Jollibee is a fast food retail chain Filipino multinational company. Tony Tan founded the fast-food chain brand in 1978. The retail company headquarters is in Pasig, Philippines.
Jollibee has a network of more than 5900 retail location points across the world. However, some of the main products and services of Jollibee are hamburgers, pastries, chickens, cakes, fries, dumplings, coffee, desserts, and breakfast.
According to the annual report, Jollibee’s annual revenue was 129.313 million Philippines pesos in 2020, and it has decreased by minus 28.01%. The fast-food brand’s net earnings were 11.511million Philippines pesos, and it reduced by minus 257.52%. Approximately over 1130 people are working for the company to manage its worldwide operations.
Some of the main competitors of Jollibee Food Corporation are Chipotle, Burger Kind, Unilever, In-N-Out Burger, Star Bucks, White Castle, McDonald’s, Whataburger, Church’s Chicken, Chicken Fill-A, Jack in the Box, and A&W Restaurant.
Today, we’re going to study the swot analysis of Jollibee. It would analyze the fast-food company’s internal strengths and weaknesses, and external opportunities and threats. The swot analysis of Jollibee is as follows;
Strengths of Jollibee
According to the ranking of Forbes in the category of World’s Best Employers in 2020, the position of Jollibee was 239th. Jollibee had managed to secure its position in the category of Fabulous 50 Asian Companies in 2016.
The product and service portfolio of Jollibee provides a lot of variety to the customers to choose from. They range from tasty chicken enjoy, coffee, burger, mouth-watering yum burger, and hamburger to spaghetti. However, when it comes to the preparation of the food items, the food brand adopts the most successful recipe for it.
Jollibee has made its objective clear from day first is to satisfy the taste and appetite of customers, and the company doesn’t change its focus away from its customers. That’s why customers prefer the company’s products when they’re out shopping.
Jollibee offers the same quality and taste as the other world’s leading brands. It’s because the food chain brand has a secrete recipe for its tasty food items, and it allows the company to differentiate its taste from its customers.
Currently, Jollibee is running the business in countries like Japan, Australia, Thailand, Italy, the UK, USA, Canada, Malaysia, Singapore, Vietnam, Saudi Arabia, UAE, and other countries. According to an estimate, the company has a network of 1130 stores globally and 750 stores locally. However, the retail chain brand ensures that the company has a stable supply of raw material so that the company could deliver the product on time.
Jollibee remains open 24 hours a day and 7 days a week to services because the company has a strong commitment to serving customers. Customers know that they can trust the brand and it would be open whenever they want to enjoy the delicious food. However, Jollibee’s workforce works in various shifts in order to keep the store open.
Loyal Customer Database
The customer database of Jollibee is very loyal to the company. It’s because the brand has established itself by offering quality products and services for years.
Weaknesses of Jollibee
Unhealthy Fast Food
People are realizing the fact that no matter whatever quality recipe or raw material the company uses for the preparation of its food items. Its products would always fall under the category of fast food which is unhealthy, and they cause obesity and other health issues. Resultantly, the changing preferences of customers have affected the sale of the company.
The price range of Jollibee is premium for the sale of its product. In fact, the reality is that a vast majority of customers don’t afford the premium price range. That’s why they prefer other low-pricy brands.
The marketing and promotion of Jollibee’s products and services are very low, especially if you compare it with other multinational brands. Not many people are familiar with the brand name of Jollibee as a multinational food chain brand due to limited marketing and promotion.
The food preparation and cooking style of Jollibee is conventional. Normally, it’s good but you can’t have efficiency with it. The brand has not employed the cooking automated technology to reduce time and improve efficiency.
Opportunities for Jollibee
Jollibee offers quality food and unique taste. But the healthy diet and vegan food trends are growing, and customers are avoiding fast food products. Therefore, the chain brand has to brainstorm some menu ideas and come up with a unique innovative food offer in order to satisfy the taste of customers. Launching an innovative offer would help the company to increase sales and amplify its product portfolio.
The worldwide pandemic has badly the growth of businesses; in fact, it has shut down many of them. In the midst of the economic crisis, online businesses made tremendous growth in terms of online ordering and home delivery services. It forced many companies to go online and establish e-commerce platforms and shift their businesses. The same opportunity goes for Jollibee.
Healthy food is a common thing among all human beings across the world. Since Jollibee is already offering its services in many countries. Many other countries have got a great growth potential, and the food chain company should expand its business there.
Threats to Jollibee
The pandemic turned out to be havoc for businesses and companies. It was something that businesses weren’t expecting, and months of lockdown shut them down permanently. It decreased Jollibee’s annual revenue and net income to a great extent.
The fast-food industry is highly competitive and the top competitors are Nestle, Chipotle, Unilever, Burger King, Starbucks, and McDonald’s. It has become highly difficult for the fast-food brand to retain its market position due to its presence in the market. They’ve got a lot of resources to protect their market position and kick competitors out of the market.
Healthy Diet Trends
The consumer market has become very careful about the food whatever they’re putting into their body. They don’t consider fast food good and healthy food. When they don’t buy the company’s product, it would ultimately reduce the sale of the company.