Diesel SWOT Analysis
Diesel is one of the leading brands in the lifestyle and retail sector. Diesel SWOT analysis evaluates the brand by its strengths & weaknesses which are the internal factors along with opportunities & threats which are the external factors. Let us start the SWOT Analysis of Diesel:
Quick Glance:
Diesel Strengths
- A complete lifestyle brand known for its luxury and pret-a-porter clothing aimed at young adult market
- The exclusiveness strategy which saw them intentionally shrink from 10000 points of sale 5000 points of sale
- Strong advertising strategy which sees them building stories around pictures.
- One of the first clothing companies to have a major presence on the internet since 1995
- The diversification into other merchandise like sunglasses ,watches, perfumes, footwear makes it a complete lifestyle brand
- Has over 2500 employees serving in 80 countries
- Apart from clothing, it offers watches, footwear, perfumes etc
Above are the strengths in the SWOT Analysis of Diesel. The strengths of Diesel looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.
Diesel Weaknesses
- Their main product Diesel jeans is expensive and only available to a select few
- Majority of sales revenues come from designer jeans. A slight dip in the demand of it may see a major drop in sales
- Replica products and fake imitation affects brand image
These were the weaknesses in the Diesel SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.
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Diesel Opportunities
- With rising concern in eco-friendliness of products Diesel can respond to this concern with promotion campaigns to instill trust
- Diesel can tap emerging retail markets like India and Africa to make the most of the unsaturated markets there
- Outsourcing some divisions in some countries may help maintain economies of scale
Above we covered the opportunities in Diesel SWOT Analysis. The opportunities for any brand can include prospects of future growth.
Diesel Threats
- The highly fragmented fashion industry amounts to low consumer loyalty related to a particular brand due low switching cost and high bargaining power
- The trade barriers which cause fluctuations in currency denominations may cause losses when it comes to revenues
- The emergence of many designers in the jeans segment may cause a serious threat to their core product
The threats in the SWOT Analysis of Diesel are as mentioned above. The threats for any business can be external factors which can negatively impact its business.
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Hence this concludes the Diesel SWOT analysis.
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About Diesel
The table below gives the brand overview along with its target market, segmentation, positioning & USP
| Diesel Overview | |
|---|---|
| Parent Company |
Diesel S.p.A. |
| Category |
Apparel and Accessories |
| Sector | |
| Tagline/ Slogan |
For Successful Living |
| USP |
Complete lifestyle brand |
| Diesel STP | |
| Segmentation |
Young men , women and children who are very fashion conscious |
| Target Market |
Urban upper-middle and upper class |
| Positioning |
A complete fashionable lifestyle brand |
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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