The Swot Analysis of the North Face

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| Strengths 1. An international brand sensation. 2. Particular brand culture 3. With leading technology development ability and also well product quality 4. Marketing both online and offline| Weakness 1. The market started late in China 2. With high features of specialty of the products 3. High products price 4. Weakness on the level of marketing of channel manager| Opportunities 1. The enterprise expand with high growth rate in China (50%) 2. The increasing of Chinese purchasing power and brand awareness 3. The increasing needed of functional and personable products| Matching 1. Strength the brand awareness 2. Develop new functional products which are more suitable for Chinese market 3. Hold promotion activity both on online and offline and quickly seize the market share in China| Converting 1. Step up development efforts in second-tier city, make strategic layout 2. Develop wider adaptability products that fit in China 3. Strengthen channel manager’s marketing skill | Treats 1. The competition of other outdoors brand 2. Sham products and illegally bidding 3. With a high cost on traditional marketing costs in China| Minimizing 1. Having a better business cooperation with domestic agency, build complete commercial contract 2. Reducing developing cost and cut down development time, reducing intermediate expenditures 3. Increasing ‘relationship marketing’ between outlet store and online store| Avoiding 1. Keep the market share in first-tier cities, avoiding lose living space in first-tier cities 2. Avoid blind pricing, keep high brand quality 3. Focus on outdoors products, avoid losing core customer|

Strength

As previous said, the North Face, Inc. is a well-known outdoor product company. In the China, it is the second-best selling outdoor product, just behind the Columbia. Hence, the first strength that the North Face has is popularity. In outdoor product in China, or we can say in Chinese first-tier cities, the North Face has almost one-sixth of market shares (14.09%, see in Chart 1). The second strength is the North Face has Particular brand culture. “Culture is Brand, Brand is Culture” Hugh ever said it. (Macphie, 2012) When people talk about the North Face, they will first think about the North Face’s particular culture. This could be strength for the North Face because a well-known story about the product can attract lot of fans to purchase this product. Since 1966 the first North Face product came out, the North Face has written almost 50 years history. (Quyeba.com, 2013) The North Face’s third strength in China is that, it has leading technology ability. In 2006, one of its famous products, the Ultra GTX XCR running shoes, won the awards of “Installation of the Year” by Outdoor Magazine. (Quyeba.com, 2013) High consumer loyalty needs high product quality. As previous said, every product of the North Face use the highest technology fabric to make sure each product has high quality. With leading technology ability and ultrahigh product quality, the North Face owned quite a lot of market share in the world. Talk about the strength of the North Face, its marketing method is cannot not mentioned. The North Face made double line market, the online and offline. This makes it stay leading in the business.

Weakness

Although the North Face establish almost 50 years, it started very late in China. In 2008, the first flagship store settled in Beijing. Compare with other famous outdoor product brand (see in chart 4), the North Face is the last company entry Chinese market. This weakness may lead some decision-making error in China and pressed by the competitors because it knows less about Chinese market. Chart 4

Data from Baidu.com

Different from Converse, CAMEL or other brands, the North Face focus only on study its professional products in China. This decision strongly limits its product market and lead the...
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