If you’re building a marketing strategy for your small business, one of the most powerful tools at your disposal is a SWOT analysis. It’s simple, strategic, and incredibly effective at helping you understand where you stand, and where you can grow.
What Is a SWOT Analysis?
A SWOT analysis is a strategic planning tool used to identify your business’s:
- Strengths
- Weaknesses
- Opportunities
- Threats
It helps you assess internal and external factors that can impact your marketing success. Think of it as a snapshot of where your business is today, and a roadmap for where it could go tomorrow.
You can use a simple 2x2 matrix to organise your findings:
| Strengths | Weaknesses |
| Opportunities | Threats |
Why SWOT Is Useful in Marketing
A SWOT analysis helps you:
- Clarify your brand position in the market
- Identify gaps in your current marketing strategy
- Spot growth opportunities you might be missing
- Prepare for challenges before they become problems
It’s beneficial when launching a new campaign, entering a new market, or reviewing your annual marketing plan.
Step-by-Step Guide to Conducting a SWOT Analysis
Let’s break down each section of the SWOT framework and what to look for:
Strengths
These are internal advantages that give your business a competitive edge.
Ask yourself:
- What do we do better than our competitors?
- What unique resources or skills do we have?
- What marketing channels are performing well?
Examples:
- Strong brand recognition
- Loyal customer base
- High-performing email campaigns
Weaknesses
These are internal limitations that may be holding you back.
Ask yourself:
- Where are we underperforming?
- What skills or resources are we lacking?
- Are there gaps in our marketing funnel?
Examples:
- Low website traffic
- Inconsistent social media presence
- Limited marketing budget
Opportunities
These are external trends or changes you can take advantage of.
Ask yourself:
- Are there emerging trends in our industry?
- Are there underserved customer segments?
- Can we expand into new channels or markets?
Examples:
- Growing demand for eco-friendly products
- New social media platforms are gaining traction
- Competitors exiting the market
Threats
These are external factors that could negatively impact your business.
Ask yourself:
- What are our competitors doing better?
- Are there changes in customer behaviour or regulations?
- Are we vulnerable to economic shifts?
Examples:
- Rising ad costs
- Negative online reviews
- New competitors entering your space
Example SWOT Analysis for a Small Business
Let’s say you run a local organic skincare brand. Here’s what your SWOT might look like:
| Strengths | Weaknesses |
| Loyal customer base | Limited marketing team |
| High product quality | Low brand awareness outside local area |
| Strong Instagram engagement | No email marketing strategy |
| Opportunities | Threats |
|---|---|
| Rising interest in natural skincare | Larger brands entering the organic space |
| Influencer partnerships | Supply chain disruptions |
| Expanding into e-commerce | Algorithm changes on social media |
How to Use SWOT Insights in Your Strategy
Once you’ve completed your SWOT analysis, use it to:
- Double down on strengths: Highlight them in your messaging and campaigns.
- Address weaknesses by investing in training, tools, or partnerships to fill the gaps.
- Pursue opportunities: Test new channels, products, or audiences.
- Mitigate threats by building contingency plans and closely monitoring trends.
For example, if you discover that your email marketing is a weakness but your Instagram is strong, you might start by repurposing your best-performing posts into email content.
👉 Need help turning insights into action? Read our guide on How to build a marketing strategy or What is a positioning strategy?
Final Thoughts
A SWOT analysis is more than just a box-ticking exercise, it’s a strategic lens that helps you make smarter marketing decisions. By understanding your internal capabilities and external environment, you can build a marketing strategy that’s both grounded and growth-focused.