As a business owner, you might be familiar with SWOT analysis. But maybe, you’re not sure what it is and why it’s important. Should you do it yourself or hire a marketing agency in Adelaide? Let’s find out in this blog:
In order to grow your business, you need to know your company’s weaknesses, strengths and opportunities. You also need to identify potential threats that can hamper your company’s growth. And SWOT analysis is the tried-and-true method to gather this knowledge.
Whether you’re a startup, a small business, or an established firm, creating SWOT analysis periodically is critical. It helps you evaluate your business’s current position in the market, make necessary improvements and prevent threats before they hurt your company.
But what exactly is SWOT Analysis?
SWOT stands for:
S: Strengths
W: Weaknesses (limitations)
O: Opportunities
T: Threats
Strengths and weaknesses are internal factors like financial resources and human resources. Opportunities and threats refer to external factors like market trends and economic regulations.
Let’s take an in-depth look into these factors:
Strengths
Your business’s strengths are special positive traits that put your company ahead of your competition.
Examples of business strengths:
- A strong brand image
- Low prices
- Skilful employees
- A loyal customer base
- Latest technology
- Tangible and intangible business assets
A SWOT analysis helps identify unique selling points of your business, which can give you an edge when marketing, selling or developing new offerings.
Weaknesses
Think about what could hurt your company’s growth. Does your business lack enough resources? Are there some things that limit your business operations? What parts of your company are not profitable? By identifying weak points, you can develop methods to rectify and control them.
Examples of business weaknesses:
- Low brand value
- Lack of capital
- Unused turnover
- Costly processes
- Lack of best and sufficient technology
Opportunities
Opportunities refer to industry- or market-related external factors that can boost your business’ growth. Once identified, you can proactively exploit them and achieve your goals. To determine opportunities, you’ve to look at what’s happening outside of your company.
Examples of business opportunities:
- Lack of competition
- Online coverage
- Demand for your products or services
Threats
Threats are also external factors that negatively influence your business. Once you’ve identified potential threats to your business, you can prepare against them.
Examples of business threats:
- A new competitor with lower prices
- Stringent government regulations
- Financial downturns
- Supply chain issues
- Shifts in market demands
Most threats are outside the control of an organisation. But it’s still important to anticipate threats in advance and take precautionary steps before you become a victim of such events.
Put simply, SWOT analysis gives a clear picture of your company’s position in the market. Accordingly, you can take the necessary steps for strategic business planning, informed decision making, and drawing a future roadmap for your company. That’s why it’s one of the important elements of a marketing plan.
How to Perform SWOT Analysis for your Small Business?
Conducting a SWOT analysis is easier said than done. The process involves brainstorming, out-of-box thinking, market research, and much more. Although SWOT templates can make things easier, they can’t beat what an expert market consultant in Adelaide can offer.
So, we encourage you to hire a marketing research analyst who can do all the work for you so that you can focus on your core business activities. An expert marketing consultant researches the market, competition and target customers. They collect insightful statistical data using the latest technology and proven methods.
If you’re looking to hire a Marketing Consultant in Adelaide, you can rely on Marketing Catalyst. Backed with 15+ years of industry experience and expertise, we cater to businesses of all sizes.
Using SWOT Analysis Data
SWOT analysis involves gathering and compiling data to identify new business strategies and goals. You can:
- Set SMART goals for your business.
- Plan to build up your strengths even more.
- Overcome and minimise our identified weaknesses.
- Plan how to use strengths and opportunities to minimise the threats.
You can use SWOT analysis over and over to explore new opportunities and threats in the ever-evolving marketplace. Accordingly, you can improve your decision-making process.
SWOT Analysis: Start Today!
As a small business owner, it’s easy to get caught up running your company. You forget the most important thing – how well your business is doing. So, pause, reflect and correct by conducting a thorough SWOT analysis of your small business.
Book your first consultation call with us. We’ll find together how we can boost your company’s growth.
