Sirius Xm Strengths And Weaknesses
Overview
Sirius XM has unique strengths that they can apply to help foster their future success. The company offers their customers premium and exclusive broadcasting services which include the NFL, MLB, NASCAR, NBA, NHL, traffic, weather, and more. In conjunction with being able to offer premium and exclusive broadcasts, Sirius XM is not restricted in their content to the extreme that free radio stations are subjected to. Sirius XM has the advantage of operating in an industry where the high barriers of entry make it difficult for other businesses to break in which has allowed the company to have no competitors. One of Sirius XM’s most significant strength comes from their large coverage area. Their services are able to reach customers that
are unable to receive free FM/AM radio signals or use free radio applications on their cell phones. Sirius XM is in a position to use their strengths to overcome their weaknesses and threats through expansion of their customer base.
Sirius XM depends heavily on their deals with automotive companies to expand and grow their subscriber base. The company acquires a majority of new subscriptions from purchasers and lessees of new and previously owned automobiles. Should there be a decline in the sales of vehicles, Sirius XM’s subscriber growth would be greatly reduced impacting their sales. The availability of free radio applications on consumer cell phones creates a threat to reducing the subscriber base that could easily be rectified by their capability to offer more exclusive programming options with reduced censorship regulations. This where Sirius XM has the ability to concentrate on their opportunities such as global expansion, internet streaming options, enlarging program content, and adding satellite video services to attract new subscribers.
Sirius XM has unique strengths that they can apply to help foster their future success. The company offers their customers premium and exclusive broadcasting services which include the NFL, MLB, NASCAR, NBA, NHL, traffic, weather, and more. In conjunction with being able to offer premium and exclusive broadcasts, Sirius XM is not restricted in their content to the extreme that free radio stations are subjected to. Sirius XM has the advantage of operating in an industry where the high barriers of entry make it difficult for other businesses to break in which has allowed the company to have no competitors. One of Sirius XM’s most significant strength comes from their large coverage area. Their services are able to reach customers that
are unable to receive free FM/AM radio signals or use free radio applications on their cell phones. Sirius XM is in a position to use their strengths to overcome their weaknesses and threats through expansion of their customer base.
Sirius XM depends heavily on their deals with automotive companies to expand and grow their subscriber base. The company acquires a majority of new subscriptions from purchasers and lessees of new and previously owned automobiles. Should there be a decline in the sales of vehicles, Sirius XM’s subscriber growth would be greatly reduced impacting their sales. The availability of free radio applications on consumer cell phones creates a threat to reducing the subscriber base that could easily be rectified by their capability to offer more exclusive programming options with reduced censorship regulations. This where Sirius XM has the ability to concentrate on their opportunities such as global expansion, internet streaming options, enlarging program content, and adding satellite video services to attract new subscribers.