This article will cover the SWOT Analysis of Kitkat.
Kitkat is a Nestle product that is known for having one of the most iconic taglines of all time: “Have a break, have a KitKat.” It also differs from other chocolate brands in that it is a bar of wafer chocolate rather than a chocolate bar. As a result of this differentiation, there have been few competitors in the Kitkat space, despite the fact that chocolate bars face too much competition.
The most popular chocolate bar in the United Kingdom is KitKat. It offers more than 350 gourmet flavours, the majority of which are made in Japan. These flavours breathe new life into the brand’s offerings while also strengthening client bonds. Is it, however, the brand’s tagline and diversity of tastes that make it so appealing?
To have a clear idea, here is the SWOT analysis of Kitkat 2022, which helps you understand the strengths, weaknesses, opportunities, and threats to the brand.
Guide to SWOT analysis of Kitkat 2022
Internal Strategic Aspects
The company’s strengths and weaknesses are the two parts that make up internal strategic factors. These traits help the business figure out where it falls short of the competition and where it needs to improve.
- Strengths in the SWOT analysis of Kitkat 2021
- Kitkat’s most valuable asset is its one-of-a-kind offering: a chocolate-covered wafer that people adore for its flavour. Furthermore, Kitkat has distinguished itself from Dairy Milk and other similar chocolate bars on the market with this step.
- There have been advertisements dedicated to the delightful sound that comes from opening the wrapper of a Kitkat chocolate bar. We hunch that no other chocolate has anywise performed such a thing. This resulted in a high level of brand recall in the minds of consumers.
- You can’t survive in the FMCG industry unless you have a large distribution network. The chocolate is manufactured in around 16 countries and delivered in more than 100 countries all around the globe. Because it is produced by Nestle, which also produces Maggi and Nescafe, the dissemination is aided by the sales channel that already exists for the other brands.
- Kitkat Chocolates are known for their high quality, and you will seldom hear someone complain about them. Kitkat chocolate has a great quality management system, and the same quality is distributed throughout the world, causing people to fall in love with the taste and consistency of the chocolate.
- Kitkat is one of the most well-known brand slogans Have a break, have a Kitkat, and it has been owned by Kitkat for several years. Kitkat even had a webpage where you could relax and take a break by hitting insects. Alternatively, it offers photographs on its website of individuals simply chilling out. The brand’s marketing strategy revolves around the tagline: “You should take regular breaks during the break, and at such times, you can have a Kitkat.”
- Nestle has a lot of money because Nescafe and Maggie are cash cows in their business. There is no other brand of noodles that sells as well as Maggi, and no other coffee brand sells as well. As a result of these huge coffers, Kitkat has a lot of money to stay a star in the ever-growing chocolate industry
- Weaknesses in the SWOT analysis of Kitkat 2021
- Kitkat has a difficulty in that there are numerous duplicate versions of Kitkat available in developing nations. Regional players, on the other hand, are the ones who came up with the wafer biscuit notion. Kitkat must fiercely combat such duplication.
- Another issue that arises is during the packaging process. Because the biscuit is essentially a wafer, it breaks readily, and the consumer frequently receives a bar of broken wafer chocolate. The customer may become frustrated as a result of this.
Apart from this, Kitkat is a very strong brand that is well-liked all over the world, hence the SWOT analysis of Kitkat reveals minimal flaws.
External Strategic Aspects
Now that you’ve seen how internal difficulties affect the company in both positive and negative ways, let’s look at the external factors. There are two variables that make up the company’s external strategic features in the market: opportunities and threats.
- Opportunities in the SWOT analysis of Kitkat 2021
- More expansion implies more income, which means more profit for any FMCG company. The same may be said for Kitkat. It would be better for the brand if it expanded into developing markets.
- Rural penetration is still lacking in India, China, and other Asian countries, and this is where Kitkat can shine by leveraging its huge finances and establishing itself in rural areas.
- Kitkat might introduce more versions with a stronger chocolate contribution to the wafer chocolate mix, resulting in a deeper taste.
- Threats in the SWOT analysis of Kitkat 2021
- Whether it’s direct or indirect Kitkat faces a lot of direct competition from Dairy Milk. Dairy milk is the clear market leader in the chocolate sector all over the world. As a result, Kitkat always comes in second, with a significant margin between dairy milk and Kitkat.
- People are substituting chocolates with other healthier snacks as they become more health conscious, which will gradually harm the brand’s earnings.