Coles Group SWOT Analysis, Competitors & USP

SWOT analysis of Coles Group analyses the brand by its strengths, weaknesses, opportunities & threats. In Coles Group SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Coles Group to benchmark its business & performance as compared to the competitors. Coles Group is one of the leading brands in the lifestyle and retail sector.

The article below lists the Coles Group SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Coles Group SWOT Analysis:

SWOT Analysis of Coles Group

For Coles Group, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.

Coles Group Strengths

The strengths of Coles Group looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Coles Group :

1. Coles Supermarkets command the lion's share of the domestic food and liquor market due to their long history in Australia

2. Unmatched advertising and branding in the Australian retail space. It Uses patriotic slogans like ‘Proudly Australian since 1914’, along with slogans specifically framed for price conscious buyers

3. Coles has very attractive pricing strategies with frequent price cuts & promotional offers from time to time

4. Immensely successful promotional campaigns: eg  in conjunction with Apple Computer and 12 other major suppliers, a campaign titled "Apples for Students”

5. Different levels of generic brands that intend to cater to a specific type of buyer.

6. Impressive online order and delivery/pickup service

7. Coles has more than 800 stores & employs close to 100,000 people

Coles Group Weaknesses

The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Coles Group SWOT Analysis:

1.  Negative publicity surrounding hard-line negotiation with Australian suppliers has marginally hurt the public sentiment towards Coles

2. Compared to competition, the company operates on lower margins

Coles Group Opportunities

The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Coles Group SWOT Analysis:

1. To seize greater control of the supply chain to funnel the produce and harvest profit at multiple point

2. Geographic expansion can help Coles reach out to newer regions globally

3. Sponsorship and marketing exercises can help boost business

Coles Group Threats

The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Coles Group are as mentioned:

1. Intense competition in the supermarket space has led to food prices plummeting to dangerously low margins

2. Consumers getting confused between the different generic brands due to lack of a clear distinctive communication for each

3. Due to convenience, a percentage of the buyers might opt for independents and the smaller retailers rather than Coles

4. The Australian food and beverage market is constantly evolving as competitors enter with game-changing business models and ideas

Coles Group Competitors

There are several brands in the market which are competing for the same set of customers. Below are the top 14 competitors of Coles Group:

1. Carrefour

2. Tesco

3. LIDL

4. Woolworths

5. Walmart

6. Kroger

7. Target Corporation

8. Amazon

9. eBay

10. Home Depot

11. Ikea

12. Costco Wholesale

13. Aldi

14. CVS Caremark

Hence this concludes the Coles Group SWOT analysis.

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About Coles Group

Coles Group Overview
Parent Company	Wesfarmers Limited
Category	Retail
Sector	Lifestyle and Retail
Tagline/ Slogan	Quality food costs less at Coles; Proudly Australian since 1914
USP	Coles are the most advanced yet affordable Australian supermarket chain which is ‘Helping Australia Grow’
Coles Group STP
Segmentation	Retail and Departmental Stores
Target Market	Middle class and premium Australian households
Positioning	Coles retail store helps you fulfill your daily needs and at the same time helps you save

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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