Spanish Point, Madrid
There will always be new companies trying to come up in the food retail sector but Supervalu’s reputation for great service and quality gives them their unique and valued position.
Their own brand, which they have developed over the years, is well known and enjoyed by many customers, a service that new competitors cannot compete with initially.
Because they are well known for their support of Irish suppliers, this unique selling point gives them a security blanket as this takes time for a business to communicate to its customers, therefore giving them an advantage over any new competition entering the market.
The fact that they have the third highest market share (20%), which is still increasing allows them to have confidence in their market position, reducing the threat of new businesses in the market.
Also being part of the larger Musgraves organisation gives them another advantage in the market, giving them more power and control.