Planning Your Marketing

3. SWOT Analysis

SWOT analysis reveals your strengths, weaknesses, opportunities and threats. It is a good way of summarising your position in each key market segment vis-à-vis your competitors. (See SWOT analysis.)

3.1 Identify the critical success factors for you and your competitors. Give each factor a weighting (out of ten) according to its importance.

• Critical success factors might include product performance, range of products, speed of order fulfilment, customer service and low costs.

3.2 Score your business for each factor and multiply the score by its weighting. Then repeat the process for each competitor.

• By listing the results in a table you can present a clear picture of your relative strengths and weaknesses.

3.3 Identify opportunities and threats by brainstorming ideas using two headings:

• Organisations (and individuals) that directly affect your business.
• The broader business environment (eg new technology, tax, legislation).