Pets.com SWOT Analysis
Pets.com’s SWOT Analysis
STRENGTH
1. Huge cash to spend. Heavily funded. Backed by Amazon.com.
2. Direct access to Amazon.com’s network resources and e-commerce skills and expertise, so technology skills and know-how is not an issue.
3. Strategic alliance with Yahoo!, GO.com (Disney), Discovery TV network (Animal Planet) and association with the American Veterinar Medical Foundation can be a very strong network positioning strategy.
4. Pets.com is the most recognizable domain name, highly visible website with most comprehensive website content and best design. Pets.com website is so popular in the internet and mainstream media that at one time becomes the most visited pet supplies website in the world.
5. Most competitive price and service offerings (plus free delivery). Able to offer quality products of which becoming today’s key plus factor to the passionate middle-class and high income pet owners.
6. Largest stock keeping units (SKUs) in America to ensure reliable supply and on time delivery to customers. WEAKNESS
1. Competitors offer similar products. Pets.com still could not find key market differentiator.
2. Huge expectation on online marketing and promotion. Specialized team to maintain up-to-date and latest website content and information may incur increasing administration costs.
3. Pets.com have weak brand name as compared to more established rivals.
4. Pets.com don’t have physical stores presence nationwide and globally.
5. Reliability and security on the internet can halt and even destroy online business almost overnight.
6. High transportation costs and insurance liability due to free delivery policy to customers regardless location
7. Geographical factors, warehouse location and distance may result to 2-3 days for orders to reach American homes
OPPORTUNITIES
1. Pets.com can leverage further on Amazon’s full potential-market penetration and trustworthy e-commerce reputation
2. Can take full advantage on average American
STRENGTH
1. Huge cash to spend. Heavily funded. Backed by Amazon.com.
2. Direct access to Amazon.com’s network resources and e-commerce skills and expertise, so technology skills and know-how is not an issue.
3. Strategic alliance with Yahoo!, GO.com (Disney), Discovery TV network (Animal Planet) and association with the American Veterinar Medical Foundation can be a very strong network positioning strategy.
4. Pets.com is the most recognizable domain name, highly visible website with most comprehensive website content and best design. Pets.com website is so popular in the internet and mainstream media that at one time becomes the most visited pet supplies website in the world.
5. Most competitive price and service offerings (plus free delivery). Able to offer quality products of which becoming today’s key plus factor to the passionate middle-class and high income pet owners.
6. Largest stock keeping units (SKUs) in America to ensure reliable supply and on time delivery to customers. WEAKNESS
1. Competitors offer similar products. Pets.com still could not find key market differentiator.
2. Huge expectation on online marketing and promotion. Specialized team to maintain up-to-date and latest website content and information may incur increasing administration costs.
3. Pets.com have weak brand name as compared to more established rivals.
4. Pets.com don’t have physical stores presence nationwide and globally.
5. Reliability and security on the internet can halt and even destroy online business almost overnight.
6. High transportation costs and insurance liability due to free delivery policy to customers regardless location
7. Geographical factors, warehouse location and distance may result to 2-3 days for orders to reach American homes
OPPORTUNITIES
1. Pets.com can leverage further on Amazon’s full potential-market penetration and trustworthy e-commerce reputation
2. Can take full advantage on average American