Join our community of smart investors

What can investors learn from the Colin the Caterpillar cake war?

In a digital economy, intangible assets such as intellectual property are of growing importance
What can investors learn from the Colin the Caterpillar cake war?
  • M&S has taken legal action against Aldi, claiming the budget supermarket infringed its trademark on caterpillar-shaped cakes
  • From tech to pharmaceuticals, protecting intellectual property is now key to success in many sectors

“I buy this tea for my husband,” an elderly woman says to the camera, gesturing towards a £3 box of PG Tips. But, she adds, turning towards a £1.99 box of Aldi own-brand, “he also likes this one”.

Aldi’s shake-up of the UK grocery market began in the early 2010s with a series of ads like this. With the tagline “like brands, only cheaper”, the German supermarket made its business model clear from the start: it would make products very similar to the ones Brits already knew and loved, and sell them at a fraction of the price.

To continue reading...
Join our Community of Smart Investors
  • Independent full-length company analysis
  • Actionable investment ideas and recommendations
  • Expert investment tools and data
  • Stock screens from Algy Hall
Have an account? Sign in