3 Benefits of a SWOT Analysis
According to Forest Gump’s mom, “Life is like a box of chocolate, you never know what you’re gonna get.”
But what if you could get a sneak peek into that box? Or, what if you could collect some data that would help you prepare for what’s to come, good or bad? You would more than likely take the extra steps to ensure you are ready for whatever chocolate you select from the box. I know I would.
So, the same goes for creating a SWOT analysis for your business.
Now, don’t worry. For those of you who don’t know what a SWOT analysis is, I will give you a brief overview shortly.
First, ask yourself would you rather drive blindly with no directions or with a guide. Hopefully, your answer is the latter.
A SWOT analysis a basically an evaluation tool for your business that outlines your company’s Strengths, Weaknesses, Opportunities, and Threats. It is used to assess factors that have an impact or could have an effect on the company both internally and externally.
With this analysis, businesses can strategically plan how to effectively target their audience because it provides them with an understanding of their brand and an evaluation of where their company is.
By assessing the strengths through a SWOT analysis, companies can continue to build on those strengths. By evaluating the weaknesses with a SWOT analysis, companies can reverse those weaknesses into strengths. Also, by acknowledging the possible opportunities through a SWOT analysis, companies can capitalize on them. Plus, by assessing the potential threats through a SWOT analysis, companies can deter them.
Just in case you choose to drive blindly with no directions in the above question, below are 3 additional benefits of a SWOT analysis.
Mama said, “It’s Cost-effective!”
One of the first things anyone typically asks before administering any type of additional tools to their business is how much will it set them back? Or does it fit in the budget?
Well, here is one of the benefits of conducting a SWOT analysis, it is cost-effective. Since the analysis is based on the company and its current status, it does not require any additional training or technical skills to complete.
Therefore, companies don’t have to worry about paying to train staff or hiring an external consultant. Basically, anyone who understands the business can conduct a SWOT analysis.
Plus, companies can simply create a SWOT analysis on a spreadsheet, which means there is no need to get any expensive software.
Mama said, “It encourages fresh perspectives and new ideas.”
Another benefit of a SWOT analysis is its ability to inspire new ideas and fresh perspectives throughout an entire organization.
Considering it provides a simple visual overview of a company’s position that can be easily understood and shared company-wide, it encourages dialogue amongst staff. This discussion leads to the creation of innovative ideas that will improve the strengths and address the weaknesses internally.
At the same time, it will open the staff’s eyes to new perspectives where they will be receptive to new opportunities and ready to tackle oncoming threats.
Plus, it ensures that staff is all on the same page when it comes to the business and effectively targeting their audience.
Mama said, “It’s Multifunctional!”
In addition, a SWOT analysis is beneficial because companies can apply it to multiple studies.
Since it identifies factors that can positively or negatively affect a business in any situation, both internally and externally, it can be easily used to conduct a competitive analysis, social media planning, business development, or strategic planning.
So, now that we have that covered. Let’s talk about the importance of knowing your target audience and your brand’s opportunities and threats as a social media manager.
It is imperative for social media managers to know their target audience because it helps them focus on creating content that will effectively reach and convert consumers. Without understanding their target audience, social media managers will waste time blindly putting out content that is irrelevant.
It is also essential for social media managers to know their brand’s opportunities because they can be ready to take advantage of the opportunities that can positively affect and grow the brand.
Plus, knowing the brand’s threats is also a vital factor that social media managers must be aware of because it allows them to prepare and develop a plan to counter threats.
It’s simple! A SWOT analysis is a low cost yet effective tool necessary for any business. It has multiple uses and can help every department within a company achieve its goals, including social media. So, what are you waiting for? Get moving!