Stop and think before you attempt to construct plans for your business. Take stock to consider the full range of external and internal factors that will impact on your success. This will enable you to be far more effective by concentrating on the correct elements that will drive your business forward at greater speed. A comprehensive SWOT analysis will help you to achieve this aim. So what is a SWOT? SWOT is an acronym for Strengths, Weaknesses, Opportunities and Threats. It is a review of micro and macro factors affecting your business. None of us operate in a vacuum and we all need to take account of several influencing elements with all our marketing activities. How to produce your SWOT Start by considering the external environment that will produce opportunities and threats. This includes factors such as political, economy, social, technology, environmental and legal. For example, the UK political environment is stable at present. There are terrorist threats, however, that remain particularly while the Iraq crisis continues. Some of these factors may have an impact on your business. The UK economy and interest rates are stable. Inflation remains below 2%. These factors could influence your borrowing requirements, funding plans and dividend policy. Social factors are continuing to be influenced by increasing corporate and personal social responsibility. People are more aware of health related issues in the home and within the workplace. There may be technology, environmental and legal issues that also have an impact on your business. Next, consider your internal environment that will indicate your strengths and weaknesses. These elements include customer, supplier, intermediaries, competitors and other stakeholders, for example, shareholders. Customer satisfaction levels are important to you gaining more ongoing business and them passing on referrals. When is the last time you conducted a customer survey? If some time ago, the chances are that the climate of customer satisfaction may have changed. Here are some key measures: Price competitiveness
Quality of service
Range of services
Strength of relationship
Delivering results
Reliability Consider the links you have with suppliers. What scope is there for negotiating volume deals or gaining more marketing support from them? You may be able to work with other business intermediaries who offer kindred products and services to yours. I have witnessed spectacular growth from businesses that work together in an alliance partnership. What intelligence do you have of your key competitors? Do you know their relative strengths and weaknesses? This information is vital for you to differentiate yourself effectively. For example, one competitor may have wider expertise but much higher overhead costs. You could probably compete directly on price with your core services. All of the above information will enable you to complete an analysis grid showing your key strengths, weaknesses, opportunities and threats. You can then use this to develop an informed marketing plan that will produce more sustainable revenues and profits. You can register for our free resource area by visiting http://www.brianjamesgroup.com/DownloadAssistant/default.asp |
