Waitrose Case Study Analysis Essay Example
Waitrose is operating as a grocery retailer in the UK market. Recognized for its customer focused differentiation strategy targeting the upper market with a wide range of quality and fresh products has led to a general consumer perception of being expensive and even unaffordable to some. Major competitors include Tesco, ASDA, Safeway and Sommerfield however Marks and Spencer and Sainsbury’s are fore mostly mentioned as direct competitors as they also target the upper market. 2.) Expand market share by obtaining new customers from different market segments by strategically changing non-customer’s perception of the Waitrose brand as a more affordable one. 3.) Increase product differentiation and market segmentation by appropriate statistical market measuring. SWOT Analysis: Having created a strong internal culture of co-ownership has resulted in satisfied and well-motivated staff because as co-owners they are responsible for the profits and losses and monetary outcomes come back to them. Along with this, the inclusion of pension schemes makes Waitrose an excellent employer. Summers (2005) argues that a company that holds low staff turnover and high staff productivity already has the core foundations to tackle difficult markets. Waitrose currently holds a relatively low market share within the industry, however, with the introduction of category leadership it was able to increase in market share, particularly in fresh produce when other companies remained stagnant or even declined. In order to increase market share a company must know its competitor, to do this they create competitor analysis’s of both direct and indirect competitors and from there create strategic marketing tactics to differentiate themselves from their competitors, Belch (2009). Innovation is critical in all industries, as companies must adapt to the constant changes of consumers demands. Waitrose markets to the upper socio-economic class; these classes have more money and less