Published by MBA Skool Team, Last Updated: April 26, 2020
SWOT analysis of Sams Club analyses the brand by its strengths, weaknesses, opportunities & threats. In Sams Club SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.
SWOT Analysis is a proven management framework which enables a brand like Sams Club to benchmark its business & performance as compared to the competitors. Sams Club is one of the leading brands in the lifestyle and retail sector.
The article below lists the Sams Club SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Sams Club SWOT Analysis:
For Sams Club, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.
Sams Club Strengths
The strengths of Sams Club looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Sams Club :
1. Sams Club ranks among the top in sales volume among warehouse clubs in America with operated 600+ membership warehouse clubs in U.S. states
2. Strong brand name and effective marketing strategies
3. Global distributed system is wide spread
4. Sams Club's estimated customer base is nearly 50 million
5. Strong brand backing of Walmart parent company
6. Sams Club operates more than 500 stores across USA
Sams Club Weaknesses
The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Sams Club SWOT Analysis:
1. Limited penetration as compared to highest competitor in this segment
2. Sams Club has presence only in US and no global penetration
Sams Club Opportunities
The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Sams Club SWOT Analysis:
1. Tapping other developing emerging economies can help boost business for Sams Club
2. Leveraging on brand name and increasing product portfolio
3. Sams Club store has first mover advantage in merchandize category so would be able to enhance customer base
Sams Club Threats
The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Sams Club are as mentioned:
1. Consumers are becoming highly conscious about brand name of products they use
2. Growing competition from unorganized sector in retail & ecommerce can affect business of Sams Club
3. Changing government policies and unfavorable business conditions can affect business
Sams Club Competitors
There are several brands in the market which are competing for the same set of customers. Below are the top 9 competitors of Sams Club:
Sams Club is owned and operated by Walmart serving 40 million customers
Sams Club STP
Urban middles class and upper class individuals
Sams Club offers quality and value to its customers through its retail services
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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