SWOT Analysis Of Zappos

Zappos currently offers a diverse product line. This product line has allowed them to develop a prestigious brand. Zappos can take advantage of their brand name by adding a new product, as brand extensions have become in increasingly popular strategy (Greifeneder, Bless, & Kuschmann, 2007). However, with this branding comes pressure when considering a new product. Pressure to deliver the new product to market that stands up to the consumers’ brand expectations.

Further, this same pressure challenges entities to constantly look for opportunities, what the competition is providing, that they are not. If they become complacent they risk losing out to their competition. Zappos must not become complacent. They should continue to be forward

To do this Zappos will need to put together a SWOT analysis. A solid SWOT analysis bridges the gap between the analytical and prospective implementation of the plan (Borissov, 2015). To help bridge this gap determining the strengths, weaknesses, opportunities, and threats is a step that can’t be skipped. Not for Zappos or any company. For instance if the product is furniture, what are the strengths this product will bring to Zappos as a whole? Will it bring competitive edge? Competition can serve as a threat and an opportunity. Understanding their weaknesses will allow them to grow from them. Knowing what their weaknesses are allows them to be addressed. While this is not always possible, the SWOT analysis is an imperative step to strategic

However, if everyone that plays a role in the marketing plan is committed it is more likely for the product to be a success. Zappos being a known brand can benefit them by drawing in their loyal consumers. With this in mind, the new product must offer the same quality and shopping experience that their current brand does. Otherwise, they could damage their reputation, as word of mouth is powerful. While they rely heavily on this type of marketing currently, a bad product could tarnish even their current product line. All and all, new products are always risky; however a good marketing plan with a solid marketing strategy can help to mitigate those