The SWOT Analysis: An Effective Marketing Strategy Tool

By Mason Frederick

To achieve great things, two things are needed; a plan, and not quite enough time. -Leonard Bernstein One of my philosophies is this – ‘’If you want to be successful, learn from the successful.’’ A SWOT Analysis is a tool which successful businesses and business professionals use to help create and achieve their objectives and goals. The SWOT analysis is a simple and effective business planning tool that can be used as part of your marketing plan, and during strategic planning.   The technique was developed by Albert S. Humphrey in the 1960s and 1970s during a Stanford Research Institute convention. The purpose of this simple analysis is to help you assess your business- your competitive advantage, internal weaknesses, external opportunities and threats. After completing the analysis, you will gain insights on how to enforce your strengths, minimize or eliminate your weakness, capitalise on opportunities and respond to threats. SWOT stands for Strengths, Weaknesses, Opportunities and Threats. How to Conduct a Swot Analysis 

Strengths:  Consider your strengths as characteristics that make your business unique in the marketplace, and give you an advantage over your competitors. Examples:

• Highly trained, passionate and competent staff
• Business location
• Established distribution channel

Weakness: Internal characteristics or elements that keep your business at a disadvantage, but which you can work around, minimize or completely eliminate. Examples:  

• Low marketing budget
• Lack of a marketing plan
• Poor referral system

Opportunities: External factors your business can take advantage of. This may include:  

• New technology
• Growing online trend
• Favourable government policy

Threats: External factors could be:

• New entries in your industry
• Unfavourable  government policy
• Competitors mass media advertisements

The SWOT Analysis is especially helpful when setting marketing goals and objectives. It will help you determine if you have the resources required to complete a project, or attain a goal. Successful career men and women, also use this analysis, to evaluate their skills and grow their careers.