Question: Using the following template, create a SWOT analysis for Schnucks Supermarket Sample SWOT Red Zone Gym Red Zone Gym is a small chain of three

Using the following template, create a SWOT analysis for Schnucks Supermarket

Sample SWOT

Red Zone Gym

Red Zone Gym is a small chain of three gyms located in South Florida designed for the dedicated gym-goer, body-builder or competitor with serious ambitions. Red Zone owners and staff are International Federation of Body Builder Pros and National Physique Committee competitors themselves and started the gym to provide other ambitious fitness and body building competitors a specialized place to train and prepare for competitions. The first gym began five years ago shortly after the owners completed their first state competitive title and took over managing two other locations two years ago after completing their exercise physiology degrees.

Red Zone has a unique atmosphere, including the staff and the motivational artwork throughout the wall. Their social media marketing is very strong. They have more than 15K followers on Facebook and Instagram with active, engaged users. Although their current marketing efforts have gained attention across social media, it is clear that their efforts can be improved. The Red Zone owners have indicated they would like to increase their membership base,however key challenges include the price point difference between Red Zone and competing gyms and lack of awareness of their uniqueness of their gym setup.

The competitive fitness industry as a whole is experiencing a growth trend by 10 percent annually with more and more individuals entering into amateur and professional level competitions. South Florida is also a mecca for water and beach activities, and some areas have become known as the East coast Venice Beach attracting many outdoor fitness enthusiasts. As a result, Red Zone has considered expanding their gyms, which would require additional capital investment sources. They have considered other ways to increase revenue and awareness, such as including other fitness related market segments who might become interested in the fitness competitive realm, such as gymnasts, or sponsoring competitions themselves, which would increase Red Zones prominence as a competitive gym.

Although the competitive fitness arena is gaining momentum, there are several regional and national gym chains in South Florida that offer a much lower price point for gym memberships and appeal to the beginner or recreational fitness enthusiast. As a newly hired marketing professional, you are tasked with the role of analyzing the current marketing, branding and growth potential and designing a strategy for increasing the potential for expanding the gyms.

Internal External
Potential

Strengths

  • Customer: Loyal customer base who are active in referrals and competitions
  • Uniqueness: We focus on competitive bodybuilding/fitness, not general fitness
  • Staff: Professionally certified specialists who are also industry leaders
  • Social Media: Active, engaged followers

Opportunities

  • Fitness Trends: Fitness/bodybuilding competitions continue to grow by 10% annually
  • Market expansion: Reaching out to additional markets including cheer & gymnastics
  • Brand Awareness: Increase brand through sponsorships of local groups and competitions

Challenge

Weaknesses

  • Lack of capital: Growth funds need to come from loans, investors, revenue
  • Experience: Owners' first business venture
  • Branding: May be too narrow for consistent growth

Threats

  • Competition: Customers aren't aware of the difference between our gym and general gyms
  • Gyms: Price point of chain gyms
  • Local trends: Competing with beach/outdoor activities

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