SWOT Analysis: H&M
SWOT Analysis: H&M
Megan Davis-Dhuyvetter
Marketing Tues. 12:30
Strengths:
The nearest H&M store is in Tacoma, Washington. That makes the commute from Olympia about 30 minutes. Many people make the trip to Tacoma purely for the shopping experience.
The population in Olympia grew 12.2% from 2000 to 2012 and was projected to continue growing.
The surrounding zip codes of the Olympia shopping mall have:
$50k to $75k as the most common yearly income
Ages 21 to 34 the largest age group
Which is beneficial because the target market ages are teens, men and women 20 to 35, and parents of children. About 36% of households in Olympia have children under 18, whom are all potential shoppers of H&M kids.
H&M plans to increase their store numbers by 10% to 15% yearly, and with that they hope to increase sales in “comparable units.”
Since the company is publicly announcing that they want to increase the number or stores, they have the funds and resources necessary to acquire locations they desire.
There are competitors in the mall such as Charlotte Russe, Forever 21, and Macy’s that draw traffic for the right consumers shopping in the H&M price point range.
While there are competitors all within a relatively small shopping mall, there are not as many as in the Tacoma or Southcenter malls in Washington within an hour of Olympia, where there are H&M stores located.
The average household income is $77,646.4
The consumer spending per household is on average $57,437 annually.2
Olympia has a social reputation of being extremely environmentally conscious, partially due to Evergreen State College, which aligns with H&M’s promise and dedication to being environmentally friendly in their products and production, making it a store that typically the more environmentally conscious would avoid due to the stigma of fast mass production.
Weaknesses:
The Washington state minimum wage is higher than in their flagship location in
Megan Davis-Dhuyvetter
Marketing Tues. 12:30
Strengths:
The nearest H&M store is in Tacoma, Washington. That makes the commute from Olympia about 30 minutes. Many people make the trip to Tacoma purely for the shopping experience.
The population in Olympia grew 12.2% from 2000 to 2012 and was projected to continue growing.
The surrounding zip codes of the Olympia shopping mall have:
$50k to $75k as the most common yearly income
Ages 21 to 34 the largest age group
Which is beneficial because the target market ages are teens, men and women 20 to 35, and parents of children. About 36% of households in Olympia have children under 18, whom are all potential shoppers of H&M kids.
H&M plans to increase their store numbers by 10% to 15% yearly, and with that they hope to increase sales in “comparable units.”
Since the company is publicly announcing that they want to increase the number or stores, they have the funds and resources necessary to acquire locations they desire.
There are competitors in the mall such as Charlotte Russe, Forever 21, and Macy’s that draw traffic for the right consumers shopping in the H&M price point range.
While there are competitors all within a relatively small shopping mall, there are not as many as in the Tacoma or Southcenter malls in Washington within an hour of Olympia, where there are H&M stores located.
The average household income is $77,646.4
The consumer spending per household is on average $57,437 annually.2
Olympia has a social reputation of being extremely environmentally conscious, partially due to Evergreen State College, which aligns with H&M’s promise and dedication to being environmentally friendly in their products and production, making it a store that typically the more environmentally conscious would avoid due to the stigma of fast mass production.
Weaknesses:
The Washington state minimum wage is higher than in their flagship location in