Panera Bread Case Study

1356 Words Apr 13th, 2013 6 Pages
Panera Bread Case Study
1. SWOT Analysis
Panera is a company with many strengths. Many of their strengths stem from their positive interactions with their customers. Panera’s first strength is their high level of customer loyalty and satisfaction. They ranked in the highest categories in both compared to their competitors. This is a distinctive competency that they hold, something that they do better than their rivals. Resulting from Panera’s high customer satisfaction is their next strength, positive word of mouth. The main focus of Panera’s marketing tactics relies on this word of mouth and it is something that they have consistently achieved. Panera also holds a strength in their diversified menu. The menu is very large and
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Panera has many opportunities that they can exploit to increase their profits and market share in the quick-casual restaurant industry. Panera needs to continue expanding on their catering segment which has shown to be a profitable expansion of the business. Panera also needs to expand into the untapped metropolitan markets identified in Exhibit 3, and has an opportunity for continued expansion within their current locations to reduce “population per location” numbers to become more comparable with their rivals (Subway, McDonald’s, Starbucks, Applebee’s, etc.). Another opportunity that Panera might be able to capitalize on is some kind of joint venture with other companies to become the supplier of their high quality bread, such as higher-end gourmet restaurants that are not in direct competition with Panera. Finally Panera has an opportunity to expand their location services to include Online Pre-ordering, to reduce wait times in line, and home delivery options.
Finally Panera faces some external threats to their company. First, rising gas prices threaten to increase their costs due to the high level of daily transportation needed for their fresh dough deliveries. Next, a bad/uncertain economy threats Panera. Consumers may find themselves seeing more value in cheaper fast-food options. Another threat is the extremely high level of competition in the restaurant

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