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Couche Tard SWOT & PESTLE Analysis

ID : 52540653| Jan 2020| 15 pages


Business Sector :Convenience Store Industry

Operating Geography :Canada, North America, Global

About Couche Tard :

Couche Tard, a leader in the Canadian convenience store industry started operations in the year 1980 with its first store initiated in Laval, Quebec. Today, Couche Tard is the biggest autonomous convenience store operator in the USA when considering the number of company-operated stores. It is also a leader in convenience store and road transportation fuel retailing in Europe with the Scandinavian countries of Norway, Sweden and Denmark and the Baltic countries of Estonia, Latvia and Lithuania being important. It also has a significant presence in Ireland and Poland.
It follows a vision of ACT with PRIDE. It believes in creating a long lasting relationship with customers. Results in the form of customer experience matters most for the company. Company also seeks to improve its process and performance to give competitive advantage to the company. Couche Tard has over 9,900 convenience stores throughout North America and more than 105,000 employees in North America as of February 2019. Its worldwide network comprises of over 16,000 stores as of 2019.

Couche Tard Revenue :

$51,394.4 million (FY 2018)
$37,904.5 million (FY2017)

Competitive Analysis of Couche Tard

The SWOT analysis of Couche Tard is presented below:
1. Established brands in different markets
2. More than 16,000 operational stores
3. Multiple modes of operation
4. Leader in Convenience store industry
5. Successful acquisitions and reverse synergies
1. Fixed mode of operations through retail stores only
2. Absence in emerging Asian and African economies
1. Expansion plans in Cambodia, Saudi Arabia, Mongolia and Mexico
2. Higher scope of growth in some potential markets
3. Expansion through Mergers and Acquisitions
4. Opportunity and innovation in new food concepts
1. Changes in Customer Behaviour
2. Legislations and restrictions against some products
3. Legislative and Regulatory requirements
4. Market disruptive business models and technological advancements
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Detailed SWOT Analysis of Couche Tard



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1. Expansion plans in Cambodia, Saudi Arabia, Mongolia and Mexico: Cambodia is a good destination for business expansion. It is growing at a GDP of 8% over the last decade. Recently Cambodian government has also implemented policies attracting FDI. There is cheap labour rate along with a large sect of working age population. Similarly, in Saudi Arabia, one third of middle market businesses are expected to grow at 10% this financial year. Mongolian economy is also showing a strong growth prospective. Investment has contributed around 12.6 percentage points to the country’s GDP. Mexican economy is growing at a GDP rate of 2.6% YoY. An important agreement, The North American Free Trade Agreement (NAFTA), among United States, Mexico and Canada has been able to draw $1.2 trillion in trade. In fiscal 2018, Couche-Tard has made master license agreements with Cambodia, Saudi Arabia and Mongolia via their licensing program. It is also reaching a target of 1000 sites in Mexico.

2. Higher scope of growth in some potential markets: There is a huge market for conventional stores in North America. It has a strong market share in in-store sales. It is because of the faster availability of fuel and other consumer products and minimum purchase time. Convenience store market in Europe is also growing at the rate of around 5% annually. The U.K. also has huge growth potential in convenience store industry. The industry is growing at an annual growth rate of around 2.7%. In Asia-Pacific region, growth can be attributed to the presence of emerging countries like India and China. The company has no store in India that is limiting the company’s growth. Other countries include Japan and South Korea where convenience store market is growing at a rate of around 3.8% annually. Thus the scope of growth can be further improved by investing in zones where there are more trends of business growth.

3. Expansion through Mergers and Acquisitions: In the U.S., company is aiming to acquire competitors closed sites and improve its presence across the country. In Europe and Canada, market is dominated by a few large players including integrated oil companies. Some of these companies are planning to sell their retail business. Couche Tard is looking for such opportunities to invest and expand its business. It also follows that growth should be followed with increased profitability. It has also followed licensing agreements to expand its business internationally.

4. Opportunity and innovation in new food concepts: In Norway, company is focussing on new innovations in creating new designs inside the stores and introducing new menu options that will improve both quality and offerings. Across Scandinavia, Couche Tard is working to identify and explore new food concepts. It believes in utilizing these successful innovations on global scale across different locations through its network. The company’s efforts in the penetration of fresh-baked pastries and an on-site bakery program into Quebec have led to the 50% increase in their sales growth. Company has expanded the sales of hot beverage including Couche-Tard's Simply Great Coffee program in more than 2,700 stores. It keeps in mind the regional preferences and tastes of consumers. It also served other products such as iced cold brew and different bean blends, or white coffee. It has been able to target regions with its specialized offerings such as hot dog and coffee or its Hispanic offerings so as to satisfy the appetites of specific customers


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Major Competitors :

Major Brands :

  • Couche-Tard
  • Mac’s
  • Circle K
  • Kangaroo Express
  • INGO
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Check Out Analysis of Other Relevant Companies

References used in Couche Tard Analysis Report

1. Couche-Tard Annual Report 2018:

2. Cambodia is primed and open for business-

3. A third of Saudi Arabian businesses eye more than 10% growth this year-\

4. Mongolia's Economic Recovery Continues on Strong Growth-

5. Leaders in Emerging Markets: Exploring Mexico’s future in finance and technology-

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Couche Tard SWOT & PESTLE Analysis - SWOT & PESTLE.COM

SWOT & (2020). Couche Tard SWOT & PESTLE Analysis - SWOT & [online] Available at: [Accessed 08 Jul, 2020].

In-text: (SWOT &, 2020)

Copyrights and Disclaimer

Couche Tard SWOT and PESTLE analysis has been conducted by Saurav Gera and reviewed by senior analysts from Barakaat Consulting.

Copyright of Couche Tard SWOT and PESTLE Analysis is the property of Barakaat Consulting. Please refer to the Terms and Conditions and Disclaimer for usage guidelines.

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Couche Tard SWOT & PESTLE Analysis
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