The paper "Woolworth’ s Trademark Battle Continues" is a great example of a Management Case Study. Woolworths is a retail giant in Australia and deals in various products. Recently, Woolworths has suffered as the strategies have not reaped the required results. This has made the company relook into its strategies. The company has hired a consultant who will find the appropriate strategies for Woolworths and present the report to the CEO. The report thereby looks into the strategy for Woolworths which will help them in the future. These strategies will evaluate different factors and the mechanism through Woolworths can benefit from it. To find out the different strategies through this report a SWOT analysis and Porter’ s Five Force model have been used.
Using the two models will help to understand the external and internal environment and developing a strategy that is based on it will be sound. Also, different strategies have been considered and different factors have been evaluated to ensure the significance of the findings. Woolworths Present Situation Woolworths Limited a retail giant and deals in “ liquor, hotels, petrol, consumer electronic, everyday requirements, and home improvements” (Woolworths Website, 2011).
Woolworths has suffered recently as their strategies have backfired. The retail store has lost business and employees are losing jobs. Even the contracts with the suppliers are being affected as the National Lottery operator is looking towards canceling the contract (Poulter, 2008). This has hampered the growth and also problems associated with the trademark are an issue surrounding the company (Everett, 2011). Cases have been filed against Woolworths that they are misguiding the customers and not providing quality products at the best possible option thereby exploiting the customers.
This goes against the mission statement of Woolworths which is to provide quality products, at a low price and having a variety if the range to choose from. This is done with the intention to ensure fun while shopping (Mission, 2011). The problem for Woolworths has mitigated due to slow down in sales, loss of consumer confidence in the retail store and lack of efficient marketing strategies by Woolworths. The effect has been very strong and requires a strategic change to ensure growth. New Strategies. An analysis of the present situation of Woolworths along with the SWOT analysis and Porter Five Force Model helps to identify the following strategies that will help the company.
These strategies have been identified after careful examination of the internal and external environment and using these strategies will benefit Woolworths. Some of the strategies identified are as follows Rebranding Strategy. Woolworths should look forward to rebranding itself. The experience the retail giant has will be a handful here. The company can look forward to change its brand logo which will give rebirth to the brand Woolworths.
It will also ensure that the problems associated with the trademark get sorted out. While designing the logo emphasis should be laid on the statement which should match with the mission statement of quality food at reasonable prices. The company can look towards using a methodology where the highlighting freshness along with quality in their offerings. The brand-building exercise will help Woolworths to come out of the present situation it is facing. Using online services Woolworths need to lay greater emphasis on online marketing strategy. With the high penetration level of technology prevalent in Australia, it provides an opportunity to tap on.
Woolworths through this strategy can look towards developing its brand image. In this strategy, consumers can book their orders online and pay it at the same time. This will increase the convenience for customers as they can shop at the comfort of their house. An important area for Woolworths to consider here is the shipping cost and time. Woolworths needs to design a mechanism that ensures delivery at the lowest cost and the quickest way possible.
While doing so Woolworths needs to ensure that the interface improves and the customers looking for a product gets all ready information along with the image, time of delivery and other thing associated with the product. Improving the franchise agreement This is an important aspect of Woolworth's marketing strategy. Woolworths has grown because it followed a model of distributing franchise to people at far off areas and ensuring that the supply chain was strong. Woolworths need to work on this area and ensure that the agreements provide lucrative offers for the franchise owners. This will instigate a sense of purpose in the owners and their efforts towards providing the customer with better services will improve.
Also while choosing a franchise special consideration needs to be made regarding the experience, finance, and brand image of the owner and other areas that helps to improve the business. Woolworths should look forward to ensuring that the supply chain is developed so that the franchises are supplied with the products at the right time and helps to develop a better market. Woolworths need to lay stress on the marketing strategies offered by the company.
Woolworths need to look towards procuring goods at the cheapest cost as increasing competition is making it difficult for the store to get goods at a cheap price. Woolworths also needs to look towards retaining customers. For this Woolworths needs to develop loyalty programs, provide discounts, use different modes of advertisement, ensure efficient salesman and quick delivery process. Apart from this Woolworths needs to differentiate themselves by offering something extra and needs to develop their brand image through a mechanism which helps them to provide the best quality food.
In this direction, Woolworths needs to ensure that the billing process is quick. Efforts have to be made in all areas if Woolworths want to revive back and better policies with improved transparency will help the retail giant to come out of the current situation and develop a policy that pays rich rewards in the future. Along with with it a change in the management process is required to ensure efficiency. Conclusion Woolworths needs to transform the manner in which business is conducted presently. It needs to look towards improving its marketing strategy.
This will help Woolworths to ensure that the different aspect of their business is taken care of. Woolworths also needs to consider the strategy of rebranding its logo as the cases against its trademark are affecting its brand image. Coming with a new logo will help the company to present itself differently and help to build a halo effect around the image. Also developing their business model towards the use of technology will help Woolworths. This will increase the penetration level and will help to ensure efficiency in operations.
Along with it, Woolworths needs to improve its franchise agreement and look to provide incentives to them so that retention becomes easy. The above strategies will benefit Woolworths in the long run and the management needs to use it carefully so that the benefits are more than the cost involved.
Everett, B. (2011). Woolworth’s trademark battle continues. Retrieved on April 18, 2011 from http://www.lawyersweekly.com.au/blogs/top_stories/archive/2011/03/22/woolworths-trademark-battle-continues.aspx
Ferrell G, (2002), “SWOT Analysis for Woolworth”, Orland, Dryden Press
Poulter, S. (2008). Woolworths saved from High Street scrap heap with hope of keeping all 815 stores open. Retrieved on April 18, 2011 from http://www.dailymail.co.uk/news/article-1090015/Woolworths-saved-High-Street-scrap-heap-hope-keeping-815-stores-open.html
Porter 5 Forces. (2010). Porter 5 Forces. Retrieved on April 18, 2011 from Mission. (2011). What is Woolworths mission statement? Retrieved on April 18, 2011 from http://answers.yahoo.com/question/index?qid=20061208040651AAxc4qQ SCRIBD. (2010). Executive Summary since 1997, Woolworths has grown. The New York Times Company Woolworths Website. (2010). Woolworths Limited. Retrieved on April 18, 2011 from http://www.woolworths.com.au
Mission. (2011). What is Woolworths mission statement? Retrieved on April 18, 2011 from http://answers.yahoo.com/question/index?qid=20061208040651AAxc4qQ
SCRIBD. (2010). Executive Summary since 1997, Woolworths has grown. The New York Times Company
Woolworths Website. (2010). Woolworths Limited. Retrieved on April 18, 2011 from http://www.woolworths.com.au