Commonwealth Bank SWOT Analysis, Competitors & USP

Commonwealth Bank

Banking and Financial Services

Banking & Financial Services

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Approval of personal loans within the same working day.

Australian citizens and international clients

Australian citizens, international clients and businesses requiring banking services

A bank which provides services in a simple and effective manner.

Below is the Strengths, Weaknesses, Opportunities & Threats (SWOT) Analysis of Commonwealth Bank. Strengths are:

1. The bank owns various brands such as Bankwest, ASB Bank, Commonwealth Securities Limited and Commonwealth Insurance Limited.
2. The bank has operations in various countries such as New Zealand, Fiji, USA and the United Kingdom
3. The bank is the one of largest Australian listed company on the Australian Securities Exchange.

4. The bank is one of the “Big four” Australian banks, in the same league as National Australian bank, Westpac and ANZ.

5. The bank provides services such as Insurance, Consumer banking, Corporate banking, Investment banking, Global wealth management, Private equity, Mortgages, Credit cards

6. The bank has a strong revenue and increasing profit

7. The bank employs over 44,000 employees . The bank is the only financial services organisation to appear in the Dream Employers' top 20 list of preferred employers

Here are the weaknesses in the Commonwealth Bank SWOT Analysis:

1. The bank was involved in controversies which was started by a action group and website called “Unhappy Banking”
2. The financial strength rating by Moody’s provided for the Commonwealth bank is B-
3.The bank sees a loan impairment expense which is a concern

Following are the Opportunities in Commonwealth Bank SWOT Analysis:

1. Implementation of technology into the core banking activities will help the bank to increase its quality of services and hence increase its reach.
2.Initiatives such as “One Commbank” helps build relationships with customers which is very important for sustained growth

3. Expansion of activities in Asia and other emerging markets can help the bank to have long term growth.

The threats in the SWOT Analysis of Commonwealth Bank are as mentioned:

1. The banks activities and profits are affected by the investor confidence in the global economy. A weak economic outlook can lead to stagnation or decline in growth.
2. The bank can face risk due to changes in foreign exchange rates as it has operation based on various geographies.
3. The bank can face default risk due to counter party not being able to meet their obligations influx

Below are the top 3 Commonwealth Bank competitors:

1. National Australian bank
2. Westpac
3. ANZ