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Chanel SWOT Analysis

Published by MBA Skool Team in Lifestyle and Retail category Last Updated: June 02, 2023Read time:

Here is a detailed SWOT analysis of Chanel covering strengths, weaknesses, opportunities and threats.

Chanel Strengths

  1. Chanel are pioneers of prêt-a-porter of ready to wear clothing
  2. Chanel S.A. operates some 300+ Chanel boutiques worldwide
  3. Highly established brand worldwide since many years
  4. Classic and timeless designs are a major part of their collection
  5. Chanel company have about 1200+ employees
  6. The clothes offered are comfortable with the perfect style for rich urban customers
  7. Strong brand equity and loyalty of Chanel
  8. They are among the market leaders in the premium clothing segment
  9. Chanel also has a wide range of products like perfumes, watches, skin care products etc

Above are the strengths in the SWOT Analysis of Chanel. The strengths of Chanel looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

Chanel Weaknesses

  1. Stiff competition from other premium brands means market share growth for Chanel is limited
  2. Despite good brand visibility, brand switching is high

These were the weaknesses in the Chanel SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.

Chanel Opportunities

  1. Online sale and E-marketing gaining a lot of importance can be tapped by Chanel
  2. Emerging markets and various expansions and acquisitions abroad
  3. Product innovation and takeovers
  4. Tie-ups with leading hotel chains and fashion houses to boost the brand

Above we covered the opportunities in Chanel SWOT Analysis. The opportunities for any brand can include prospects of future growth.

Chanel Threats

  1. Competitors in the same business providing similar kind of clothes and accessories can reduce Chanel's market share
  2. Economic slowdown and downturn also has an effect on production
  3. Counterfeits and price wars are also a viable threat
  4. Other cheaper and lower brands trying to copy their timeless styles and selling at much affordable rates

The threats in the SWOT Analysis of Chanel are as mentioned above. The threats for any business can be external factors which can negatively impact its business.

Hence this concludes the Chanel SWOT analysis.

About Chanel

The table below gives the brand overview along with its target market, segmentation, positioning & USP

Chanel Overview
Parent Company



Apparel and Accessories


Lifestyle and Retail

Tagline/ Slogan

Be your own hero; There’s no thrill like discovery; Explore your world; Keep it classy


Chanel is a leaders in haute couture and ready to wear clothes

Chanel STP

Men and women who practice an active lifestyle and are interested in high fashion

Target Market

Urban men and women from higher affluent class


Wealthy, Stylish and well balanced French fashion for those who have a versatile and different attitude

This article has been researched & authored by the Content & Research Team which comprises of MBA students, management professionals, and industry experts. 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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