Bru coffee is one of the most favorite coffee brand in India which got established in the year 1968. Bru has been active in the coffee industry by bringing different tastes and flavors of coffee to its customers. The company conducts various trials before finalizing the coffee beans in order to deliver the best coffee to its customers. Bru coffee is owned by another big brand called Unilever.
Strengths in the SWOT analysis of Bru Coffee
This helps in understanding the core areas of the business where it beats the competition and have the competitive advantage in the market. Strengths are generally the core competency of the business.
- Strong Brand Name – Bru coffee has an established brand name in the market. The brand equity is quite high owing to the quality of coffee it provides to the customers.
- Great Aroma – The aroma of the coffee is very much liked by the customers and has a very loyal customer base. This has helped the brand to establish a good brand recall and equity in the market.
- Advertising is Excellent – Bru coffee is famous for its way of advertising the coffee in the market. The TV ads it airs is absolutely aligned with the customer behavior and hence it always have a great reception.
- Distribution and Availability – Bru coffee has a very well established distribution network owing to the fact that it is owned by Unilever. Moreover, this has helped the brand to be available in the market which is a key to success for any brand.
Weakness in the SWOT analysis of Bru Coffee
This is the pain area of the organization where it does not have the resources or skills. Business has to work upon these areas so that they are not left behind from the competition. Though there will be some or the other weakness but it should not be an area which takes the business out of the market
- Underdeveloped Industry – India is not very much developed in terms of coffee adoption and at the same time increasing health consciousness has made people avoid caffeine-containing drinks.
- Product Line is not deep – Though there are different flavors and taste available in this category but Bru coffee has not yet established the market for different flavors and hence this has emerged as one of the weakness owing to the fact that competition is providing customers with different varieties of coffee.
- High Dependence on Raw Materials which are costly – There is a high dependence on the raw materials which are costly to cultivate in nature and hence the non-availability of raw materials adds to the hindrance in the manufacturing of goods and also it adds to the cost of the coffee as the raw materials need to be over cultivated and kept in storage to be preserved.
Opportunities in the SWOT analysis of Bru Coffee
This helps in understanding what other things a business can do with the current skills and resources. It helps the business to know the areas where it can expand and take a lead in order to diversify the business and expand the customer base
- Tie up with offices – Bru can tie up with offices which will help in increasing the customer awareness as well as the usage in the market. Office going people are the major market for coffee industry and hence by letting people drink coffee in the office would be the great opportunity for the brands to develop a taste in people.
- Penetration in the market – Bru can target rural markets in order to penetrate more in the market enhance their customer base with reach as well.
Threats in the SWOT analysis of Bru Coffee
This analysis helps in understanding what are the areas which can impact the business in future or right away. So business has to prepare itself to handle the threats in the market landscape. Competition or increasing number of players in the market with same value proposition is a threat to business as it directly lowers down the customer base and revenue
- Direct & Indirect Competition – There is a high competition in the market both from the direct coffee players as well as from other beverage players.
- Problems with Cocoa- The produce is not easy to cultivate and farmers are facing major issues and hence it creates problems for the industry.