Whole Foods Market SWOT | Learn How To Do Business

by Shamsul
SWOT Analysis Whole Foods Market
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Whole Foods Market SWOT

Whole Foods Market is one of the leading organic food superstores in the US. It established in 1980 and its headquarter is in Downtown Austin, USA. Its annual revenue in 2017 was 16 billion dollars with a net income of 245 million dollars. From grocery to apparel, supplements, body care, prepared food, and many more things, Whole Foods offers multiple products. The main competitors of Whole Foods are Walmart, Safeway, The Fresh Market, and beyond. However, it is a certified organic grocer in the United States. Currently, Whole Foods is operating in Canada, the USA, and the UK with fully functional 470 stores. In this article, we are going to do the Whole Food Market SWOT Analysis.

Founded by: John Mackey, Renee Lawson Hardy, Mark SkilesCraig Weller

CEO: Walter Robb and John Mackey (May 2010–)

Year established: September 20, 1980, Austin, Texas, United States

Headquarter: Austin, Texas, United States

Industry: Grocery store, Health food store

Areas Served: Canada; UK and USA

Numbers of stores: 508

Number of Employees (2019): 91,000

Type: Subsidiary

Whole Foods Market SWOT

Strengths of Whole Foods:

  • Strong Brand Identification:

    It is really easy to find out any company’s future and potential by its brand value and image. It is a fact that consumers prefer those companies having strong brand identification. Furthermore, Whole Foods experienced firm brand identification since its formation. It is ranked as the 3rd most trusted retail company. This thing gives them a unique edge as compare to its competitors.
  • High-class Standards:

    The main factor in the success of the product is its quality. Whole Foods provide high-quality products from the beginning. This factor allowed the company to form a strong consumer base. They also ban the products that are harmful to consumers such as non-natural flavors, colors, sweeteners, and harmful fats. Their consumer base is depending on well-educated and middle-class people that prefer quality over price. This is one of the major strengths of Whole Foods.

Whole Foods Market SWOT

Weaknesses of Whole Foods:

  • Overdependence on US Markets:

    The biggest weakness of Whole Foods is that they heavily depend on the US market. Approximately 97 % of its revenue comes from the US market. It won’t survive in case of any collapse in the US economy. Moreover, the company also faces a huge fall down during the recent recession. That’s why they restricted themselves to the UK and Canada.
  • Customer Opinion:

    The consumer goods market faced small sales due to overcharging and overpricing from its customers. This thing has created many backlashes and controversies. This kind of initiative and steps can weaken the company’s reputation and brand image.

Whole Foods Market SWOT

Opportunities for Whole Foods

  • Diversification:

    Whole Foods tackle the problem of pricey items and launched a new market which is very affordable in the appearance of 365. This step from Whole Foods Market will effectively cater to middle-class and daily wagers with organic and natural food options. These stores are not very big as compare to real superstores but valuable for people. After facing a huge backlash for overpricing, this initiative from Whole Foods has enabled it to get its real brand image and worth.
  • Worldwide Expansion:

    As we already know that Whole Foods is completely relying on the US market. But it has the potential and capability to increase its operations and work internationally. It still has some branches in Canada and the UK. They also need to focus on emerging markets such as Asia, Africa, and Europe. This kind of change will help them to boost their revenue system and market reach internationally.
  • Alliances:

    Recently, Amazon declared that it would get Whole Foods and sell it on their website. But the deal was slammed in 2017. This alliance has led to huge success for Whole Foods in terms of profit and worker contribution.

Whole Foods Market SWOT

Threats of Whole Foods:

  • Negative Publicity:

    Whole Foods experienced intense criticism and backlash in 2015 due to overcharging the customers. They also face a lawsuit which creates a bad impact on the brand name. After that, their sales growth has decreased.
  • Rising Competition:

    Whole Foods has not handled the competition well from their competitors. Walmart, The Fresh Market, and many more are the biggest rivals of Whole Foods. They offer user-friendly and budget-friendly products to their customers and can cause a huge threat to Whole Foods in the future.


From this complete Whole Foods Market SWOT, you can effectively understand the competitive edge and operations. Whole Foods is effectively managing its operations and profits. It also tackles all the negative allegations. They are also investing in global economies or markets to enhance their working and operations. However, there is one sector where they need to improve is the communication process with the press and media.


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