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SWOT ANALYSIS

STRENGTH

1.ESTABLISHED BRAND: AVON has a long history and strong brand recognition globally.

2.DIRECT SELLING MODEL: direct selling allows for personalized costumer interaction and
flexible employment opportunities.

3.DIVERSE PRODUCT RAGE: AVON offers a wide range of beauty ,skincare, and wellness
products, appealing to a brand customer base.

4.GLOBAL PRESENCE: AVON operates in numerous countries providing access to diverse


markets.

5.COMMUNITY ENGAGEMENTS: AVON has a strong focus on social responsibility and


empowerment of women through initiatives like breast cancer awareness campaigns.

WEAKNESSES:

The lack of demand, economic slowdown, coupled with stronger economic competition in some
of its important regions is the main reasons for AVONS continuous poor performance. Along
with this, its continuous problem with active representatives retention for the company.

OPPORTUNITIES:

-AVON can leverage its existing brand recognition and distribution network to further expand
into emerging markets and regions with growing demand for cosmetics and beauty products.
This includes targeting countries in asia, latin America, and Africa where beauty trends are on
the rise

1. Digital transformation: with the increasing shift towards online shopping and e-
commerce, Avon has the opportunity to enhance its digital presence and e-commerce
platforms.
2. Personalized beauty solutions: AVON can explore opportunities to offer personalized
beauty solutions tailored to individual customer preferences and needs. This includes
personalize skin care regiments make up recommendation base on skin tone, and virtual
try-on tools to enhance the online shopping experience.
3. Clean Beauty and Sustainability: there is a growing demand for clean, natural, and
sustainable beauty products offerings to include more eco-friendly and sustainable
options, sa well as transparently communicating its commitment to ethical sourcing and
environmental responsibility.
4. Collaboration and partnership: AVON can explore collaboration and partnership with
influencers, celebrities, and other brands to create exclusive product lines, limited
edition collection, and co-branded marketing campaigns.
5. Innovative technology: AVON can invest in innovative technology solutions such as
augmented reality or(AR) Beauty apps, virtual make up try-on tools, and artificial
intelligence (AI) powered skin care analysis to enhance the customer experience drive
engagement, and differentiate its brand in the competitive market.

6. Social Selling and community building: Avon’s direct selling morel presents an
opportunity to strengthen relationships with its network of representatives and customers
through social selling initiatives, community-building events, and loyalty program. By
empowering, tools, and incentives, Avon can drive sales and foster brand advocacy.

THREAT:
1. Strong Competition: The major competitor of Avon is Amway.
2. Competitive advertising and distribution network of competitors
3. Dependence on third party suppliers
4. Changing consumer buying behaviour from online channel could be a threat to the
existing physical infrastructure driven supply chain model.
5. Rising row material can pose a threat to the Avon products profitability.
6. The company can face lawsuits in various markets given-different laws and continuous
fluctuations regarding product standards in those markets.

KEY
STRATEGY KEY RESULT PERFORMANCE
AREA INDICATOR
 To create a world  Providing high  To increase
with more quality product customer
empowered women  Achieving high satisfaction
 Advance of the sales expansion  To increase
direct selling  Rebuilding brand employee intention
 Retail images  Revenue growth
 to focus on  Providing  Door to door sale
commercial model outstanding
optimazation, a services to
relationship selling customers
framework
 innovation 
relevance and
digitally-enable,
and omni-channel
process

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