SWOT Analysis of Unilever That Make Sustainable Living

Unilever SWOT

by Shamsul
Unilever SWOT Analysis
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SWOT Analysis of Unilever


Unilever is one of the best multinational consumer goods companies and operates in more than 190 countries around the globe. This company is the manifestation of quality and excellence. Its track record in fast-moving consumer goods is exceptional, and it generates revenue in nearly every country of the world. The company’s biggest strength is its global presence with different mindsets according to the country’s culture. Unilever has successfully managed its business during recessionary situations. However, they cannot ignore growing threats in the international markets. Emerging local players are one of the biggest threats for Unilever. Here, we will utilize SWOT Matrix to identify the company’s business scenarios. We will conduct a SWOT analysis of Unilever. It is based on its strengths, weaknesses, opportunities, and threats. Here we go,

Company Name: Unilever

Founders: Antonius Johannes, Jurgens, Samuel van den Bergh, Georg Schicht

Founded: Sep 2, 1929, United Kingdom

Headquarters: London, United Kingdom

Parent Company: Unilever Plc

CEO: Alan Jope (Jan 1, 2019-)

Type: Consumer goods

Sector: FMCG

Tagline: Feel good, look good, and get more out of life.

Unique Selling Proposition: Good brand recall value and sustainable practices

Customers: Upper, middle, and lower class people

Target Consumers: Individuals and households

Number of Employees: 149000

Revenue: 52.44 billion EUR (2021)

Net Income: 6.621 billion EUR (2021)

Strengths of Unilever | SWOT Analysis of Unilever

  • The company’s strong presence around the world is one of its major strengths. Its extensive global reach and footprint allow them to generate massive revenue. That’s why its brand recall value and image are very powerful in local and international markets.
  • Unilever has a broad product portfolio with quality. Its diversified product range makes it highly impactful and unique. So, it has positioned itself in the competitive market excellently. Their offers are according to the preferences of consumers.
  • Its R&D sector has contributed a lot to its overall success. Just because of research and development, the company is producing innovative and high quality products at cheaper costs. That’s why it is a game-changer in every country.
  • The company has a competitive edge over competitors because of its flexible pricing strategy and expertise in various sectors like manufacturing, distribution, and selling. Due to these effective policies, the company is present in every corner of the world.
  • Unilever has several manufacturing plants in more than 270 different locations of the world. They are taking advantage of this thing and manufacturing products seamlessly.
  • The biggest strength of Unilever is that they combine global ideas with local execution. They utilize “Glocal” strategies to win the hearts and minds of customers. That’s why customers love to buy and consume its products. Such loyalty from fans makes the company successful in the competitive market.

Weaknesses of Unilever | SWOT Analysis of Unilever

  • The fast-moving consumer goods sector is uber-competitive. The company’s biggest rival is P&G, with a diversified product portfolio. Nestle is another big trouble for the company. They are eating each other’s market share to take the lead in the market in terms of revenue and profits. On the other hand, the presence of local players in the market also weakens the business performance of Unilever.
  • Unilever’s products can be replaced with alternates in emerging markets such as Asia and Africa. The foothold of domestic players is huge in these regions and it shows the weakness of Unilever.

Opportunities for Unilever | SWOT Analysis of Unilever

  • In the emerging markets, people want to adopt a western lifestyle, and it opens several doors of opportunities for Unilever. It is happening due to globalization and global media. Moreover, Unilever can target those customers who are really inspired by the western lifestyle by offering products according to their tastes and preference.
  • Countries like India, Pakistan, China, and so on have so much potential for the company for its growth and expansion. The company can generate trillions of dollars from these emerging markets. They can capture a strong customer base from these markets. It is one of the biggest opportunities for the company.
  • Unilever can target health-conscious consumers by offering good quality products. Because they can manufacture special products for health-conscious consumers to win their hearts.
  • Unilever’s response towards the environment, sustainability, and social responsibility is significant. Surely, they are adopting ethical ways to produce goods. In this way, the company can get the attention of people also who prefer responsibly made products.

Threats to Unilever | SWOT Analysis of Unilever

  • The current economic recession has created a big dent in the growth of many FMCG companies. Unilever is also facing the perks of economic recession. If it goes long, it can threaten the company’s overall profitability. Every company is trying to provide better quality at lower prices to retain consumers. Such activities are not good for the company.
  • There is no doubt about it that Unilever is still way beyond its competitors like P&G and Nestle. The increasing awareness is creating a bad impact on the business performance of FMCG companies. Criticism from people over its policies and practices are also creating a bad image of the company. The company needs to follow effective strategies and practices to stay competitive in the market.
  • The constant threat from local players is another big trouble for the company. They are providing better quality at lower prices. They are disturbing the revenue stream of the company in many ways. Local players don’t need to pay international tariffs and taxes as compared to Unilever, so their products are much cheaper.
  • The entry of several Asian multinational organizations in the FMCG sector has also put the business performance of Unilever into trouble. Certainly, these emerging companies are one of the company’s significant threats and affect its international foothold. They are dominating in different western markets, which is not a good sign for the company.

Summary | SWOT Analysis of Unilever

The company has been in the FMCG sector for many decades. However, it is doing well in several countries, but it is facing severe competition from competitors like Nestle and P&G. Thus, the company should target emerging markets like India and China that can give Unilever much needed boost. We are pretty sure that it will make a strong comeback.


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