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Amazon Grocery and Aldi's

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You are a marketing executive at a grocery store chain and have been asked by your supervisor to evaluate the positioning of two of your major competitors, relative newcomer Amazon Grocery and Aldi's. Amazon Grocery has over 15,000 non-perishable items, half of which are focused on the organic and healthier food-related products market while Aldi's has been shaped as the highest quality food-related products at the lowest possible price. Please respond to the following questions:

1. Think about demographic and socio-cultural trends and changes and explain how each organization's interpretation of these trends and changes has affected its choice of strategy? (1 paragraph)

2. Is their strategy affected by the amount of advertising they do on television and the internet? (1 paragraph)

3. Which organization do you think is currently positioned better and why? (1 paragraph)

4. What strategy would you recommend for the organization you chose based on recent trends and changes? (1 paragraph)

5. How can these strategies improve that organization's image as a "corporate citizen" within the community? (1 paragraph)

Note: on questions #4 and #5 it only needs to be on the organization you recommended on #3. In other words, on #3, #4, and #5, you are only required to respond to either all Amazon or all Aldi's.

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Solution Summary

1. Think about demographic and socio-cultural trends and changes and explain how each organization's interpretation of these trends and changes has affected its choice of strategy? (1 paragraph)

2. Is their strategy affected by the amount of advertising they do on television and the internet? (1 paragraph)

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1. Amazon is trying to capitalize on the trend among consumers to live a healthy lifestyle and consume as much organic and healthy food as possible to avoid the negative impact of stressful and unhealthy life in today's fast paced world. Aldi, at the same time, is trying to attract customers by positioning itself as a "value for money" retailer in today's recessionary times.

2. Yes, their strategy is definitely affected by amont of advertising done on television and internet. Aldi, being a low cost ...

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