A Brief Guide to Woolworths SWOT Analysis

A Brief Guide to Woolworths SWOT Analysis

Many times under management curriculum, while studying the brand effectiveness or brand building, students are asked to do a brand analysis of some established brands of their region. They are asked to use different analysis tools, such as PESTLE, SWOT, etc. Analyzing a company using these tools cannot be easy and therefore students need expert help in Woolworths SWOT Analysis.

Such analysis includes identifying marketing USP, conducting a SWOT analysis, or a deep dive into how the brands manage their customer loyalties. Below is one such example of doing a brand analysis on famous Australian supermarket “Woolworths”. Also, it may help you as a guide for writing Woolworths SWOT analysis assignments. With online assignment help firms, you can find many important topics like these for your reference and also ideas to structure your writing material for various topics.

Let’s Start The Brand Analysis of Woolworths 


Woolworths is a famous Australian supermarket brand that started around 1924. Today they are a huge brand with over one lakh employees with a remarkable demographic expenditure. Their retail chains still sell under the mantra “Fresh Food, People” with an 80% market share under the food retail section. They have more than 1000 stores in Australia, itself and have got a wide range of products available in their retail outlets starting from groceries, bakery products, vegetables, non-veg products, clothes, kitchen items, and footwear. Out of 1000, around 976 are supermarkets and others are convenience stores.

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For analyzing the different aspects of a brand, there are multiple standard techniques used by the management giants such as SWOT analysis or understanding their Marketing strategies, or studying customer loyalty. 

In some sections below, will conduct a swot analysis on Woolworth i.e identifying the strengths, weakness, opportunities, and threats faced by the brand. It’s a standard technique to break down any brand. As a part of the same swot analysis, will also focus on some marketing strategies used by the brand as well as their supply chain management.

Woolworths Swot analysis

Strengths :

It is referred to as the main point and one of the main things which give them some good upper hand compared to others.

  • Market share 

Woolworth is one of the market leaders and enjoys more than 80% market share. The supermarket chain in Australia is entirely controlled by two big players one is Woolworth and the other is Cole. This has helped the company to limit the threats of new entrants into the market. They have made full use of their market share and they hold a considerable position in the Australian Business world.

We understand that analysing market share for a company needs enough time and skills. This is the stage where many students lack and look for academic writers to get help in Woolworths marketing strategy analysis. 

  • Market Segmentation

They have started their business at first by targeting high-end customers only by making all the branded products available at the store. Then, they have given extensive promotion about their product range and they have also arranged private labels also at Woolworth which is also of good quality and is affordable too. These things helped them to gain the trust of both high-class and middle-class customers. They want that all the sections of the community must be satisfied with their products and they make everything available at their stores from big brands to affordable products.

  • Employee Policies

Woolworth has a very employee-friendly policy. They give proper training and other classes to their employees so that they can be well trained and also got a good knowledge about everything. They are also taught to be the helping hands for the customers. It is made to ensure that customers are satisfied not only with the products but also with the treatment and service offered by the staff. There are regular incentives and other perks given regularly to the employees who perform their level best and has given good work consistently.

  • Handling Perceptions very well

The company and managed the perceptions very well. It is because of their extensive marketing strategies and pricing too. They have kept the pricing in such a way that it is affordable and low but also premium also. In this way, they have been able to increase their market share extensively. Woolworth has managed to capture the interests and attention of high-class and middle-class customers also.

  • Strong customer feedbacks

Woolworths is making good use of business analytic tools to understand  most sold items on the shelves. This is done to understand the market sentiments of the customers which will make them increase their stocks from time to time according to the present demand. With the latest business software and tools, they track the shopping bills of the customers also. So, that they can arrange the stocks according to the demand.

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Weaknesses of the swot analysis

  • No global presence

Woolworths expansion is only limited to Australia currently. They need to expand in international markets to compete with the growing international players in this segment..

  • Growing online alternatives

There are plenty of local digital alternatives developing today which are a big threat to these supermarkets especially post-pandemic when people prefer to leave their houses only and only for essentials. Woolworths can think of expanding into a digital delivery platform as well.

Opportunities on the swot analysis of Woolworths

  • Focus on customer experience

The company can try to enrich the experience level of the customers who are coming to the market. The main opportunity is to give them personalized services and offer them new schemes which will make them more loyal towards the company. Customers feel happy and delighted when they are valued and given more experience. They will always feel good the way the staff is treating them and it is all that matters.

Once you are done with the strength, threats, and opportunity, now focus on the threats of the company. If we talk about the threats for Woolworths, it includes growing competition, managing profitability, and more. 

Threats of the Swot analysis

  • Growing Competition

The main competitor of the company is Coles and they are engaged in price wars most of the time. Apart from that, new entrants like Amazon have also entered the food retail market posing as a serious threat.

  • Maintaining profitability

The increasing prices of the raw materials are leading to more difficulties for brands like Woolworths to continue being profitable amidst the international competition. To manage this company has to very keenly manage its supply chain.

Marketing strategy of Woolworths

The marketing strategy of Woolworths is a mix of certain factors. Some key highlights of the same are :

1) A mix of different products under one roof from fresh food to clothing and kitchen essentials makes it one-stop shop for family shopping sprees.

2) Great geographical distribution of retail outlets means having a sufficient number of outlets in all potential geographical locations to increase the market share.

3) Varied price range for all kinds of customers that means the inclusion of multiple brands for similar products to cater from affordable to luxury.

4) Effective promotional strategy using social media wherein customers are notified at a regular frequency about the new products, ongoing discounts and sale.

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