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Aldi, Lidl and Netto Supermarkets - Case Study Example

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Aldi, Lidl and Netto Supermarkets

The macro economic players include government's regulations, global economic trends, development of technology, and social aspects of living.
Analysis of the business environment is very important before coming up with a marketing strategy. The marketing style adopted by the three supermarkets (Aldi, Lidl and Natto). The most important players to consider when designing a marketing scheme are the clients and the competitors so that the buyer behaviour can be manipulated to benefit the business by purchasing more while keeping a competitive advantage over competitors (Creevy 2008).
Basically the current business environment shows that the number of buyers is reducing as the credit crisis has led to loss of jobs and the consequence of this is reduced purchases as many people cut down of some expenditure. The current estimated consumer cut down is about 57%. The prices of basic products increased considerably over the past few years according to the estimated at 11% per year.
The three supermarkets are struggling very had to stay at the top of the business and also venturing into other countries like Germany where they have already won the war. The risk of recession presents an opportunity and the three supermarkets have advertised their land requirements in the media and have predicted an enormous increase (Creevy 2008). The three supermarkets should strife to maintain and increase the market share which is currently at 40% combined with over 500 stores.
The marketing mix has been very unique approach as the supermarkets stock assortment of well recognised brands like Nescafe and Heinz plus other Dutch and German products. Over the next twelve to eighteen months, the Aldi, Lidl and Netto supermarkets should improve on their display of products to add glamour. The products range from alcohol brands, bakery, cereals, desserts, sweets, fruits and vegetables, pasta and dried foods, pets and health and beauty. The foods are displayed in fridges and this offers wide-ranging effects of sausage and other snacks. The aisles should be designed in attractive manner in that the discount tags are colorfully displayed with the clothing stacked in an organized manner (Leroux 2009). To diverse the product portfolio, the supermarkets should provide seasonal delicacies like barbecues.
Aldi, Lidl and Netto should adopt price cuts and give offers in order to keep up with the competition from other players in the market like Tesco which is greatly competing with them. The current statistics reveals that the value line of Tesco products is lower making these gods cheaper than those offered by Aldi, Lidl and Netto (Leroux 2009). These supermarkets should now realise that customers are very informed and they a understand that discounts do not imply poor quality hence if the use of offering discounts as a marketing strategy is implemented, then the supermarkets are bound to increase their sales by a greater margin.
Lidl property director has confirmed that the supermarket is ready to take an extra mile in order to keep competitors at bay and this would include stocking and dealing in any product that would make commercial sense (Duxbury 2008). For this purposes the supermarkets have placed their interests to purchase land on the media as mentioned before, this is as a result of property slump.
The supermarket need to maintain good working ...Show more
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The marketing environment basically describes the external factors and issues that have an effect on the marketing practices and business operations. In the UK retail market, the discounters suffer a lot of problems and issues that have propelled the changes in the pricing, distribution, promotion, and display…
Aldi, Lidl and Netto Supermarkets
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