Costco Wholesale SWOT Analysis, USP & Competitors

Posted in Lifestyle and Retail, Total Reads: 14206
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SWOT Analysis of Costco Wholesale with USP, Competition, STP (Segmentation, Targeting, Positioning) - Marketing Analysis

Costco Wholesale

Parent Company

Costco Wholesale Corporation

Category

Discount Stores

Sector

Lifestyle and Retail

Tagline/ Slogan

-

USP

Low priced discount store

STP

Segment

Customers wanting to purchase daily need consumer goods

Target Corporation Group

Middle and upper class households

Positioning

One of the top ten largest retailer in the world

SWOT Analysis

Strengths

1. Present in nearly 600 locations
2. Largest membership warehouse club chain in the United States
3. More than 150000 employees
4. Strong financial position and good revenue performance

5. The brand has high popularity and good repeat customer loyalty

6. One of Largest retailer of wine in the world

7. Costco Business Centers carry restaurant, hospitality, janitorial, convenience store, and professional office supplies

8. Most Costco locations have a food court

Weaknesses

1. The employee 'agreement' is subject to change by Costco at any time and offers no absolute protection to the workers
2. Stiff competition means market share performance is stagnant

Opportunities

1. Tapping the international market specially emerging economies

2. Acquisition of smaller retail chains

3. More visibility through advertising and customer focused services

Threats

1.Labor relations in Canada are not very good
2.Threat from private labels
3.Increase labor wages and demand

Competition

Competitors

1. DIA
2. E-mart
3. Target Corporation


The table above concludes the Costco Wholesale SWOT analysis along with its marketing strategy and brand parameters.

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