Costa Coffee SWOT Analysis 2022 – Costa Company

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Costa Coffee SWOT Analysis

SWOT Analysis Of Costa Coffee analyses the brand through its strengths and weaknesses, as well as opportunities and threats. In the Costa Coffee SWOT analysis advantages and disadvantages are internal factors , while threats and opportunities are external elements. 

Did You Know?

Costa’s first international store opened in Dubai in 1999.

SWOT Analysis is an established management tool that allows brands such as Costa Coffee to benchmark its performance and business operations in relation to its competitors. Costa Coffee is one of the top names in the restaurant and drinks industry.

The table below provides what is the Costa Coffee SWOT (Strengths, Opportunities, Weaknesses, Threats) as well as the most prominent Costa Coffee competitors and includes the market it is targeting segmentation, positioning, and its Unique Proposition to Sell Proposition (USP).

Costa Coffee At A Glance – Costa Coffee SWOT Analysis

Company: Costa Company | The Coca-Cola Company(Parent Company)
Founders: Bruno Costa | Sergio Costa
Year of establishment: 1971
CEO: Jill McDonald
Headquarters: Dunstable, England
Employees (Dec 2018): 18,400
Ticker Symbol: KO
Type: Public
Annual Revenue (Dec 2018): USD$1.186 Billion
Profit net income (Dec 2018): USD$153 Million

Costa Coffee Products & Services: Hot Drinks | Cold Drinks | Savoury Snacks | Sweet Snacks | Cakes And Pastries |

Company Website: The Nation’s Favourite Coffee Shop | Costa Coffee

Costa Coffee Competitors 

Competitors: Starbucks | Tea Garden | Wenheyou | Lite Bite Food | Dunkin Donuts |

Costa Coffee SWOT Analysis – SWOT Analysis Of Costa Coffee

SWOT Analysis Of Costa Coffee examines the brand’s strengths, weaknesses, opportunities, its strengths and weaknesses and weaknesses, as well as opportunities along with dangers. By analyzing Costa Coffee SWOT Analysis it is apparent that the advantages and disadvantages of the brand are internal as opposed to opportunities and threats. are external aspects. We will examine Costa SWOT analysis. Below Is The Detailed SWOT Analysis Of Costa Coffee.

Costa Coffee Strengths – Costa Coffee SWOT Analysis

1. The second largest chain of coffee worldwide: The second largest coffee chain in the world Costa Coffee is the second-largest coffee chain worldwide. It is present in 31 countries and is renowned for its delicious flavor of coffee.

2. The biggest Starbucks chain of coffee in UK: While Starbucks has been the top coffee brand in the US and a few others, Costa Coffee is the most definitely the top choice for the UK and has the largest part of market in 2007. It is the biggest company in coffee production within the UK.

3. The world’s largest activities: Widespread operations Costa coffee has 3,401 locations in 31 countries. The company operates 2121 UK restaurants, 6,600 Costa Express vending facilities and an additional 1,280 outlets across the globe.

4. Tasteful: The fans of Costa Coffee swear by the flavor of the coffee offered by the company.

5. High-quality image: Image of premium quality Costa coffee is working to create an image of excellence around the globe.

Costa Coffee Weaknesses – Costa Coffee SWOT Analysis

1. Large gap between the 1st and 2nd: There is huge gap between top ranked company in the coffee industry versus the second highest ranked. Starbucks has 2400 outlets around the globe, whereas Costa Coffee is around 4-5000 outlets. Therefore, this disparity alone indicates the fact that Costa coffee covers a huge surface to be covered.

2. More aggression is required: This is a different contrast with Costa Coffee and Starbucks. Both brands were established in 1971. However, Starbucks has an presence in more than 70 countries, whereas Costa Coffee is present in just 31 countries. This is an obvious sign the fact that Costa Coffee needs to expand rapidly.

3. Insufficient Marketing and advertising: Lack of Marketing and Advertising Costa Coffee does not spend an excessive amount of money in marketing and advertising for its brand, which is a major adverse for its brand. In this market there is direct and indirect competition such as Tea brands or soft drinks. Therefore, marketing and advertising investment is required to attract customers.

4. Cost: Price Costa coffee is priced higher in comparison with Starbucks and this affects the way consumers think, especially in the developing economies.

5. A high levels in UK: High concentration in the UK Costa Coffee clearly has a extremely high percentage of its main market – The UK and Europe however, it is less prominent across other nations.

Costa Coffee Opportunities – Costa Coffee SWOT Analysis

1. Expanding for other regions: The first thing Costa coffee should accomplish is to grow across more countries. The company has 50 percent of its market share throughout the UK. Costa coffee is served in 31 countries while Starbucks is available in 70. McCafe owned by McDonald’s is becoming more popular, although it doesn’t serve just Coffee and offers other drinks as well. Therefore, expansion is crucial to Costa Coffee.

2. Costa express could boom: because Costa coffee has acquired the name Coffee country, it is able to join with a variety of corporations for their coffee vending machines, and this business is expected to grow in any country.

3. Strategic alliances: There are numerous restaurants in the US and UK as well as other countries in which Costa Coffee can set up strategic alliances, and then deliver the coffee it makes to its restaurant customers. In the same way, corporate tieups ups can help the brand to grow.

4. Strategies for pulling methods: Strategies for pulling Starbucks is known to be clever when it comes to pull tactics, and uses different methods to draw patrons to their coffee stores. In the same way, Costa coffee needs to apply pull strategies and utilize new methods to draw younger customers to its coffee shops.

Costa Coffee Threats – Costa Coffee SWOT Analysis

1. Starbucks: the dominance of Starbucks is the top threat to Costa Coffee quite simply because Starbucks isn’t allowing Costa coffee settle, and is growing very rapidly.

2. Direct competition: There are a variety of regional players and factors when it comes to the sale of Coffee. One of these is the amount of Tea in comparison to Coffee. The UK has a massive amount of tea in comparison to coffee, as do India along with China (largest of tea drinking nations). This indirect competition can affect the revenue and sales that the product earns.

3. The value of the brand is dropping: due to constant competition and the absence of advertising and marketing branding, the value of Costa Coffee is dropping which is a significant danger to the image of the brand.

Costa Coffee SWOT Analysis Template

Costa Coffee SWOT Analysis Template


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