Fabutan SWOT Analysis

This document provides a SWOT analysis of Fabutan, a company in the tanning industry. It discusses the company's strengths, weaknesses, opportunities, and threats, with a focus on its digital communication strategies. The analysis highlights the importance of digital tactics in remaining competitive in the industry.

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Question 3
FABUTAN SWOT ANALYSIS
SWOT analysis by a company is crucial as it provides tactical advantage over its rivals
(Gürel & Tat, 2017). Normally, there are 4 major components that are assessed; the company’s
Strengths (S), Weaknesses (W), Opportunities (S), and Threats (S).
Fabutan Strengths
 It has built strong and long-term connections with clients that is enhanced by digital
communications. It also offers amazing benefits, perks, and flexible hours to employees
all which is computer-generated, therefore, creating a lasting relationship.
 Through use of technological systems, Fabutan has invested in offering maximum
benefits to their clients while minimizing risks to UV exposure. It ensures that there is a
balance between UV-A and UV-B (Soter, 2017) and that their clients doesn’t receive too
little or too much UV exposure. For instance, they do not use high-pressure face tanners
or high-pressure beds. This ensures that the UV balance is maintained (Palubiski, 2016).
This has received a lot of positive online reviews.
 Fabutan has invested in technology which makes it competitive. Use of the Red Light
technology, for instance, as an anti-aging and skin rejuvenating tool offers effective
treatment. It has automated several of its processes and use of great software and intranet
has improved its sales.
Fabutan Weaknesses

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 Fabutan has not explored fully all the digital communication channels. They normally
communicate via calls, online emails, and postal mails. They should extend to other
social media channels such Vblog, and WeChat in order to capture a larger market.
 Use of digital communications for promotion and marketing requires much investment
and money (Taiminen & Karjaluoto, 2015). Fabutan has not invested greatly in this.
Fabutan Opportunities
 Through the use of digital channels Fabutan is able to target social media users.
 Due to the nature of its products, Fabutan targets youths and women who makes the
largest proportion hence high returns is expected.
Fabutan Threats
 The main threat for Fabutan is stiff competition from its rivals especially those that have
invested hugely in digital communications such as the Tanning Depot corporation.
 Emergence of a digital company that uses social medial for promotion, marketing, and
point of sale (Taiminen & Karjaluoto, 2015). This will mean losing customers to them.
Question 4
Competitive analysis
Fabutan faces stiff competition from its rivals such as the Tanning Depot, Visions
Electronics, Hush Lash Studio, and Massage Heights. Fabutan has not explored fully the concept
of digital communication. With the advancement of technology, it calls for improvement of
digital tactics that a particular company uses. Outdoing these companies is a competitive race
since all of them rely on Transpera company for IT services, marketing, and development
strategies. Provision of a diverse type of products by these other companies gives them a
competitive edge over Fabutan as customers have a variety to choose from. Also, use of

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advanced digital channels such as free delivery and shipping of products over a certain price and
online shopping that is used by their competitors, helps them cover a huge market (Jackson &
Ahuja, 2016). Therefore, for Fabutan to remain competitive, it has to work more on its digital
communication strategies.

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References
Gürel, E., & Tat, M. (2017). SWOT Analysis: A Theoretical Review. Journal of International
Social Research, 10(51).
Jackson, G., & Ahuja, V. (2016). Dawn of the digital age and the evolution of the marketing mix.
Journal of Direct, Data and Digital Marketing Practice, 17(3), 170-186.
Palubiski, L. (2016). Tanning Attitudes That Predict the Prevalence and Frequency of Tanning
bed use in Older Adolescents and Young Adults in Canada (Master's thesis, University of
Waterloo).
Soter, N. A. (2017). Acute effects of ultraviolet radiation on the skin. In Clinical Photomedicine
(pp. 75-93). Routledge.
Taiminen, H. M., & Karjaluoto, H. (2015). The usage of digital marketing channels in SMEs.
Journal of Small Business and Enterprise Development, 22(4), 633-651.