Trader Trader Joe’s has million fans running social media

Trader Joe’s, a grocery store chain based in California,
offers food, drinks and other supermarket products and services for great price
and quality. It is ranked second best according to consumer report and No. 1
overall. Good reputation of the company gives it the opportunity to expand its
product line, and also expand in the market for private labels.  As there is more demand for organic products,
Trader Joe’s can take that as an opportunity and start to sell more organic
food and increase revenue. Moreover, the fact that Trader Joe’s has million
fans running social media accounts for the company shows that they want the
company to have social media appearance. Therefore starting online marketing
can provide the company with the ability to incredibly expand the business and
serve their customers. The most common threats faced by Trader Joe’s at this
time are intense competition from similar grocery stores and increased manpower
cost. As per exhibit 2*, Trader Joe’s has four direct competitors that have
been doing really good in terms of making revenue.  Whole food is the first competition because
of its growth in the organic and natural food sales in Unites States. Kroger and
Safeway being the second and third competitors, also pose threats to the
company as grocery store market is now growing rapidly. Despite the fact that
Trader Joe’s provide its employees with the best working experience and
appreciation in bonus/salary form, it could be a threat to the company if
profit margin is not met. The company needs strategy to provide workers with
the same experience while saving up enough money in reserves in case of
emergency. In addition, another threat faced by the company is small size of
stores and fewer items stocked as compared to other supermarkets. This could
lead the customers to browse other grocery stores. Trader Joe’s should appeal broader
market to increase sales.