SWOT Analysis of Tommy Hilfiger. Tommy Hilfiger B.V. is a fashion and clothing American company. Tommy Hilfiger laid the foundation of the fashion brand in 1985. The headquarters of the company is in Amsterdam, Netherlands.
Some of the main products and services of Tommy Hilfiger are as follows;
- Home furnishing
- Fragrances
- Accessories
- Footwear
- Manufacturing Apparel
- Eyewear
- Watches
Key statistical facts and figures about Tommy Hilfiger are as follows;
- The annual revenue of Tommy Hilfiger in 2022 was 4.65 billion US dollars
- Approximately 2000 employees are working for the company
- The fashion brand has a network of more than 2,000 retail stores
Some of the top competitors of Tommy Hilfiger are as follows;
- GUESS
- Burberry
- Perry Ellis International
- Polo
- 5.11
- Yali Spor
- Gorman
- Zappos
- ModCloth
- Otrium
- Shoes.com
- Touch of Modern
- Spring
- Dolls Kill
- Lulus
- Jack Threads
- Maiyet
Today, we’ll discuss the SWOT analysis of Tommy Hilfiger. It is going to focus on the internal strengths and weaknesses; external opportunities and threats to the fashion brand. Here’s the SWOT analysis of Tommy Hilfiger as follows;
Strengths of Tommy Hilfiger
Some of the main strengths in the SWOT analysis of Tommy Hilfiger are as follows;
Recognized Brand
Tommy Hilfiger is a well-recognized premium clothing and fashion brand. According to an estimate, the fashion brand is operating its business in more than 100 countries in Asia Pacific, South and Central America, Europe, and North America; has a network of more than 2000 retail stores.
Large Distribution Network
Tommy Hilfiger has a large and worldwide supply chain and distribution network. It helps the fashion brand to make its products and goods available in worldwide retail stores. Without the presence of a large distribution network, the clothing brand can’t operate its business globally.
Top Designer
Top Hilfiger has established a reputation as the world’s top and leading designer with his uniqueness and creativity. The name of the world’s top designer as a brand name helps the company to differentiate its brand name from the crowd of fashion brands.
Marketing
Tommy Hilfiger employs various marketing and promotional campaigns to attract the attention of customers. The fashion brand employs various marketing channels like digital media, online, print media, TV, and other ads to approach customers.
Celebrity Endorsement
Along with media campaigns, Tommy Hilfiger receives celebrity endorsements and hires celebrities and public figures for the promotion of its brand ambassadors. Celebrity endorsements and brand ambassadors help the company to strengthen their brand name.
Awards
Tommy Hilfiger has won various awards and accolades over the years, and they push the company further to its current position. Some of the recognitions and awards are as follows;
- UNESCO in 2009 for its Philanthropic work
- Women’s Wear Daily in 2008
- GQ Spain in 2006
- Drug Abuse Resistance Education in 2002
- FiFi Award in 2000
Weaknesses of Tommy Hilfiger
Some of the main strengths in the SWOT analysis of Tommy Hilfiger are as follows;
High Maintenance Cost
In order to maintain its brand reputation and brand position, Tommy Hilfiger needs to invest a significant amount of capital resources. That’s why the brand maintenance and cost are very high for the clothing brand.
Brand Switching
High competition in the retail clothing and fashion brand industry has made it difficult for the company to retain customers. It is because customers could easily switch to other brands while shopping because they want to experience something new or different; it decreases the company’s market share.
Opportunities for Tommy Hilfiger
Some of the main available opportunities in the SWOT analysis of Tommy Hilfiger are as follows;
Innovative Designs
Tommy Hilfiger should invest resources in the creative design department; because creativity is the most important element in the fashion industry. It would help the company to attract the attention of fashion lover customers because the unique designs would immediately attract their attention.
Market Expansion
Tommy Hilfiger should expand its business operations in the international market. The developing Asian markets hold great growth potential, and it presents a great opportunity for the company to expand its business there. It would help the company to increase its sales, market share, and revenue.
Threats to Tommy Hilfiger
Some of the main potential threats in the SWOT analysis of Tommy Hilfiger are as follows;
Economic Recession
High inflation and the unemployment rate have decreased the purchasing power of people to a great extent. When people have limited buying power and low disposable income, they won’t spend it on luxury and premium fashion items.
Changing Trends
The thing about the fashion industry is that it is always changing, and the fashion brand needs to invest a lot of resources in innovation and creativity. If Tommy Hilfiger doesn’t keep up with the latest fashion trends, then the company will become obsolete over time.
Conclusion: Tommy Hilfiger SWOT Analysis Example Company
After an in-depth study of the SWOT analysis of Tommy Hilfiger; we have realized that Tommy Hilfiger is the world’s leading premium clothing and fashion brand. If you are learning about the business of premium fashion brands, 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.
