This is a simple, powerful tool used to examine factors affecting your business success, both internal and external to your organization and create a plan to address these factors.

 

The outcome will be a plan to capitalize on strengths, compensate for areas of weakness, take advantage of marketing opportunities, and address marketing threats.

A S.W.O.T Matrix also includes an analysis of the external factors. These external factors can not be controlled directly. They do, however, have the potential to affect your business in a positive or negative manner.

 

Opportunities are market conditions and events which create a need for the products or services you provide. Your opportunity list might include: 

• Increase in number of homes in your market
• A competitor closes their doors
• A change in the law makes your product more attractive

Similar to opportunities, threats are outside of your direct control. These external factors, however, create challenges or obstacles which must be identified and dealt with.

• Adverse weather conditions
• Slow down in the economy
• Increase in competition

After you list the opportunities and threats, ask yourself which of your strengths will allow you to take advantage of the opportunity.  Which weakness must be changed before you can move forward? Once completed, your Matrix forms the foundation of your marketing plan

Sample SWOT Matrix

To learn more about how to use this technique in the formation of your marketing plan, purchase a copy of the Entrepreneur's Notebook or attend "Marketing by the Numbers" presented by Roundpeg.

The workshop, which is part of the Marketing Basics for Entrepreneurs Series, will be offered only one more time this year on August 7th.