Snogurt: SWOT analysis

SWOT is the acronym for Strengths, Weaknesses, Opportunities and Threats. It is an analytical framework to help summarize in a quick and concise way the risk and opportunities for any company across the value chain. A good SWOT should look into internal and external factors affecting the issue at hand. Those factors pertaining to the internal environment are classified as Strengths (S) or Weaknesses (W). Meanwhile, factors that are external to the company are classified as Opportunities (O) or Threats (T).

First of all is the Strength (S) of Snogurt. Many say that quality is always together with higher price because it wills costly much to take care and maintain the standard of the quality product. But for Snogurt, their frozen yogurt is nevertheless seems to be a quality product with cheaper prices. Snogurt is producing a low-fat frozen yogurt with lower prices rather than other rivals such as Tutti Frutti. People tend to buy this product is not just because of their fitness, but also because of their price is reasonable and affordable for some customer groups like students. The next Strength is the taste of home-made frozen yogurt. Their frozen yogurt is actually a self-made product by Snogurt’s family itself and it is a good choice for anyone who’s missing their mom-made yogurt because of the natural tastes and texture of the frozen yogurt itself.

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Next is their weakness. The machines are prominent or important for this kind of food industry. Each consumer that steps into the franchise and wishes to purchase the product will always use the machine at least once. It might lead to the overload of the machine. In spite of using a heavy duty machines, due to the frequently usage, it might also increase the frequency of machine break down. So, the franchise has to bear their own cost on maintaining these machines and ensuring that these machines will be working on good condition. Last but not least is the electricity. As we all knew, Snogurt will be sold in a freezer machine and the consumer will just have to pull those sticks to get their frozen yogurt and pay for it after being weighted at the counter. The frozen yogurt’s temperature will be automatically adjusted by the machine so that its quality is maintained. But, in some cases when there is no electricity, the workers will move that frozen yogurt into their special freezing boxes that will keep the frozen yogurt from defections.

The culturing process makes yogurt more digestible than milk. This is because yogurt is a rich source of calcium, an excellent source of protein, and moreover, it also can lower our body’s cholesterol. In addition, yogurt also is a grow food that can improve children absorption problem. In fact, people nowadays are being over sensitive regarding their healthy life and food is one of the ways that can ensure their body to stay hale and hearty.

Also, as weather can be their weakness factor, weather also can be assumed as their opportunities factor. When it comes drought season, people are always being advised to bring their own mineral water everywhere. But still, it does not enough to quench their thirst. So, they are most likely will be preferring to eat something cold and refreshing, emphasized by the sweet and sour taste.

Lastly is the threat. Basically, there are a lot of threats will be faced by a brand new franchise like Snogurt. First of all is, there will be some strong local competition between Snogurt and the entire influenced local brand dessert product. We would able to see where Snogurt is almost the similar as a franchise called Ochado, Tutti Fruitti, Chatime and etc. Overcoming this problem, Snogurt comes out with decision as such to let the consumers to make their own preferences of yogurts by adding in their own toppings by choosing from a pot-pourri of up to 8 flavors, 9 fresh toppings, 16 dry toppings and a couple of syrups. Additionally, the weather in Malaysia is so unpredictable. Sales then will be easily decrease or increase affected by the weather. As for example, during rainy season, people more or less will prefer to consume hot dishes instead of the cold and freezing food like Snogurt’s frozen yogurt. So, it wills somehow influencing the sales performance and they most likely will suffer loss. Besides the unpredictable weather, their business location is also one of Snogurt’s threats. The location of this business is along Jalan Plumbum located at the back of buildings. Which are people are not realize that Snogurt is placed at the back of the buildings. If people drive passing Jalan Plumbum Q7/Q or R7/R, they will notice of this franchise business. But still Snogurt can be easily noticeable because of their funky colors, pink and light green.

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REFERENCE
Wiki, SWOT, & BETA (n.d.). WikiSWOT - What is a SWOT Analysis?Retrieved November 12, 2013, from http://www.wikiswot.com/swot.htm

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