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Swot Analysis Of The Retail Zoo Company

1652 words - 7 pages

Assessment Task: Marketing Report - BUS1BUF

SWOT Analysis of The Retail Zoo Company

Executive Summary

The following report provides an analysis and evaluation of the internal and external environments of the company Retail Zoo, however the main focus is on one of their franchises Boost Juice. A SWOT Analysis is a useful tool in producing a new product, it helps determine the company’s future “opportunities from its strengths and will protect its weaknesses and strengths from external factors”.(Bensoussan, BE & Fleisher,CS, 2008).
The information in this report comes from databases, financial articles, company reports, books and academic journals. Boost Juice is a successful business ...view middle of the document...

SWOT TABLE

Strengths

Iconic Brand Status

Strong focus on Boost Brand

Specialises in “healthy products”

High customer royalty

Environmentally friendly packagings

Corporate social responsibility Weaknesses

1.Sales drop in the winter time (Boost Juice)

Limited Multimedia Advertising

Expensive product to produce

4.Low fruit juice manufacturing

Opportunities

1.Supermarket Range

2.Growth through expanding globally

3.Social Media Threats

1.Natural Disasters

2.Economy

3.Many indirect and direct competitors are creating smoothies and crushes (Boost Juice)

* (Coulter, MK 2013); (Boost Australia, 2014);

Findings: Explanation of the SWOT table

Boost Juice is the largest and most well known juice and smoothie franchise in the southern hemisphere. According to the Boost Juice Study Kit, Boost is one of Australia's most successful retail networks, this is the most significant strength as it suggests that Boost Juice has a high market share and their marketing techniques are strong and effective. The next important strength is Boost’s effective advertising and branding of beverages and snacks. The use of “tactical” and “strategic” campaigns have had a positive influence on the business’s overall sales and turnover, in the last 5 years marketing has increased by 94%. Boost’s total average turnover has exceeded $85,000,000 per annum, these figures suggest that Boost’s yearly major and minor branding campaigns increase store sales and customer satisfaction. (Boost Australia, 2014). Boost Juice produces products which are delicious and low in fat, this is a strength for the company as healthy eating is a major demand from consumers who are health conscious. Boost Smoothies are “98% fat free” and are alternatives to fast food or meal replacements. (Boost Australia, 2014). However on the contrary Boost has limited multimedia advertising. When compared to their industry competitors McDonald’s and Dominos, Boost fails to advertise their products on the radio and on TV. (IBISWorld, 2013). Although the company has a colourful and interactive website, and eye-catching stores they are unable to market their new products and innovations through multimedia.

The most significant weakness within Boost Juice is that during the colder months of the year sales drop, this is due to the decrease in seasonal demand. Throughout the winter season the number of sales decreases dramatically, this can become a cost for Boost as their inflow of revenue decreases. If Boost juice can’t generate enough profit they will find it difficult to keep up with expenses and further advance their products in the future. The CEO of Boost Juice believes that in order “to drive sale”, Boost should continue to advertise their company to “keep the momentum of the company going through the autumn / winter period.” (Niche Media, 2009). Boost Juice may also struggles to produce their products during times of natural disaster or economic crisis. These two...

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