What is SWOT Analysis? How it empowers a Construction Marketing Strategy?
Isn’t every individual bothered about his strengths and weaknesses! And works as per opportunities, and takes care of himself as per threats he can sense. Likewise, every construction business shall also analyze and act to minimize problems, increase productivity, cut competition and gain profit. Here we are talking about the SWOT Analysis. Let’s delve further into how a construction company’s SWOT analysis paves the way for a brilliant digital marketing strategy.
In this blog, we will answer: What is the construction company’s SWOT analysis?
How SWOT Analysis empowers a construction marketing strategy
Construction Industry keeps seeing ups and downs. The Housing Bubble effect of 2008 was one of the major dents in the progress of the US construction industry. But ever since then, the industry has knocked down all the factors hampering the growth. Even with the revenues fluctuating, most of the construction companies maintain profitable businesses. The reason behind this robust business flourishing is that no matter what, they will be always be called to deal with construction-related issues, be it commercial or residential. The states like California and Texas are seeing major projects coming as construction means the overall development of the area.
So, a construction company’s SWOT Analysis is very crucial. It’s helpful not only for offline marketing strategy but also online. Let’s start with:
What is SWOT Analysis?
To understand the construction company’s SWOT analysis, first, we need to understand what SWOT analysis is? It all started in the 1960s when Albert Humphrey of Stanford University developed the SWOT analysis as a technique for a strategic planning tool. The concept is basic, easy to apply and use for any business.
SWOT, as you know by now, stands for these four factors:
All these factors need not just be about business but can be about the situation, an organization, or a person’s career. However, one can use SWOT analysis as per the requirement to gauge any situation or crisis. And there is no denying that SWOT is most useful when it comes to business firms.
Struggling with a construction marketing strategy! Here’s what to do.
What is the construction company’s SWOT Analysis?
Do you think any business can succeed without planning? No, isn’t it! In every business be it construction too, everyone tries to come up with a unique, hyper-targeted marketing strategy. If not, then a bit of planning at every stage does undergo. Planning here is nothing but setting goals, allotting resources and workforce, more importantly, prioritizing. So, is SWOT Analysis really required? If yes, then how to do SWOT Analysis of a construction company?
Yes, SWOT Analysis is the ultimate need for a construction company as it can only reveal some of the critical factors that can help in devising a sound marketing strategy.
How to determine your Construction Company’s STRENGTHS?
Every construction company is into building structures, but not necessarily all. Some are into services, rentals, and providing human resources too. Thus, each company has to determine its strengths respectively. And, no matter what your construction firm deals with, efficiency and on-time delivery are the most-valued virtues as well as strengths. Another Strength would be management skills which come naturally to a construction company as they slog hard to deliver on time with precision.
The biggest strength of a construction company nevertheless is its flexibility of choosing clients, and the dependency of other sectors and industries on them. At the same time, a construction company can work with an IT firm or a media house.
Consider these points to determine your Construction Company’s STRENGTHS?
- What is successful for your company?
- Do you have – Talented team, good work culture, expertise, network, brand reputation?
- Competitive edge over your competitor matters.
- Are your finances strong?
- How trustworthy are you for your customers/clients?
What are the WEAKNESSES of your construction company?
Like strengths, weaknesses will also vary company to company. But, be it any company, poor management will be a weak point that can cost any company big. So, concentrating on poor decisions on the management level should be done. The construction industry also gives a lot of weight to the year-old professional ties. Thus, very evident, at times, matters are taken for granted by either party.
The most crucial factor a construction firm should pay attention to is how crisis management is at work in its organization. Any project is prone to disaster, and a team incapable of managing it will incur troubles galore.
Go through these points to see through your WEAKNESSES:
- Where is the scope for improvement?
- Does your business need to be competitive?
- Are your clients/customers happy with services and products?
- How efficient are you?
- Do you have a team that works diligently and in tandem?
- Your business address is the ideal location to lead projects!
Follow the OPPORTUNITIES as it comes or create it!
In the construction industry seeking and creating own opportunities is more vital than getting one. Gauge at the current market trends to bring out more opportunities for you to grow. Clients are not going to fall from above; a company has to coax and cajole them into working. Attracting clients/customers is all about more significant opportunities. The digital marketing strategy for construction companies can flourish only at the cost of opportunities.
Besides focusing on clients, a company can also improvise its networking skills. Better the network, best the chances for gaining projects and leads.
Here is how you can sense OPPORTUNITIES:
- Is branding for your construction company compromised?
- Do you see target market/audience growing?
- Are you up-to-trend, catering to the right masses?
- Taking challenges with that leap of faith!
- Willing to try something new, and go off the beat?
Know your construction company’s THREATS
Like opportunities, the threat is an external factor. A construction company is wary of dreadful situations like economic crisis, natural disasters, political unrest in the area or country. However, some of the threatening issues can be inside the company. Here is one SWOT Analysis example, if you are providing labor-supply services, and unable to manage your own people (who are making your business successful), have unreliable contractors and subcontractors, then it’s a possible threat to your business model.
Pointing out a few more factors to decode THREATS:
- Are competitors lining up to have your share of the pie in the market?
- What about prices fluctuating now and then! Do you have suppliers who are supplying you the best at the best prices?
- Are you up-to-date as per the current technology! Watch out for tech-savvy new entrants!
- Monitor the market trends that can become a threat later.
- Consumers should not be getting cynical of you. Your brand identity and reputation matters.
How SWOT Analysis empowers a construction marketing strategy
SWOT Analysis of a Construction company can have multiple layers right from the ground level to the way up till management. To have an unbeaten business run, one needs to peel the layers off. To do a successful SWOT analysis of the company get experts to do brainstorming because a profitable business doesn’t happen overnight, and neither is an accident.
You may start a construction business with your sheer passion, but with time only the right and robust digital marketing strategy will help. Brainstorming will give you a list of strengths, weaknesses, opportunities, and threats to ponder. With the help of construction marketing strategists, the entire research then can be simplified to a cohesive, focused, and data-driven plan.
Concluding this blog, here are three vital points that a construction company shouldn’t ignore while doing SWOT Analysis:
- Capital – A construction company is doomed if there is a lack of money. How it can progress if there is no investment.
- Issues – A construction company shouldn’t be affected by political, environmental, and labor issues.
- Technology – Digital age is here and is manifesting. Mold your business model to suit the emerging new technologies to reap the benefits.
That’s how a construction company’s SWOT Analysis paves the way for a brilliant marketing strategy.
Crafting a digital marketing strategy for a construction company is our forte. CMGurus is a marketing agency for construction companies with certified SEO and PPC experts. Do let us know your requirements.