Strategic Objective: To form a stronger brand while also expanding the target audience.
External Analysis:
General Environment | - Creating an easier process to see products.
- Online shopping
- Websites have gotten updated to play a more important role in moving forward
|
Industry Environment | - Not a big business
- PayPal and Authorize.net are third party services the offer
|
Competitive Environment | - Loyalty is made through time
- There are other versions that mimic the service brought by Shopify
- Focuses on a different kind of customer base.
- Well know companies such as Yahoo
|
Internal Analysis:
Resources | - They offer a great new design
- Access to payment options through different methods
- Brought everything you can see in the stores and put it on helpful websites
|
Capabilities | - Introduce themselves into a new target audience
- Shopify will be able to constantly improve their systems which will allow them to spread there range on the websites.
- Free 30 day trial
|
Core Competencies
| - Very user friendly due to interface
- Have a variety of website designs
- Software is set up nicely
|
SWOT Analysis:
Strengths
- Faster than all other competitors
- Different payment methods
- Advancing rapidly through introduction of new technologies
- Able to modify themselves According to Customers needs.
| Weakness
- They don’t have that many customers.
- Trying to get customers to stay with the company
|
Opportunities
- Finding more target groups
- Form a stronger customer service with in the company
| Threats
- If customers decide to go with other companies
- If competitors move in and try to steal customers through different tactics.
|
Strategic Options/ Alternatives:
Alternatives | Pros | Cons | Favorabilty (/10) |
Focus on a larger group of individuals- larger organization.
| - Ability to retain customers.
- Keep technology updated.
| - Intense competition.
- Decrease in retention of smaller based businesses.
| 8/10 |
Option 2 | - More diversification of people testing the software.
- Keeping the status quo.
| - No long term relationships established for the future business client.
| 6/10 |
Option 3
Create a stronger Customer service | - Forms good relations with new and future customers
- Clients will form a loyalty with the brand
- Generate more profit due to higher customer satisfaction
| - It will affect their chance being introduced into a new customer base.
- Would have to invest time and money to create
| 10/10 |
Recommendations:
In my opinion, Shopify, should focus on Loyalty towards their customers. By choosing option three they will be able to assist their customers through any dilemma. This will give a clear picture how to address customers and that knowledge can be passed down so the company will be able to evolve for their customers. More customers will come when they hear good things about the service.
