Did you know?
Wendy’s was the first fast-food chain to introduce a value menu back in 1989.
Wendy’s main products and services are Frozen desserts, Breakfast sandwiches, French fries, Salad, Chicken sandwiches, Hamburgers, beverages, sea salt fries, soft-serve ice cream mixed with starches, and Frosty. Wendy’s fast food chain recorded earnings of 1.87 billion dollars in 2015. In 2015, they are planning to concentrate on expanding to other locations.
This can only be achieved through a firm with extensive knowledge, experience and innovative strategies. To determine the strengths of the company potential, weaknesses, opportunities and threats, it is necessary to conduct a SWOT analysis by Wendy’s.
Wendy’s At A Glance – Wendy’s SWOT Analysis
Company: The Wendy’s Company
Founders: Dave Thomas
Year of establishment: 1884
CEO: Todd A. Penegor
Headquarters: Dublin, Ohio, United States
Employees (Dec 2020): 14,000
Ticker Symbol: WEN
Annual Revenue (Dec 2020): US$$1.73 billion
Profit net income (Dec 2020): US$117.8 million
Products & Services: Hamburgers | Chicken sandwich | Salads | French fries | Breakfast | sandwich | Frozen dessert
Company Website: www.wendys.com
Competitors: Chick-fil-A | KFC | Good Times Restaurants | Burger King | Luby’s
Wendy’s SWOT Analysis – SWOT Analysis Of Wendy’s
SWOT Analysis Of Wendy’s analyzes the brand based on its strengths weak points, weaknesses, opportunities, and threats. With Wendy’s SWOT Analysis it is clear that the advantages and disadvantages are internal factors, while threats and opportunities are external elements. Here we are going to talk about Wendy’s SWOT Analysis. Below Is The Detailed SWOT Analysis Of Wendy’s.
Wendy’s Strengths – Wendy’s SWOT Analysis
1. Menu :In contrast to competitors such as Mac Donalds or Burger King, Wendy’s gives an experience that is more personal for the patron, which will be more about look of their menu, which includes things like Bacon Portabella Melt on Brioche that is more expensive.
2. Restaurant feel: Though Wendy calls itself a fast food restaurant, the atmosphere and food remind one of a restaurant, which is what makes it stand out over other fast food chains that are available in market industry. The food and service are similar to that of a restaurant. The restaurant-like atmosphere can be considered one of its strengths of Wendy’s SWOT assessment from Wendy’s.
3. Image activation program: The fast-food chain has launched an image activation program that aims to reinvent the entire brand and give it a fresh appearance and feel. The changes that are being made in the Image activation program are adding fireplaces, inviting and comfortable seating options such as booths and lounge chairs with Wi-Fi, flat-screen televisions and digital menu boards and a better concentration on the dining and service experience.
4. Image :Though Wendy’s has also mostly is a burger restaurant however, they’ve managed to establish a more healthy image than the competition. The reason is that their primary selling points are the freshness of the food they prepare and the higher quality and flavor.
5. Restaurant Marketing :Wendy’s is directing an extremely successful campaign for marketing that is being led by the daughter of Dave’s and a brand ambassador named Red. The brand is visible and engaged on various social media platforms such as Twitter as well as Facebook.
6. Attention to millennials: Wendy’s main segment is young people and all of their campaigns are targeted towards this segment including the iconic brand Red which is played by the glam starlet Morgan Smith Goodwin who has many characteristics of the young generation.
Wendy’s Weaknesses – Wendy’s SWOT Analysis
1. Poor geographical distribution: In comparison to outlets such as Mac Donald or Burger King, Wendys is not a widely known brand, mostly due to their limited geographical coverage. Both of the other brands are well-known and have a higher percentage of market outside of the US.
2. Pricey: When compared with their competitors, Wendys are priced more expensive. While they attempt to say that the burgers they serve are better quality healthy, their long-term viability of their more expensive price on foreign markets is not certain.
3. Franchise refranchising :Wendy’s has been trying to franchise their stores, which will lead to decreasing the reputation of the brand. Moreover the company will have to seek gains primarily from the profits of franchisee royalty that might not always be as very high.
4. perishable stocks: Restaurants deal with food and their ingredients , which are perishable. Controlling replenishment and inventory and also the control of stock that isn’t being used are all a challenge for Wendy’s as they utilize freshly prepared ingredients for their meals.
Wendy’s Opportunities – Wendy’s SWOT Analysis
1. A growing need of fast-food in the semi-urban market: There’s been an increase in the consumption of fast-food at semi-urban markets because social media and the internet have increased the awareness of consumers to the world’s cuisines. Wendy’s is portrayed as being healthy and nutritious fast food that gives it an advantage position over its rivals.
2. High growth opportunities for food and drink: As consumers’ willingness to pay grows and they are busier, a lot choose to dine out. What was once a popular trend in the developed world is being seen in emerging economies where increasing numbers of people are eating out.
Wendy’s Threats – Wendy’s SWOT Analysis
1. Competitors: A major threat to Wendy’s is the extensive existence that is McDonalds as well as Burger king two brands that provide Wendy’s an edge for its money.
2. Red Meat: Wendy’s famed for its beef and bacon Burgers that are the major highlights of their menu. But many Asian nations are opposed to pork and beef, which could impact their image in the future.
Wendy’s SWOT Analysis Template
This is the SWOT report that Wendy’s has done. Please let us know if you have additional suggestions to add.
Let us know What do you think? Did you find the article interesting?
Write about your experiences and thoughts in the comments below.