Strengths
- In store services and environment (cooking classes, wine tasting, catering, live music, etc.
- Privately owned (flexible & focused strategy)
- Private label brands targeting three separate market segments (high value, Savings, and exceptional quality)
- Large online and magazine source of tips, articles, guides, and recipes which help generate traffic and loyalty from customers
- Sobeys has a financial strength rather than a physical presence with many locations in the states (25th largest retailer in U.S. despite only operating in TX)
Weaknesses
- Unfamiliarity with Canadian market
- Distance from current warehouses to market
- Agricultural trade restrictions
- Tight real estate market and land use regulations impeding large scale entry or growth strategy
- Capital financing resources
- Regional store and private label brand recognition
- No French influences or experience
- Higher prices than some competitors
Opportunities
- Well established in every province (over 100yrs)
- Large number of high tech wholesale distribution centers
- Brand recognition for fresh and healthy foods
- Established private label brands for high quality and convenient high quality
- Loyalty inspired by Inspired Magazine, Club Sobeys, locally sourced products, and community events
Threats
- Relies on outside trucking company for supply chain transfers
- Dispersed brand under 14 different banners
- Limited focus on prepackaged non-frozen goods or general merchandise
- competitors (such as Loblaws, also Wal-mart, Food basics etc. can be as well because they also sell the same products ( being groceries).
Have any other Strengths, Weaknesses, Threats or opportunities that you think I missed? If so what?
What do you think about Sobeys Weaknesses? Does it make you think twice before buying their products?
Are you looking forward for the Improvements Sobeys is planning on making?
Please comment and let me know if you have any questions and/or positive feedback and even any constructive criticism. Thank you!
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