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Home » SWOT articles » SWOT Analysis of Hollister

SWOT Analysis of Hollister

December 23, 2018 By Hitesh Bhasin Tagged With: SWOT articles

Hollister Co. was launched by Abercrombie & Fitch Company CEO Michael Jeffries in July 2000, and is lifestyle brand that markets clothing and fragrances reminiscent of the Southern California way of lifestyle Hollister Co., whose garments are well known for its signature seagull logo embroideries, has come to be extensively recognizable due to its success in creating a robust logo photo.

The company’s main market includes each people between 14-24 years. Their clothing reflects this ideal, walking in notoriously small sizes and most effective such as a totally limited collection of informal beach-ready graphic t-shirts, denim, swimwear, leggings, shorts, thermals, and sweatshirts.

Table of Contents

  • Strengths in the SWOT Analysis of Hollister
  • Weaknesses in the SWOT Analysis of Hollister
  • Opportunities in the SWOT Analysis of Hollister
  • Threats in the SWOT Analysis of Hollister
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Strengths in the SWOT Analysis of Hollister

1) Strong Brand Image :

Hollister Co. has been very successful in incorporating its southern California surfer patterns in all elements of the products and also has added a mysterious, antique vibe to the apparels. The style in their merchandise is absolutely dominated through a beach subject, including such seaside staples as board shorts, swimsuits, turn flops, and many others. Even their casual clothes replicate the damage and tear of the sea, as Hollister Co. Gives at ease-becoming worn-out jeans, whitewashed and with holes within the knees.

2) Unique Atmosphere :

Hollister Co., together with its parent organization Abercrombie & Fitch Company, presently owns and operates more than 450 retail places across the nation. Each shop has been designed to resemble Surf City, California In order to draw their youthful clients. The stores are visually stimulating, enforcing a very dimly-lit sales floor. Image and appearance are key to Hollister Co.’s success, which is why at one factor Hollister Co. Spent ten million bucks shopping flat display televisions so as to broadcast feeds of surf conditions in Huntington Beach, California within the shop.

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Hollister Co. aims to create an enticing environment inside their stores. It is a part of the organization’s policy to play booming rock and alternative song in the stores.

3) Store Locations and Layout :

Hollister Co.’s retail stores are very productive thanks to the locations of the shops that are in high traffic areas which acquire excessive visibility.  Hollister Co.’s retail presents a good way to effectively demonstrate products their products to clients. Wall shelves, tables, mannequins, rounds, and striking racks are applied in an effort to present products in an aesthetically alluring manner.

The shops stay uncluttered and the layout is wide open to allow for smooth navigation at some stage in. Traditional visible merchandising strategies are used in the store’s front windows, in addition to in the placement of products within the equal classes being positioned near one another

Weaknesses in the SWOT Analysis of Hollister

1) Lackluster Product Offerings :

Hollister Co. has never been branded as being a cutting-edge or especially style-ahead organization. Their product offerings consist specifically of t-shirts, polos, sweatshirts, outerwear, bathing suits, denim, turn-flops, and fragrances with their brand on them or published with some other beach-related topic. As you’ll see, their apparel is very simple and very casual in fashion, which is not to each person’s liking. Hollister Co. simply not a one-stop purchasing experience, and even as they do sell trendy apparels, their product line especially stays the identical from season to season.

2) Unfair employee treatments :

Employees of Hollister Co. Have been known to report conducts of maltreatment in conditions wherein they have been handled unfairly because Hollister Co. commonly employs sales associates which have southern California look, with also physical attractiveness, employees who don’t fulfill this persona are on occasion disregarded once hired, Hollister Co. Has been known to ignore folks who do not satisfy the agency’s “look” to work in the back end of the retail store stocking.

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3) High Price Points :

Although Hollister Co. Consists of lesser priced apparel compared to Abercrombie & Fitch, their fees are nevertheless significantly high, particularly in terms of their goal marketplace. Hollister Co aims to cater to a far more youthful crowd than does Abercrombie, and the rate incredibly displays However, their prices nonetheless continue to be higher than a number of their competitors for terribly similar merchandise

Opportunities in the SWOT Analysis of Hollister

SWOT Analysis of Hollister - 2

1) Hollister Co. as a Global Brand :

Hollister Co.’s biggest possibility, international growth, and boom can be notably profitable for the brand. Although Hollister Co. Already operates extra stores than any of the opposite Abercrombie & Fitch Company segments, it nonetheless has lots of room to grow. Hollister Co. is predicted to compel good future growth, presently operating at 50% of its domestic capabilities.

2) Additional Target Markets :

While Hollister Co. Has taken full benefit of the niches it’s carved into teenage males and women’s clothing style, the logo recognizes increasing in their target marketplace can be an opportunity. Demographically, the logo appeals to a noticeably wide age variety, many different races, and each gender, but its target marketplace nonetheless consists of the one’s clients seeking out a southern California look, those that may come up with the money for the steep pricing.

3) Product Development :

A couple of selections in flip flops, necklaces, and bracelets make up most of the product ranges, plus a small quantity of luggage and hats Developing a larger collection of those products would be rather cheaper, and would attraction to many clients surf gadget might allow the employer to attract an excellent large percentage of the marketplace. Because the brand is already distinctly recognizable and as it should depict the southern California way of existence, surfers can be very inquisitive about wearing Hollister Co.’s emblem on their surfboard or wetsuit.

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Threats in the SWOT Analysis of Hollister

1) Competition :

The stores in competition with Hollister C. are American Eagle Outfitters, Aeropostale, Zumiez, and PacSun. Aeropostale has proven to be strong competition for Hollister Co. due to the fact that they provide very similar merchandise but at a decrease price point. American Eagle Outfitters is commonly in comparison with Hollister Co. due to use of an eagle brand which carefully resembles Hollister Co.’s seagull. Other competitors, consisting of Zumiez and PacSun, stand.

2) Economic Conditions :

External forces such as the change in populace size, demographics, the financial system, and many others may affect the company. The contemporary monetary recession, retail casualties have already started. Hollister Co. has felt the pressure of the declining marketplace, witnessing a lower in income of 15% since the last monetary.T he company should ensure that they maintain their loyal clients even as attracting new ones.

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During the initial years, Huawei focused its manufacturing on phone switches, and over the years it has expanded its business to include various operations like developing telecommunication networks, providing equipment to enterprises, and providing consulting and operational services. The company has about 194,000 employees as of the end of 2019. Huawei has provided its services and products to approximately 170 countries across the world. The company aims to reach digital to every person, organization and looking forward to connecting the world fully. The brand serves about three billion people worldwide. Huawei’s mission is to expand the technology benefits to all places. To achieve this, the company has created a digital inclusion strategy, and it focuses on three main areas: - Technology - Applications - Skills The SWOT analysis of Huawei differentiates all the main strengths, weaknesses, opportunities, and threats that helps the company to identify its internal and external environment. Readout this article, to get an understanding of where Huawei stands. The SWOT analysis of Huawei indicates the strengths of the brand in which the brand is good and what distinguishes it from its competitors, its weakness that would halt the brand to do well, and its focus point. It lists its opportunities that the brand can use to increase its market share and brand value. It also throws light on the threat that has the potential to harm the brand. To make sure that Huawei meets the long-term competitive advantage, it must address the various concerns highlighted in the SWOT analysis of Huawei. Let us discuss on the SWOT analysis of Huawei. Strengths in the SWOT Analysis of Huawei 1) Large Product Portfolio – One of the main strengths of the brand is its extensive product portfolio. Huawei has its fastest growth in producing wide ranges of smartphones. Huawei is one of the top three smartphone brands and the top two in the international market of smartphones. Every year, the number of smartphone deliveries keeps increasing. As the brand has a higher smartphone sale every year, it is shown in its higher profits. Apart from smartphones, the company produces various other products like mobile and fixed broadband networks, tablet computers, multimedia technology, dongles, Harmony OS, and Smart TV. All its products and services targeted to enterprises and individual users as well. Huawei’s entire business is separated into three segments. They are enterprise business, consumer, and carrier. 2) Innovation in Technology – Yet another strength of the brand is its innovation in its technology. Ever since its formation, the company has maintained a significant focus on research and innovation. Every year, the brand invests a considerable amount of money in research and development. Each year the amount keeps increasing, and hence many innovative technologies are coming up from this brand. Due to its strong focus on research and development, Huawei has been a leading player in the smartphone industry and the 5G technology as well. The company also invests a massive amount in Artificial Intelligence technology and sees a faster growth. As there is always some kind of development in technology still, it considers a more rapid growth among international players. 3) Leading Position in the Smartphone Market – Being a leading player in the smartphone industry, Huawei produces and sells many smartphones to the market. This has been its leading revenue source. The smartphone deliveries of the brand have been increasing, and so, the revenue is also on the rise. Huawei is the second leading player in the smartphone industry next to Apple. During the year 2018, the company’s smartphone deliveries turn out to be about 223 million units. Even though the smartphones of Huawei come with innovative technology and good cameras, its prices are feasible, and due to this, its market share has increased at a high level. 4) International Presence – The brand has an excellent global reach, and this is also a primary strength of the brand. Over the years, the company has expanded globally, leading to a good revenue, market share, and a strong customer base. Being a Chinese brand, Huawei has its business operations in about 170 countries, and it works with many large networks of distributors, suppliers, and business partners from various parts of the world. 5) Competitive Pricing – Yet another strength of the brand is its competitive pricing. This is one main reason for the brand to accomplish popularity and growth faster. The brand has a proper strategy that focuses on lower prices and quality. This has resulted in having a significant market share at the international smartphone market, thereby increasing its revenue. The company has many products that are priced feasibly and targets all economic classes of people. 6) Customer Value – Huawei have partners with various associations that provides network products and solutions that are simple, intelligent, innovative, trustworthy and secure. The brand also opens for ICT capabilities for enterprise customers and provide them with various solutions that are secure, innovative, and trustworthy. The brand makes use of multiple innovations in its smart devices and improves people’s digital experience. 7) Secure and Stable Network Operations – The top priorities of the brand were always focused on privacy protection and cybersecurity. Huawei always believes in the power of transparency and honesty. The company is always focused on improving their software engineering capabilities and business continuity while increasing the networks. Huawei has worked for about 30 years with carrier customers to create over 1,500 networks in nearly 170 countries. In an organized way, the company has tried to connect about three billion people across the world. Even in this vast network, the brand strives to maintain a right track of security. Weaknesses in the SWOT Analysis of Huawei 1) Many Controversies – The brand has many controversies ever since its formation, which seems to be a massive weakness for the brand. It also has a tainted image in the global market. Apart from controversies related to espionage, there are many more who tainted Huawei’s image in many Western nations and mostly in the US. This can be blamed due to the rivalry between the US and China and the close connection between the Chinese government and Huawei. Even now, Huawei’s image is considered a great weakness for the brand. Also, the brand has been accused of using its resources for espionage purpose. As it has lost the AT&T support in the US, it has ended up losing support from many other US partners also. 2) Weak Market in the US – The leading smartphone market in the US and Huawei has not positioned well in the US market. This is also a great weakness for the brand as the US being the leading smartphone market, and Huawei is not able to place itself there. People in the US mostly refrain from purchasing the Huawei handsets. While the company has faced investigations on many issues in the US, Canada, and Britain, the brand does not seem to be a big hit in these regions. As days pass, Huawei’s position in the US market keeps growing weaker in the United States. Also, the US government is keen on not allowing the brand to flourish in the US market. 3) Lack of Capital – The company always sees a cash shortage. As compared to other top brands in the world, Huawei’s capital is very less. The company has very little capital for its operations. Hence, they need to be extremely careful while planning their business operations. Also, due to its shortage of money, it has little money to go in for branding or marketing. To make the brand reachable, it should invest a considerable amount in marketing or branding. This becomes a great weakness for the brand. 4) Weak Brand – As Huawei has less capital, it does not have a sharp brand image. There is a lack of marketing for the brand, and due to this, it is a weak brand. Even though the brand has a sharp image in a few countries, it has less popularity in most of the top markets. Being a weak brand and as it affects the brand image, this is indeed a great weakness for the brand. Opportunities in the SWOT Analysis of Huawei 1) AI and 5G Technologies – Huawei has seen a lot of opportunities using its research and development. Being a leading player in the smartphone industry, the company has also seen a significant advantage in 5G technology. The brand should focus more on the AI and 5G technologies, and it has already had success in venturing into the 5G technology. Both the technologies AI and 5G are profitable are for any smartphone industry. So, the company sees a lot of opportunities in entering more into these technologies. 2) Marketing – As Huawei is strong as a technology firm, its marketing strategy is weaker as compared to its competitor. Instead of making use of a marketing strategy and consistent branding, the brand has depended mostly on its pricing strategy and product quality to increase its customer base and market share. Being a leading brand in technology, it must have a strong marketing strategy in place and is essential for its core business strategy. It should focus more on a marketing strategy to get a higher brand image. 3) Retail Chain – At the international level, the brand makes use of online channels for its sales. Currently, Huawei has created a good position, and it sees more opportunities to expand its presence in the global market by taking efforts to develop its brand retail chain. Along with marketing, the company should be able to drive more sales and get customer loyalty. Threats in the SWOT Analysis of Huawei 1) Competitors – The smartphone industry sees a lot of competition over the years, and it keeps growing at a fast pace. As the company has been recognized as a top brand in the smartphone industry, it does face many competitions from many foreign brands and Chinese brands as well. Its competitors include Apple, Xiaomi, Samsung, etc. Hence, seeing many players in the smartphone industry is a significant threat to the company. 2) Regulatory Pressures – Many regulatory and political pressures are increasingly projecting a severe threat to global players in technology. The international business of Huawei is being threatened by the political pressures and the trade war that takes place between China and the US. It is not only with the US that it faces threats but also with other leading markets like Canada, Britain, and Japan. Huawei faces intense political pressure, that is a significant threat to its development. This would drastically limit the Huawei’s international business. 3) Trade Pressures – There has always been trading tensions between China and the US, and this has been big trouble for the brand. This is due to the fact about the relationship that the technology company has with the Chinese government. This is also a threat to the business. Conclusion Huawei has flourished in the international market in less time. In recent years, the company has developed its smartphone industry. With the increase of smartphone, the brand has seen significant growth in the market. The SWOT analysis of Huawei mentioned in this article has highlighted the main strengths of the brand that comes up from its extensive product portfolio, innovation in technology, leading position in the smartphone industry, having an international presence, maintaining feasible pricing, have an excellent value-form customer, and providing secure and stable network operations. Its weakness is seen from its many controversies, a weak presence in the US, less capital, and a weak brand. It sees a significant opportunity on entering AI and 5G technologies, focusing more on marketing, and having a strong retail chain. Its threat is from its competitors in the smartphone industry, various regulatory pressures, and trade pressures among the US.SWOT Analysis of Huawei SWOT Analysis for PradaSWOT Analysis of Prada SWOT Analysis of OLX Online Exchange (OLX), also known as the OLX group, is an online marketplace that was established during the year 2006 and is being in operation in about 45 countries. It is a classified forum that is headquartered in the Netherlands. OLX is a leading online platform to buy, sell, and exchange various products like electronics, apparel, household goods, cars, bikes, etc. During the year 2014, the OLX platform has about 11 billion-page views; it sees about 200 million active users per month, 8.5 million transactions per month, and 25 million listings. OLX is a platform where the buyer and seller of an exchange item come on a common platform to buy and sell. For this, each of them should be a registered user of this platform. Once they are registered on this platform, the seller can place their products with its features. Once the seller posts their products, people who are registered on this platform can view the details shared by the buyer. This platform has a unique feature wherein the search is tuned as per the location. Buyers and sellers in the nearby area can see each other on the platform and communicate using messaging services. The SWOT analysis of OLX differentiates all the main strengths, weaknesses, opportunities, and threats that give guidance to the company to scale up more. Readout this article, to get an understanding of where OLX stands. The SWOT analysis of OLX indicates the strengths of the brand in which the brand is good and what differentiates it from its competitors, its weakness that stops the brand from performing well and should focus on to improve. It lists its opportunities that the brand can use to increase its market share and brand value. It also throws light on the threat that has the potential to harm the brand. To make sure that OLX meets the long-term competitive advantage, it must address the various concerns highlighted in the SWOT analysis of OLX. Let us discuss on the SWOT analysis of OLX. Strengths in the SWOT Analysis of OLX 1) Large Presence – OLX has its presence in more than 100 countries. This is an excellent strength for the brand. Having a significant presence in many countries would see many users created on the platform. When there are more users on the platform, it means that people make use of this platform to buy and sell. 2) Brand Image – OLX has a strong brand image and has about 11 billion page views. Also, it sees about 200 million active users per month, 8.5 million transactions per month, and 25 million listings. This shows that the brand is visible across the country, and it is known to many people. Having a strong brand image is the main strength of the brand. 3) Strong Backup – OLX sees a strong back up by Naspers. It has a lot of experience in working with various eCommerce giants. Because of this, there can be a lot of input from the backup. This is the main strength of the brand. 4) Strong Advertising Campaign – Yet another strength of the brand is its strong marketing efforts. It has an excellent marketing strategy, and its advertisements are popular on television, radios, many online channels, etc. Due to its marketing efforts, its brand value has increased. Many people are aware of this online platform and use it. Its advertisement is quite popular in online media. 5) Strong Vehicle Category – OLX has a strong place in the vehicle category. It sees many sellers placing ads to sell their vehicle, and there are many buyers to purchase as well. The vehicle category alone sees around 850 million page views per month. This is indeed a vast data and the main strength to highlight the brand. 6) C2C Market Leader – OLX seems to be India’s market leader in the C2C business. This is also the main strength of the brand. It has fewer competitors and one reason to have many users on its platform. 7) No Specific Product – OLX has no limitations with regards to products. It has a massive portfolio of products where users can place their advertisements. 8) Business Model – OLX is one of the biggest free online classified platforms. Its business model is unique and presents it finely. It has an online platform where people buy or sell products. It is spread across many cities in India. 9) Many Functions – On the OLX platform, a user can easily design many rich advertisements with beautiful images. A user can also control the buying and selling activities in the OLX platform. It also has a feature where a user can display their ads on any social networking platforms. Users can access the OLX website from anywhere, and it also has an app to support. 10) Easy Availability of Products – This platform gives easy access to customers to get any products at less cost. Customers can access their beautiful websites with rich and featured listing. 11) Huge Market Share – OLX has managed to get about 60% of the online classified market share. This is a significant strength to the brand, and its traffic has also grown to 55 times over the past few months. Even, the OLX app has exceeded 3.2 million downloads in India. Weaknesses in the SWOT Analysis of OLX 1) Technology-oriented – OLX is heavily dependent on technology, and it lacks features to convert non-internet users as potential customers. This is a great weakness for the brand because the number of users would reduce. 2) Competition – There are many competitors from the offline mode as well. Many people try to sell their products using many other ways like WhatsApp, word of mouth, etc. This is also a weakness for the brand because the users would reduce. 3) No Quality Assurance – As many buyers and sellers meet online, and various discussions take place online, there are chances that the quality would go off. Till the buyer sees the product and understands its features and use it, there is no guarantee on the product. This is also a weakness for the brand. 4) Online Fraud – As OLX is entirely an online platform where many people meet online and discuss their sale and purchase, there is a chance that it can enter fraudulent activity as well. 5) Fake Ads - As OLX is entirely an online platform where many sellers post many ads, there are chances that people post fake ads as well. 6) Delay in Response – As OLX is entirely an online platform, it is dependent on people to log in to check for an update on their products. There would be a delay in response and for the product to be sold. Opportunities in the SWOT Analysis of OLX 1) Increasing Products – OLX sees more opportunity if they diversify on its products listing. It could have many subcategories of products, and this would bring more opportunity for sellers and buyers to glance through their requirements. 2) Increase in Offline Channel to Advertise – OLX can increase on its advertising channel by setting up an offline channel so that it could bring more brand awareness about its platform. This would also get more customers to get into their platform. The brand can brief the audience about its features and ways to use it. 3) People Choice – This platform is ideal for users who can wish to purchase their products as per their wish at less cost. So, there is a lot of opportunity for this platform. 4) Many Sellers – This platform brings a lot of opportunity for the sellers as they can sell their products and benefit out of it. With this, the online platform also sees more users using it, ultimately leading to huge traffic. 5) OLX Jobs – This online platform can increase its offering by listing job opportunities as well. This would see more chances of its business and improve the user count as well. 6) Real Estate Property – OLX has also entered listing of real estate and sees many opportunities to expand. Threats in the SWOT Analysis of OLX 1) Competitors – OLX sees many competitors at a similar domain, and this is a big threat for the brand. Investors have funded its competitor Quickr. So, OLX is at threat. 2) Offline Stores – Many offline stores sell second-hand products at a discounted price. This is also a threat to the brand. People would prefer to visit the offline store so that they could see and feel the product before purchase. Conclusion The SWOT analysis of OLX mentioned in this article has highlighted the main strengths of the brand that comes up from its brand value, having a significant presence in the country, having a strong backup, excellent marketing efforts, a strong presence in the vehicle category, being a market leader in C2C, availability of many products, having a unique business model, easy accessibility, and a considerable market share. The weakness of the brand is its technology-oriented platform where it is tough to get many non-internet users to the platform, having many competitions from the online and offline mode, no quality assurance, online fraudulent, fake ads, and delay in response. Its opportunities are seen on increasing its product listing, entering the offline mode to raise its brand awareness, having many sellers, allowing people to select their products, OLX jobs, and entering real estate business. It sees a threat from its many competitors like quickr, eBay, and many more, and many of the offline stores that sell second-hand products.SWOT Analysis of OLX SWOT Analysis for SonySWOT Analysis of Sony SWOT analysis of PanteneSWOT analysis of Pantene – Pantene SWOT analysis
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About Hitesh Bhasin

I love writing about the latest in marketing & advertising. I am a serial entrepreneur & I created Marketing91 because i wanted my readers to stay ahead in this hectic business world. You can follow me on Facebook. Let's stay in touch :)

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