Wool worths SWOT Analysis

Wool worths SWOT Analysis
Wool worths SWOT Analysis

Students who pursuing management as a core subject in Australian universities need to deal with numerous assessments among them one is very important called “Analysis of Woolworths”. This is one of the famous companies that have a chain of supermarkets all across Australia. The motto of Woolworths is to deliver expedient and appropriate shopping. As per the latest survey, it is the 2nd largest retail company that operates in two different countries like Australia and New Zealand. While if we talk about the products, the main products are vegetables, fruits, health products, meat, DVDs, baby supplies, packaged food, and many more.

With more than 2 lakh employees the company holds AUD$ 55.669 billion revenue last year while the profit was 2.326 billion Australian Dollars. The major areas of Woolworths are supermarkets, merchandise selling stores, hotels, gambling, liquor retailing, online stores, general merchandise selling stores, etc.

In this article, we are going to describe the Woolworths SWOT analysis. This analysis may become very helpful for you if you are a management student. Let’s get started.

Brief Description to Woolworths SWOT Analysis

SWOT analysis template helps in analyzing the strengths, opportunities, threats, and weaknesses of any company or organization. We can say that is one kind of strategic planning. While the motto of this analysis is to determine and assess numerous internal as well as external factors of the organization or company. Here we are going to discuss the SWOT analysis results of Woolworths.


As we discussed above, this is the first step or beginning activities to find out the gamut of maneuvers or the strength and possibility in the best way. Here are few strengths points of Woolworths:

  • Market leadership: Woolworths and Coles are the two main market leaders in Australia. Both of these companies govern the majority part of the Australian retail market. In this situation, while Woolworths takes around a major 80% part of the Australian market which means it has lower competition for Woolworths. The huge percentage of market share also reduces the threat of competition in a magical way.
  • Managing perceptions: in any company balancing segments and managing perception play a vital role in the growth of the organization. In the case of Woolworths, they focus on managing perceptions and balancing segments by using pricing strategy and promotion policy. As result, it is not much as premium but not comparatively low.
  • Employee policies: the company never forgets to focus on employees training and courtesy. The company also offers many perks and bonuses at regular intervals to ensure each employee’s satisfaction. All of these perks and bonuses always apart from salary.


The simple meaning of weakness is that terms in which companies need improvement in a particular area. Following are the weaknesses of the Woolworths:

  • Very confusing positioning: Woolworths uses the same products in few income segments. This creates confusion in consumers. They think about the value prices about the offers in the supermarket.
  • Partial behavior to market: Woolworths is a kind of Retail Company that is mainly focused on better services and products. This makes confusion by targeting premium as well s value segment. 
  • Price wars: As we discuss above, there are two major companies in Australia Coles and Woolworths in retail industries. The company has to always fight for the price of the Coles. To avoid competition Woolworths made many blunders in pricing which results in huge losses.


Concentrate on different experiences: majorities of retail chains in Australia have the same thing to provide or to service in the value segment. 

  • For Woolworths, it is an opportunity to involve in different creating things in the store like self-checkout, personalized services, personalized loyalty schemes, AI-based shopping assistants, etc. all of these creative activities become helpful for Woolworths to make a positive impact in the market.


  • Competition: For Woolworths, Coles is one of the biggest competitors. On the other hand, Amazon also entered into food retail which can be a serious matter for the company.
  • Focus on health: today people are more concentrated on shopping. They also give first priority to their health. It creates a huge demand for organic and chemical-free products. Woolworths need to change their products in terms of market growth.

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