  In addition to this, the company sends personalized e-mails to its customers regarding the discount offers and schemes launched by the company. This results in attracting more number of customers and increase their loyalty towards the organization. In addition to this, it also send emails and gifts to the loyal customers on different occasions such as Father’s Day.  It is the best way, the company is promoting its products among different customers (Kingsnorth, 2016).

The company keeps in touch with its customers in a regular manner by sending newsletters of the company and providing information related to different products and services offered by the company along with its features, pictures and prices. The company focuses on providing those products to its customers that they want on a regular basis with high quality and low prices. The company has gained a competitive advantage over its competitors due to offering of the high quality products to its customers at very low prices. This is achieved by the company as it procures the products from hand- picked suppliers and sold it under its own brands. This has resulted in lowering the cost of the product and the benefit is transferred to the customer by creating value for them (Wilson, 2016).

The company provides equal quality of the products as provided by other national brands to prove this, the company has conducted blind taste tests and found out that the products offered by the company is preferred by the customers over other products offered by other national brands. In addition to this, the company has also organized the Like Brands campaign for the purpose of providing information related to the quality and value offered by the company.  Besides this, the company has charged low prices for its products to penetrate into the market of Australia which helps in gaining large market share in the industry. After the company is able to capture a significant market share, it has adopted competitive pricing method in which it offers products to its customers at relatively low price in comparison to its competitors. In addition to this, customers are ready to pay premium prices for the products that have high quality (Fifield, 2012).

 


The company also considers other factors such as easy access to the products by the customers so that they can buy the product to fulfill their demands. Aldi has opened its stores at the centre locations of the country in order to make easy availability of the products to its customers.  The company is using above the line promotional methods such as advertisement on radio, television, newspapers and magazines for the purpose of reaching to its potential customers. Besides this, printed leaflets are distributed to the customers who visit the store and people living in the surrounding places. The company uses different below the line methods such as maintaining and building public relations, use of social media sites such as Facebook and Twitter, targeted emails to customers and 3rd party endorsements (Colborn, 2006).

Use of social media sites for the purpose of promotion of the products facilitates in the occurrence of a two way communication which helps in building harmonious relations with customers which in turn facilitates in increasing the loyalty of the customers towards the company.  The company also provides an opportunity to its customers to customize their products which help in fulfilling the needs and demands of the customers. Besides this, it also facilitates in tracking changes taking place in the tastes and preferences of the customers. This helps in making changes in the products offered by the company as per the tastes and preferences of the customers in order to achieve high level of customer satisfaction (Ulph, 2011).

Strategic Marketing Options available for Aldi

The main focus of the company is focuses on the expectations of the customers. For this purpose, it is requisite for the company to sponsor different events which helps in creating strong brand image among the customers of the company. In addition to this, it also facilitates in providing information related to the company offerings to the target audience. It 0is also requisite for the company to provide discounts to customers on the products offered by the company 00on different occasions which results in increasing the sales of the company. There is also a need to develop different marketing partnerships with other companies that helps in spreading awareness about different products of the company to target audience in an effective manner (Ferrell and Hartline, 2013).

 This helps in providing information about the products to the audiences who do not have the knowledge regarding the same and results in an increase in the customer base of the company.  It is also required by the company to provide an opportunity to its customers to provide ideas regarding the changes that can be brought in the product which results in providing products with innovative features in the pro0duct in order to attain premium prices for the product. This also results in meeting the unmet demands o0f the customers effectively and efficiently. Thus, the company is able to gain competitive edge over its rivals (Shankar, et al. 2012).

 

Conclusion

It can be concluded that Aldi focuses on providing high quality products at low prices. The adoption of cost leadership strategy by the company results in providing products and services to its customers at low prices in comparison to its competitors. In addition to this, the company advertises on different media such as television, social media sites, radio and magazines to spread awareness about the products and services to its customers. The company also make a use of social media sites for the purpose of spreading awareness among the customers. In addition to this it can also be concluded that the company should make marketing partnerships with other companies in order to spread awareness about the products and services to the potential customers who do not have the knowledge regarding the same.

 

References

Aldi Australia. 2016. AboutAldi. [Online]. Available at: https://www.aldi.com.au [Accessed on: 22 January 2017].

Colborn, J. 2006. Search Marketing Strategies.Routledge.

Doole, I. and Lowe, R. 2008. International Marketing Strategy: Analysis, Development and Implementation.Cengage Learning EMEA.

Ferrell, O.C. and Hartline, M. 2013. Marketing Strategy, Text and Cases.Cengage Learning.

Fifield, P. 2012. Marketing Strategy.Routledge.

Hougaard, S. and Bjerre, M. 2013.Strategic Relationship Marketing.Springer Science & Business Media.

Kingsnorth, S. 2016. Digital Marketing Strategy: An Integrated Approach to Online Marketing.Kogan Page Publishers.

Shankar, V. et al. 2012. Handbook of Marketing Strategy.Edward Elgar Publishing.

Ulph, C. 2011. Marketing Strategies Used by Intel to Create a Sustainable Market Position. GRIN Verlag.

Wilson, O. 2016.Competitive Social Media Marketing Strategies.IGI Global.

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