Case
k201 Aldi milestone 1
- Course
- BUS-K 201
- Institution
- Indiana University
k201 aldi project, milestone 1
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Individual research- Gather insights & data
- Contribute to development of team’s AI integration pitch for ALDI (US only)
- Understand ALDI US, retail industry, potential application of AI
Goal:
1. Comprehend ALDI’s US operations
2. Grasp potential of AI within retail landscape
Research articles selection
- Reputable academic databases or business sources–2 recent articles (within last 5
years)
- IU library
- Google scholar
- Article 1
- Relevant data about ALDI US stores, US grocers, or retailers
- Cite & summarize
- 150 words
- Highlight main findings, data presented, relevance to theme of project
- APA citation, incl links
- Article 2
- Delves into use of AI among ALDI, US grocers, or retailers
- Cite & summarize
- 150 words
- Highlight main findings, data presented, relevance to theme of project
- APA citation, incl links
Submission
- geothom-Milestone1.pdf
ARTICLE 1
- Use strong customer advocacy and ability to lure customers into cross shopping
- Consumer advocacy rose to 55% in 2018, from 48% in 2017
- Outperformed in “best everyday low prices” and “best value for the money”
- Strongly value keeping prices low and minimizing cost wherever possible
- Has more than 3% share of grocery spending
- Investing heavily
- Launched $3.4 billion expansion program; goal of increasing footprint from 1800
to 2500 stores by 2022
- Launched $1.6 billion remodeling program; expanding existing 1300 stores and
widen product selection
- Implemented instacart services
- Price is most important element with hard discounters; then, price perception between
incumbents and hard discounters; finally, 5 rules for competing in grocery landscape:
- Embrace private brands/labels (ie store brand)
- Kirkland brand
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