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It’s Beginning to Look a Lot Like Aldi

Friday, November 23, 2012
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If you've noticed the high-profile Christmas campaign for Aldi this year (see the two example videos below) you may be interested in this article from Yahoo which gives a few pointers as to how the company have managed to turn the recession into a major profit-making opportunity.  

Whilst the major TV campaign shows that Aldi are now in a position to market themselves to directly compete with Morrisons, Sainsbury's et al, the article shows how the key to their success lies in the 'Product' aspect of the marketing mix - their profits up by an incredible 200% over the last two years.  By minimising the use of big-name brands and concentrating on  giving value-for-money with their own home-branded products, Aldi have given cash-conscious consumers a genuine alternative to the more established supermarkets in the UK.

It was interesting to hear from Judith McKenna (COO of Asda) at the tutor2u Business Teacher National Conference 2012 when she said that of all their competitors, Asda felt the biggest threat came from Amazon (who have launched online grocery delivery) and Aldi - who she rated highly. It looks like Aldi may indeed be the emerging force in UK grocery retailing.




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