SWOT Analysis of Ralph Lauren. Ralph Lauren Corporation is a publically traded luxury fashion American company. Ralph Lauren laid the foundation of the fashion brand in 1967. The headquarters of the company is in New York City, USA.
Some of the main products and services of Ralph Lauren are as follows;
- Luxury clothing
Key statistical facts and figures about the Ralph Lauren are as follows;
- The annual revenue of the fashion brand in 2023 was 6.45 billion US dollars
- Out of which, the net income of the company was 0.531 billion US dollars
- Approximately 23,300 employees are working for the company to manage its operations
Some of the top competitors of Ralph Lauren Corporation are as follows;
- Louis Vuitton
- Calvin Klein
- Hugo Boss
- United By Blue
- Brooks Brothers
- Abercrombie & Fitch
- Lacoste SA
- Gap Inc
- Saks Fifth Avenues
Today, we’ll discuss the SWOT analysis of Ralph Lauren. It is going to focus on the internal strengths and weaknesses; external opportunities and threats to the luxury fashion brand. Here’s the SWOT analysis of Ralph Lauren as follows;
Strengths of Ralph Lauren
Some of the main strengths in the SWOT analysis of Ralph Lauren are as follows;
Large Subsidiary Brands
Ralph Lauren has a very large business portfolio and it comprises many subsidiary brands. It shows that the fashion brand has efficiently diversified its business. Some of the main subsidiary brands of the fashion company are as follows;
- Blue label
- Ralph Lauren
- Purple Ralph Lauren
- Polo by Ralph Lauren
Ralph Lauren has been operating its business in the fashion industry for the past more than 56 years. The fashion brand has a strong brand name and loyal database through consistent quality and sustainable and ethical fashion.
Ralph Lauren has a very large network comprising more than 500 stores and factory outlets in various countries in Asia, America, and Europe. The worldwide network of the fashion brand helps the company to connect with the customers at a personal level; they could visit the company’s stores.
Marketing & Sponsorships
Ralph Lauren performs various marketing and promotional campaigns to remain active in the media and in the minds of customers. Along with marketing, the fashion brand not only produces tennis balls and clothing but also sponsors the Wimbledon Tennis Tournament. It allows the company to show off its trademark and brand logo in the mega sporting event.
Ralph Lauren has established a well-diversified product portfolio by producing products and services in various categories. They’re like clothing, jewelry, fashion, household accessories, and others. A diversified portfolio helps the company to target various segments of the customer market.
Ralph Lauren engages in various types of charitable, social, and philanthropic works. For instance, the company co-founded the breast cancer research facility, community volunteer programs, and various others. Such types of social and philanthropic causes spread a positive brand image of the fashion brand in the customer market.
Weaknesses of Ralph Lauren
Some of the main weaknesses in the SWOT analysis of Ralph Lauren are as follows;
Limited Young Customer Market
Ralph Lauren usually produces classic and timeless designs and fashion, and such types of fashion have a very limited appeal to the young customer market. The young segment of the customer market wants fast fashion and new trends, and the company lacks in this regard; that’s why it has a limited appeal to the young audience.
Ralph Lauren has established a reputation as a premium luxury fashion brand. High premium prices of products and goods are unaffordable for many people. Therefore, the company should develop fashion products for the economical section of the customer market.
Opportunities for Ralph Lauren
Some of the main available opportunities in the SWOT analysis of Ralph Lauren are as follows;
The trend of sustainable and ethical fashion is increasing. It is because the customers want their companies not to engage in unethical activities like child labor, animal killing, or jeopardizing the natural environment. Ralph Lauren should be cautious about sustainable and ethical processes and activities; it would help the company retain customers in the long term.
Online shopping trends and e-commerce platforms are growing exponentially. Ralph Lauren should allocate resources for the further development of its online platform, and connect with delivery service-providing companies. It would help the company to increase its market share and sales.
Ralph Lauren should consider expanding its market in developing countries and emerging markets like India, South America, the Middle East, China, and Africa. It would help the company to increase its market share and sales.
Threats to Ralph Lauren
Some of the main potential threats in the SWOT analysis of Ralph Lauren are as follows;
Various small brands copy and steal the designs and styles of Ralph Lauren and sell them under their name. Such type of counterfeiting is negatively impacting the reputation of the company because customers can’t differentiate between the original and fake products.
The luxury fashion market has become highly competitive, and there are various brands operating their business in the international market. Customers want to experience something new and different while shopping, and they switch to other brands which decreases the company’s sales.
Conclusion: Ralph Lauren SWOT Analysis
After an in-depth study of the SWOT analysis of Ralph Lauren; we have realized that Ralph Lauren is the world’s leading luxury fashion brand. If you are learning about the business of luxury fashion brand Ralph Lauren, then you should keep in mind the abovementioned internal and external factors.
Ahsan Ali Shaw is an accomplished Business Writer, Analyst, and Public Speaker. Other than that, he’s a fun loving person.