Waitrose is known to be a very luxurious supermarket because it provides fresh, high quality goods and better services to the customers; the staff turnover is very low since there are a number of loyal employees who strive so hard to serve the customers, another reason for the success of Waitrose. Moreover, Waitrose has several competitors who are very strong, such as Tesco and Sainsbury among others like Morrison’s, ASDA and Lidl. The irony is that the good prices at Waitrose are higher compared to the one of its competitors and it also holds very little shares in the industry. However, to beat its competitors in their own game by increasing its shares in the market and increasing the profit margins, Waitrose has employed a number of strategies such as; they provide to their customers the home delivery services and online shopping; Waitrose has also increased the range of products they deal in; it keeps the highest quality of its products and at the same time keeping them fresh; Waitrose has launched some essential products whose prices are lower compared to the ones in the other supermarkets; it provides improved customer services; lastly, they also carry out market segmentation. Waitrose has also seen the need to reduce the cost of its products, it came up with some ideas to achieve this; it has entirely done well when it comes to corporate responsibility and that is why it has the good image and reputation. Waitrose carries out product promotion in many ways such as adverts over the radio, television adverts, newspaper and magazine adverts, free samples, special offers from its stores and celebrity endorsement (Johnson et al, 2005).
Even with the competitors, Waitrose has managed to emerge a very successful business; Waitrose released a statement on 12th September 2014 that its products are similar to those of Tesco and Sainsbury, and therefore what matters are the strategies put in place in acquiring many customers: the main brake through is that Waitrose bought its own farm which supplies it with crops, vegetables, meat, fruits, and many others, while on the other hand it competitors purely depend on other businesses to get the products. T reduce prices more, Waitrose has developed good working relationships with the British suppliers like the Mellow yellow. It will always have enough stock because it has many local and regional suppliers; compared to the two competitors mentioned, Tesco and Sainsbury, Waitrose is the only supermarket in the united kingdom the retails on all the British vegetables, fruits and at the same time grows flowers to sell. Waitrose uses just-in-time concept, which makes the suppliers to always be available to it more compared to the competitors. The second way of countering the competitors is through the use of unique methods of promotions, something that differentiates it from the competitors (Just-food, 2009).
Waitrose is a United Kingdom based supermarket which is sixth largest and is owned by John Lewis Partnership. Even though Waitrose has a small percentage of market shares, it is better than the other competitors, Tesco and Sainsbury due to its good reputation and position (West, 2008).
- Johnson, G. Scholes, K. and Whittington, R. (2005) Exploring Corporate Strategy, 7th ed., pp.136-138, Harlow, Prentice Hall.
- Just-food (2009) UK Food & Grocery Retailers 2009 [online] Available from: http://www.just-food.com/market-research/uk-food-grocery-retailers-2009_id76975.aspx (Accessed 17th November 2010).
- Oppapers (2009) Waitrose Case Study Analysis [online] Gold Coast, 16th November 2009.
- West, M. (2008) How Waitrose competes with a differentiated business model, 28th May 2008.
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