SWOT Analysis for Small Business Marketing:
How to Do It (and Why It Matters)
When it comes to building a strong marketing strategy, many small business owners are so busy working in their business that they rarely get time to work on it. That’s where a simple but powerful tool like the SWOT analysis comes in. Whether you’re running a café, a boutique, or a digital agency, understanding your Strengths, Weaknesses, Opportunities, and Threats can help you make informed decisions, plan ahead, and grow with confidence.
At Plum Digital Hub, we walk through SWOT analysis in detail in our Marketing Strategy Course, available exclusively to Gold Plum Members. But in this blog, we’ll break it down so you can get started today.
What Is a SWOT Analysis?
A SWOT analysis is a structured planning tool used to evaluate the internal and external factors that can affect your business. It’s most commonly used in marketing and strategic planning to guide decisions on where to focus energy, resources, and improvement efforts (Gürel & Tat, 2017).
- Strengths and Weaknesses = Internal
- Opportunities and Threats = External
Why Is a SWOT Analysis Important for Small Business Marketing?
Marketing isn’t just about pretty graphics and catchy captions (though we love those too). It’s about knowing your market, your audience, and your position in the industry.
Here’s why SWOT matters:
- It helps clarify what sets you apart from competitors.
- You can plan around risks before they become roadblocks.
- You’ll spot areas for growth or collaboration.
- It brings your team onto the same page with goals and focus.
How to Do a SWOT Analysis (Step-by-Step)
Grab a pen or open a spreadsheet, and create four sections: Strengths, Weaknesses, Opportunities, and Threats. Start by asking yourself these questions
✅ Strengths (Internal)
- What does your business do well?
- What makes your brand or product stand out?
- What resources, tools, or people give you an edge?
Examples: Strong customer service, loyal local following, great website, in-house design skills.
❌ Weaknesses (Internal)
- What areas could use improvement?
- Are there any skill gaps or outdated systems?
- Where do competitors outperform you?
Examples: Inconsistent social media, slow response time, limited budget, lack of clear brand messaging.
🌱 Opportunities (External)
- Are there gaps in the market?
- Can you expand into a new product, location, or audience?
- Are there community events, online trends, or technologies you can leverage?
Examples: Local business awards, new Instagram tools, demand for sustainable packaging.
⚠️ Threats (External)
- What external factors could negatively affect your business?
- Are there new competitors, market changes, or rising costs?
Examples: Economic downturn, competitors copying your offering, algorithm changes on social media.
What Happens Next?
A SWOT analysis is only helpful if you act on it.
- Use your strengths to drive your marketing.
- Address or minimise weaknesses with systems or training.
- Prioritise opportunities that align with your goals.
- Make contingency plans to manage threats.
And most importantly—don’t treat it as a one-time task. Review your SWOT regularly to stay on top of changes.
Want Help Creating Your SWOT Analysis?
If you’re not sure where to start, or you’d like feedback on what you’ve drafted, you’re not alone. Inside our Marketing Strategy Course—available for Gold Plum Members—we walk you through how to complete a full SWOT analysis tailored to your unique business.
Plus, our community of small business owners and marketing experts are here to support you every step of the way.
👉 Learn more about Plum Membership and get access to the full course, downloadable templates, and expert advice.
To Wrap It Up
Small business success doesn’t come from winging it—it comes from clarity, consistency, and strategy. Your SWOT analysis is one of the first steps in building a marketing plan that actually works for your business.
And the best part? You don’t have to do it alone. At Plum, we’re all about helping you market smarter, not harder.
References
Gürel, E. & Tat, M. (2017). SWOT Analysis: A Theoretical Review. The Journal of International Social Research, 10(51), 994–1006.
