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Whole Foods

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Anna Walker

on 17 July 2013

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Transcript of Whole Foods

Industry Analysis
Store layout
Targeted advertising
Improved checkout technology

Presented by: Anna Walker, Shawntell Stewart, Chrystal Donnette, Brian Abrams, and Christy Layton
Buyer Power- high

Buyer’s switching costs
Substitute products

Threat of Substitute-

Substitutes with similar products and services
Eating out

Threat of Entry- low to medium

Economies of scale
Product differentiation
Absolute cost advantage

Industry Rivalry-

Diversity of competitors

Supplier Power- low

Competition between buyers
Size and concentration of buyers
Ability to integrate backwards

Industry Analysis: Porter’s 5 Forces

How the Competitors are Reacting to Industry Trends:
Increasing Private Label Products
Maximizing Store Layouts
Focusing on Customer Service

Health and wellness
Prepared foods
Loyalty programs
Nonfood items
Private labels

Whole Foods Market: Strategic Insights
Major Industry Factors to Focus On:

The expanding organic product and private label offerings in competing and non-competing stores

In-store customer experience

Whole Foods Market: Strategic Insights
As Organic Foods become more desirable in the market, competition arises in these areas:

Products Available
Price Sensitivity
Brand Awareness

Whole Foods Market: Strategic Insights
Industry trends indicate a consumer need for a top notch in-store experience. Whole Foods differentiates itself by:

Large, open market-like atmosphere
Positive, engaged staff

1) Expand Whole Foods own private label products

2) Increase marketing/advertising to create more awareness of Whole Foods position as an organic grocer

3) Differentiation
Enhance employee training, hiring, and education and empower them to pass this along to consumers in the store.
Full transcript