Panera Bread Swot Analysis Essay

Words: 942
Pages: 4

Strengths Panera’s strengths lay in their appealing menu, customer satisfaction/loyal clientele, and their franchising strategy. As a leader in the bakery-café and fast-casual segment, its 22 artisan breads prepared fresh daily by expert bakers is “the core of the menu offerings” (Thompson, 2007). Additionally, a variety of made-to-order sandwiches, soups, salads, custom coffees, and seasonal food options add to its competitive capability and financial health. Based on their research, 85% of consumers in target areas have visited at least once, 57% which have returned within 30 day. These indicators are not only driving growth in sales, but building a loyalty that allows Panera to pull ahead of the competition. Panera’s success with franchise operations has demonstrated continued growth. Utilizing the most stringent of criteria, Panera’s franchising strategy has increased their accumulated capital, cash flow, and left them debt free. Franchisee sales have produced a higher return than company operated stores, and continue to express a desire to develop more …show more content…
By increasing franchising options, Panera bread is able to utilize local expertise from franchise owners to gain regional cultural insight and developing effective marketing strategies. The information gained from franchisees would be vital in Panera bread’s ability to differentiate themselves from other retail competitors and could be used to create new product lines tailored to existing and future customer’s needs. Product innovation and refining consumer experience would help to define Panera bread’s culture to their customer bases and justify increasing prices. By focusing on their supply chain process, franchising operations, and customer demands, Panera Bread is poised to remain as the premier fast-casual restaurants in America for many years to