SWOT Analysis
Many large-scale businesses perform and live by a SWOT analysis to improve their business goals and see where they stand. A SWOT is a great tool that can be used for business analysis but is often overlooked by small businesses. If you are like many small business owners, you wear the role of many hats. Running payroll, building and managing products, and increasing customers are just a small list of your everyday tasks.
Though we understand how busy you may be, we encourage you to complete a SWOT analysis with your team for business development and marketing!
(Here is a link to 26 downloadable SWOT Analysis templates)
https://templatelab.com/swot-analysis-templates/#google_vignette
Let’s go over a SWOT and how your business can benefit!
Strengths (Internal)
What are your strengths? Do you have a well-staffed and motivated team? Do you have access to specific materials that offer higher-quality results? These are just two examples of strengths that can give you an edge over your competition. A strength can help you see what your company does well that may not need improvement. BUT… this can be helpful to see what you should market! Your strength is a well-motivated staff who goes above and beyond. Show them off! Your access to high-quality materials sets you apart. Show it off! A Strength in the marketing game can be used to highlight what sets you apart more than your weaknesses. If you are struggling with staffing and have issues with your staff (or low credentialed), you may not be too thrilled to brag about them) However, let’s discuss how this issue can be improved by reviewing your weaknesses.
Weakness (Internal)
What does your business struggle with? Do you need more motivated staff? Do you have three staff members for a job of 5? This could be a very detrimental weakness to your production and sales. So while you may not be bragging about being understaffed, you may see a need to market for more help. Maybe your restaurant needs early birds, and you are slammed in the evening. Empty tables mean less money. While this is a weakness, you may run a campaign to target those who are more likely to get dinner early. Is it in the older population? This is where of course, market research comes into play. Knowing what your weaknesses are can not only help you improve your business but help you decide how to market your business.
Opportunities (External)
Are external and can come from your strengths and weaknesses. Opportunities are ways you can improve your business position. Let’s go back to the strength of a well-motivated team. You have plenty of employees, which means you may be able to venture into a different area of focus, improve production in another industry, etc. This may allow for further business development. Opportunities for low staffing may be something such as a new trade school in the area which will help lead to more staffing. Use your opportunities to develop your business and connect them with marketing initiatives.
Threats (External)
Are external and are different from weaknesses as they are things out of your control. Many were threatened during the closures of the pandemic due to mandates, economic recessions, and a lack of customers willing to leave their homes (many successful businesses found opportunities amid chaos). Threats may be competition in your industry, a spike in material costs, etc. It’s essential to monitor your threats and be one step ahead. Try to solve the threat issues before they cripple your business.
Conclusion
LIVE BY YOUR SWOT! Identify your company's strengths, weaknesses, opportunities, and threats to help better improve business operations and ALWAYS tie your SWOT into your marketing strategies.
Tips
Use your team to build your SWOT, not just a single person.
Revisit and rewrite your SWOT every 6-12 months.
Go in order as your strengths and weaknesses help find opportunities and threats.
Be vulnerable and realistic. Don’t be offended or emotional; focus on the facts/data.
Check out Apple's SWOT found at Hubspot.com.
