A new ad campaign from Aldi highlights the ‘brand-like quality’ of its products as the discount retailer grows its market share.
According to the latest Kantar Worldpanel data Aldi has grown its market share from 2.9% to 3.1%, with the supermarket chain attributing this growth to the emerging trend of consumers turning to it for product quality combined with low prices.
An Aldi spokesperson said: “It is our range of brand-like quality products that is attracting consumers and keeping them returning to our stores. People are looking for value, but they are also demanding high quality and more for their money.”
This brand-like quality of Aldi’s products is the focus of a new ad campaign created by McCann Manchester, with well known consumer brands pitted against Aldi equivalents. The campaign starts with Aldi’s tomato ketchup being liked along with Heinz Tomato Ketchup, and future ads will feature a host of popular brands and Aldi products.
The TV as, which air from today on ITV, Channel 4, Channel 5 and satellite channels, put emphasis on Aldi being ‘like brands only cheaper’.
Aldi’s spokesperson continued: “Our new campaign is not about saying our products are better than the popular brands. We are saying our products are like the brands, but cost significantly less. Low prices help to attract consumers, but it is high product quality that really drives repeat store footfall and purchasing.”
You will be sent a verification email. Click on the link in the email to post your comment.
Comments
I am sure there will be a lot of comments to the negative, so I'll hop on the alternative road; makes a lot of sense for the brand. The main problem will obviously be acceptance and Aldi giving the message time to embed!
No negativity here. I think that's a pretty charming little offering.
comments
I like this - straightforward and gets the message across - however I agree with the time to embed from anon 14.21. A brand like heinz has customers who are massively brand loyal and will pay for it even though it's a bit dearer (lurpak, anchor and heinz beans are probably other good examples) I'd certainly not be too interested in buying Aldi ketchup as I just wouldn't be confident that it would taste as good as heinz - maybe they need to do some sampling in a few key product categories to build that confidence. Just a thought.
Me again: 14.21
I am with you on that Paul (and if you are the Paul Foley ex Aldi then we're both coming from a point of experience).
A lot of the products stand up to comparative scrutiny, but I think Ketchup is a) not quite there as a similar quality offering and b) just one of those that people are hard to convince away from!
There are plenty of actually, very good Aldi alternatives (better than Tommy K).
It's really a hard one to call - which would be the ideal product to lead with, as there are so many brand loyalists across the key verticals you could choose from!
Either way; again, a good stab in a hard marketplace.
Problem with this idea, is that the people that actually buy the product are more discerning, brand identification and selection is driven by experience and loyalty, a child see's red and likes both (to her they are both ketchup). When the price differentiation is so significant, adult differentiation will rationalise price/quality/flavour.
Supermarket own-brands have been taking market share from major brands for a number of years, the current economic climate will support this phenomenon for a while, Aldi would do better to concentrate on a different proposition that makes Aldi more relevant to consumers.
comments
Hi Anon 14.21
I wish i was the Paul Foley from Aldi - I'd be totally frickin loaded for one thing! I've never actually shopped in Aldi simply out of the fact that I don't drive and it's not easy for me to get to on foot but I have heard plenty of good reports. Fully agree with you about it being a really hard one to call as to which product from the key verticals to choose as it's in these areas that there is true brand loyalty and in many cases a difference in taste. Any ideas?
Anon 15.17 - completely agree with the price/quality flavour rationalisation - exactly what went through my head when I saw the ad
15:17, I'd say that using a child was deliberate. The first thing to go from the branded purchases in tough times is the stuff you give to your kids - precisely because they aren't brand loyal. Give little Katy Aldi Krisp Ricies and she'll never notice the subtle taste differences.
I also think the cute factor outweighs any high-level rationalisation argument when you're talking about a target audience of low-level, budget-conscious parents.
comments
What a refreshing change. Helpful, understanding and rational comments/debate/discussion.
Good stuff, simple message and very charming delivery.
Speaking as an occasional Aldi shopper, I genuinely believe that some of their products are right up there. Their packaging mimics some of the brands they are targeting - possibly offering some psychological reassurance (at the same time offering a little comedic value).
Where this concept slightly falls down (and I do mean only slightly) is that the overall message (and I believe why people go to Aldi) is that you can save a SIGNIFICANT amount of money by shopping there and (as this advert suggests) not compromise too much on quality.
While I am not a fan of mixing messages, it feels like there needs to be a supporting 'see how much you can save' hook that is broader than individual products (although I completely appreciate that it's easy to say it but quite hard to cram all that in alongside the brands message and that's even before you've ruined the tone and confused everyone).
All in all, makes sense and a good effort.
Like it
Heinz Ketchup. Aldi Ketchup. There's only one way to solve this. FIGHT!
Or. Experiential. Taste challenge on the high street.
Worked for Pepsi. Unless of course the Aldi Ketchup tastes of old socks.
comments
I agree that experiential is the way to go here, they will definitely need to get people over the barrier of inferiority. In the current landscape, experiential (not sampling Paul... :) will help push loyalty. If I have the chance to understand the brand values whilst trying the product the way I'd be accustomed to, then I may make the conversion whilst also garnering savings.
Like the new Yorkshire Tea adds, the trial should have led the advertising, not the other way around. But this is only a suggestion - not a hard fast rule - but you'd get a 'original' breakthrough.
comments
Experiential was what i really meant Patrick. Dunno why I typed sampling - doh!
comments
Well you know Paul, us experiential marketers have to be a pedantic and diligent bunch!! I remember the days we had to compete against 'bingo divas' doing sampling at Costco... Those were sad days.
Very good ad.
comments
I'm an old-hand Aldi shopper, and am more than a little bit peeved that since they are putting themselves forward as the 'new M&S', many of the items I loved have disappeared from their shelves.... eg prize-winning Pestos, everyday cannelloni and lasagne, 'selection' balsamic vinegars, which used to include white and red - now it's all BLACK, which is still nice, but the red one was prettier in my kidney-bean-pasta salad, pine-nuts were 99p a bag, now disappeared, 5-minute-cook flavoured rice - GONE, now some poor substitute which takes 20 mins ........ I still shop at Aldi, but I am feeling cheated by their abandonment of genuine cut-price shopping in their race to be in the top five.
Write Your Comment