Based on the above SWOT analysis, the strengths or Hal’s Hardware, Inc. (HHI) far outnumber
the weaknesses and make the thought of a website very feasible. Much of HHI’s inventory is small and
suitable for cheap shipping so all of these items should be available for purchase through the website.
Orders for the larger items, which are too expensive to ship, can be placed on the website, but then the
customer must come to the nearest store to retrieve their purchase. Because of this restriction, the site
should incorporate a store locator feature that expands upon the information currently on the site. The
user will input a zip code and a list of the nearest stores will be displayed. This way the user can decide
whether or not to complete the transaction.
One strength of HHI is each store’s bulletin board where customers can place job offers or sell
unwanted equipment. The postings could be organized online where more people could be exposed to
them. A weakness to address is the lack of a lumber department. Maybe HHI could place advertisements
on the website of lumber distributors/suppliers that have been cooperative in the past and generate
revenue that way.
A return policy is essential for a company that sells expensive equipment. HHI should consider
offering warranties with some of the more popular items or store credit in exchange for faulty
merchandise. HHI prides itself on its reputation and customer service so it makes sense to extend this
courtesy over the internet.
The new inventory and tracking system would also translate well to an online setting. Customers
could place their order and then follow the purchase to it’s destination.
Competition with national chains is a concern so HHI needs to highlight the one area in which
larger stores are inferior - customer service. Home Depot and Lowe’s are not able to interact as intimately
with regular customers as HHI and can’t gain the same level of trust. HHI must take advantage of this
when expanding its website. A suggestion would be to have a testimonial section. The physical store
could get opinions from the loyal customers and post them online where potential buyers could see them.
Also, make all of the info from the demonstration handouts available online for shoppers to download as
well as the instructional videos. Draw the shoppers in and encourage them to visit the nearest location for
more advice. Reaching out to new customers and guiding them along will hopefully impress them and
encourage repeat business.