AXE - SWOT Analysis

(illustration by the author)

AXE has a unique value proposition in the market and enjoys the position of the market leader. AXE is one of the few brands that have embraced new media and manage it to the maxiumu extent. Their marketing campaigns create buzz around the web. The brand has marketing campaigns that are constantly talked about and keep their customers engaged, like the ’Call Me’ and ’Click’ campaigns. The deodorant formulation used by AXE is proven to be highly efficient, some studies conducted in the UK even prove that ’the AXE effect’ really exists.

AXE’s target market is limited, as the brand’s target group are young males from 16 – 25, mainly in urban areas. Therefore, although their marketing campaigns are loved by a large audience, their product only attracts few. The brand’s provocational style of advertising is gaining the brand some negative publicity and even legal issues, especially in more traditional countries.

There are various opportunities for the brand to grow. Axe could launch a collection of limited edition fragrances and cooperate with gyms. As the brand associates itself with adventure, it should also consider working together with well-known extreme athletes. In addition, Axe needs to enter new markets other than the urban cities. An expansion of the product range always offers the possibility to grow.

AXE faces threats from its tough competition on the market. Other brands are trying to follow their promotion strategy. The sales of deodorant are seasonal, with a maximum of sales being realized between April and September. As deodorant sprays are generally bad for the environment, AXE might face legal restrictions in the future.

- Anke S.

sources:

http://www.unilever.com/brands-in-action/detail/Axe/292063/

http://www.theaxeeffect.com

AXE facebook fan page