Coles Group SWOT Analysis, Competitors & USP

Coles Group

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

Segment

Retail and Departmental Stores

Target Group

Middle class and premium Australian households

Positioning

Coles retail store helps you fulfill your daily needs and at the same time helps you save

Coles Group SWOT Analysis

Strengths

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

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

Weaknesses

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

Opportunities

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

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 Competition

Competitors

Below are the top 14 Coles Group competitors:

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