Sally Beauty is one of the leading brands in the FMCG sector. Sally Beauty 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 Sally Beauty:
Sally Beauty is the largest professional beauty products distributor in the US
It has presence across multiple channels like retail, wholesale, e-commerce
High customer royalty and conversion of single user into dedicated customers by providing differentiated customer value proposition
It offers competitive pricing, convenient store location and broad selection of professional beauty products
Offers a loyalty program for discounts on products to its members
Sally has nurtured its growth through inorganic growth strategy by acquiring over 40 companies in the last 10 years
Above are the strengths in the SWOT Analysis of Sally Beauty. The strengths of Sally Beauty looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.
Sally Beauty Weaknesses
Sally beauty is dependent on a few manufacturers for significant portion of the products it sells
The company has to maintain high stock levels which could be problematic in case of change in customer trend
Unpredictable and high fluctuation in store sales
These were the weaknesses in the Sally Beauty SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.
Sally Beauty Opportunities
Global investments to expand its international footprint, currently it serves only North and South America and Europe
Invest into e-commerce to and gain a foothold in the online shopping market for beauty products
Marketing on social media will help it gain a greater foothold, and increasing customer loyalty
Above we covered the opportunities in Sally Beauty SWOT Analysis. The opportunities for any brand can include prospects of future growth.
Sally Beauty Threats
Very low barriers to entry has led to a number of new players entering into this segment
Product diversion could lead to reduction in exclusivity of the company’s brands and may have an adverse impact on the company's revenues
Rising labor costs could impact margins and increase the operational costs too
The threats in the SWOT Analysis of Sally Beauty are as mentioned above. The threats for any business can be external factors which can negatively impact its business.
Hence this concludes the Sally Beauty SWOT analysis.
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About Sally Beauty
The table below gives the brand overview along with its target market, segmentation, positioning & USP
Leaders of the beauty supply industry with 50 years of experience
Sally Beauty STP
Salons, beauty professionals and consumers
Big salons and professionals
Distributor of professional beauty supplies
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