Capital One: Launching a Mass Media Campaign SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Sales & Marketing
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Capital One: Launching a Mass Media Campaign
The Senior Brand Manager for Capital One Canada is developing the firm's strategy for its first mass media advertising campaign there. He had been provided with a menu of U.S. and U.K. advertisements--with test results for each--which he can adapt for a Canadian audience. The key decisions the Senior Brand Manager faces includes which customer segment to focus on, what value proposition to signal to this segment, what advertisements should be used to deliver these messages, and what customization efforts are necessary. He has a presentation to Capital One's senior management team and needs to back up his recommendations with numbers and logic.
Swot Analysis of "Capital One: Launching a Mass Media Campaign" written by Robert J. Fisher, Ken Mark includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Advertisements Mass facing as an external strategic factors. Some of the topics covered in Capital One: Launching a Mass Media Campaign case study are - Strategic Management Strategies, and Sales & Marketing.
Some of the macro environment factors that can be used to understand the Capital One: Launching a Mass Media Campaign casestudy better are - – challanges to central banks by blockchain based private currencies, digital marketing is dominated by two big players Facebook and Google, increasing government debt because of Covid-19 spendings, banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing inequality as vast percentage of new income is going to the top 1%, there is increasing trade war between United States & China, increasing household debt because of falling income levels,
cloud computing is disrupting traditional business models, increasing energy prices, etc
Introduction to SWOT Analysis of Capital One: Launching a Mass Media Campaign
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Capital One: Launching a Mass Media Campaign case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Advertisements Mass, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Advertisements Mass operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of Capital One: Launching a Mass Media Campaign can be done for the following purposes –
1. Strategic planning using facts provided in Capital One: Launching a Mass Media Campaign case study
2. Improving business portfolio management of Advertisements Mass
3. Assessing feasibility of the new initiative in Sales & Marketing field.
4. Making a Sales & Marketing topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Advertisements Mass
Strengths Capital One: Launching a Mass Media Campaign | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Advertisements Mass in Capital One: Launching a Mass Media Campaign Harvard Business Review case study are -
Sustainable margins compare to other players in Sales & Marketing industry
– Capital One: Launching a Mass Media Campaign firm has clearly differentiated products in the market place. This has enabled Advertisements Mass to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped Advertisements Mass to invest into research and development (R&D) and innovation.
Innovation driven organization
– Advertisements Mass is one of the most innovative firm in sector. Manager in Capital One: Launching a Mass Media Campaign Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Superior customer experience
– The customer experience strategy of Advertisements Mass in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Digital Transformation in Sales & Marketing segment
- digital transformation varies from industry to industry. For Advertisements Mass digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Advertisements Mass has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.
Ability to lead change in Sales & Marketing field
– Advertisements Mass is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Advertisements Mass in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Cross disciplinary teams
– Horizontal connected teams at the Advertisements Mass are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Strong track record of project management
– Advertisements Mass is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Analytics focus
– Advertisements Mass is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Robert J. Fisher, Ken Mark can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Diverse revenue streams
– Advertisements Mass is present in almost all the verticals within the industry. This has provided firm in Capital One: Launching a Mass Media Campaign case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
Operational resilience
– The operational resilience strategy in the Capital One: Launching a Mass Media Campaign Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Successful track record of launching new products
– Advertisements Mass has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Advertisements Mass has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
High switching costs
– The high switching costs that Advertisements Mass has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
Weaknesses Capital One: Launching a Mass Media Campaign | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Capital One: Launching a Mass Media Campaign are -
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Advertisements Mass supply chain. Even after few cautionary changes mentioned in the HBR case study - Capital One: Launching a Mass Media Campaign, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Advertisements Mass vulnerable to further global disruptions in South East Asia.
No frontier risks strategy
– After analyzing the HBR case study Capital One: Launching a Mass Media Campaign, it seems that company is thinking about the frontier risks that can impact Sales & Marketing strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Capital One: Launching a Mass Media Campaign, it seems that the employees of Advertisements Mass don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
Slow decision making process
– As mentioned earlier in the report, Advertisements Mass has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Advertisements Mass even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
Products dominated business model
– Even though Advertisements Mass has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - Capital One: Launching a Mass Media Campaign should strive to include more intangible value offerings along with its core products and services.
Low market penetration in new markets
– Outside its home market of Advertisements Mass, firm in the HBR case study Capital One: Launching a Mass Media Campaign needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Capital One: Launching a Mass Media Campaign HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though Advertisements Mass has relatively successful track record of launching new products.
High cash cycle compare to competitors
Advertisements Mass has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
High operating costs
– Compare to the competitors, firm in the HBR case study Capital One: Launching a Mass Media Campaign has high operating costs in the. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Advertisements Mass 's lucrative customers.
Increasing silos among functional specialists
– The organizational structure of Advertisements Mass is dominated by functional specialists. It is not different from other players in the Sales & Marketing segment. Advertisements Mass needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Advertisements Mass to focus more on services rather than just following the product oriented approach.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Advertisements Mass is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Capital One: Launching a Mass Media Campaign can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Opportunities Capital One: Launching a Mass Media Campaign | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study Capital One: Launching a Mass Media Campaign are -
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Advertisements Mass can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, Capital One: Launching a Mass Media Campaign, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Creating value in data economy
– The success of analytics program of Advertisements Mass has opened avenues for new revenue streams for the organization in the industry. This can help Advertisements Mass to build a more holistic ecosystem as suggested in the Capital One: Launching a Mass Media Campaign case study. Advertisements Mass can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Advertisements Mass to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Advertisements Mass to hire the very best people irrespective of their geographical location.
Low interest rates
– Even though inflation is raising its head in most developed economies, Advertisements Mass can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Advertisements Mass is facing challenges because of the dominance of functional experts in the organization. Capital One: Launching a Mass Media Campaign case study suggests that firm can utilize new technology to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Learning at scale
– Online learning technologies has now opened space for Advertisements Mass to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Using analytics as competitive advantage
– Advertisements Mass has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Capital One: Launching a Mass Media Campaign - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Advertisements Mass to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Leveraging digital technologies
– Advertisements Mass can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Sales & Marketing industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Advertisements Mass can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. Advertisements Mass can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Advertisements Mass can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Identify volunteer opportunities
– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Advertisements Mass can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Better consumer reach
– The expansion of the 5G network will help Advertisements Mass to increase its market reach. Advertisements Mass will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Advertisements Mass in the consumer business. Now Advertisements Mass can target international markets with far fewer capital restrictions requirements than the existing system.
Threats Capital One: Launching a Mass Media Campaign External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Capital One: Launching a Mass Media Campaign are -
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Advertisements Mass can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study Capital One: Launching a Mass Media Campaign .
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Advertisements Mass.
Stagnating economy with rate increase
– Advertisements Mass can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
High dependence on third party suppliers
– Advertisements Mass high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Capital One: Launching a Mass Media Campaign, Advertisements Mass may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Sales & Marketing .
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Advertisements Mass in the Sales & Marketing sector and impact the bottomline of the organization.
Consumer confidence and its impact on Advertisements Mass demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Increasing wage structure of Advertisements Mass
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Advertisements Mass.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Advertisements Mass in the Sales & Marketing industry. The Sales & Marketing industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.
Shortening product life cycle
– it is one of the major threat that Advertisements Mass is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Regulatory challenges
– Advertisements Mass needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Sales & Marketing industry regulations.
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Advertisements Mass needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
Weighted SWOT Analysis of Capital One: Launching a Mass Media Campaign Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study Capital One: Launching a Mass Media Campaign needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study Capital One: Launching a Mass Media Campaign is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study Capital One: Launching a Mass Media Campaign is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of Capital One: Launching a Mass Media Campaign is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Advertisements Mass needs to make to build a sustainable competitive advantage.