What is Sales and Marketing Strategy of Ehrmann AG Company?

Supermarkets and hypermarkets form the backbone of Ehrmann AG's distribution network. In 2024, the German supermarket sector alone generated €220 billion in sales, with dairy products representing a substantial €10 billion segment. Ehrmann AG's strong market share, particularly around 20% in the yogurt category, underscores its success within these crucial retail environments, where these channels represent 80% of dairy product sales in Germany.

Ehrmann AG has cultivated a significant international sales presence, reaching consumers in over 70 countries. International markets contributed approximately 60% to the company's total revenue in 2024, showcasing its adeptness at navigating diverse regulatory landscapes and retail standards worldwide. This global reach was significantly bolstered by strategic international expansions, such as the establishment of production facilities in Russia starting in 2000.

The company's growth has also been fueled by strategic acquisitions that have broadened its product portfolio and enhanced its distribution capabilities. Key examples include acquiring majority stakes in companies like J.M. Gabler Saliter in 1998, focusing on coffee cream and condensed milk, and the Hainichen-Freiberg dairy in 1992, which became a center of excellence for dessert products.

While specific details on e-commerce and direct-to-consumer (DTC) sales channels are not extensively publicized, Ehrmann AG's substantial investments in digital promotion indicate a strategic move towards omnichannel integration. The global digital advertising market reached an estimated $670 billion in 2024, a trend Ehrmann AG appears to be aligning with to enhance its brand promotion tactics and customer acquisition strategies.

Ehrmann AG emphasizes sourcing milk from German family farms in the Allgäu region. This focus on origin and quality is supported by approximately 2,300 laboratory analyses conducted daily to ensure product integrity.

The brand's core message, 'From the family, for the family,' resonates with consumers. This philosophy aligns with the 78% preference for natural ingredients observed in consumer surveys during 2024.

Ehrmann AG adopts a premium positioning, particularly for products like high-protein options and indulgent desserts. This strategy supports potentially higher price points by highlighting superior quality and unique product attributes.

The company actively innovates to meet current health trends, offering products such as high-protein and lactose-free options. This aligns with the global market for lactose-free products, projected to reach $12.5 billion by 2025.

The launch of 'Almighurt' in 1964 marked a pivotal moment for Ehrmann AG. This fruit yogurt quickly established itself as a market leader in Germany, demonstrating the effectiveness of focusing on consumer preferences for flavor and fruit content.

More recent marketing efforts include campaigns for innovative products like 'Foodie,' a drinkable meal. These initiatives utilize dynamic TV commercials and tailored social media content to generate immediate product awareness and drive initial sales.

Ehrmann AG continues to invest in marketing to enhance brand recognition in 2024, with a particular focus on high-protein items and indulgent dessert options. This reflects an ongoing strategy to appeal to evolving consumer demands for both health and indulgence.

The company's collaboration with Mediaplus since December 2023, adopting a 'Full-thinking' agency model, signifies a strategic shift towards integrated and agile marketing. This partnership aims to improve decision-making and campaign execution in a dynamic market environment.