Business Strategy

 VRIO Analysis: 

Resources	Value	Rare	Imitation	Organization
Brand positioning comparing with competitors	YES	NO	Can be imitated by competitors	YES. Sky Zone has positioned its brands based on consumer behavior
Customer Groups	YES	YES	It is hard to imitate	The company has an ambitious plan to lead.
Pricing Strategies	YES	NO	Usually is imitated in these sectors	Yes, Sky Zone has pricing analytics
Customers and loyalty	YES	YES The firm has worked hard to build a great customer loyalty	Somewhat successful with competitors	The loyalty program is very useful to attract new customers

SWOT Analysis

Strength	Weaknesses
Unique birthday parties. Large free jump area. A lot of different activities.	Outdated ads on the website home page. Prices are slightly above the average. Customer service skills.
Opportunities	Threats
Expansion in attractions. Expansion across Canada. Getting involved in the Community.	The constant need to create new attractions. Large number of competitors. Price war with other competitors.

Porter’s Analysis 

Competitive Analysis	What may help the organization (Positive impact)	What may hurt the organization (Negative Impact)
Rivalry among competing firms	High products differentiation	Reduce prices and increase marketing costs
Potential entry of new competitors	High-cost investment, strong competitors	N/A
Potential development of substitute products	High service quality and a lot of attraction	Substitute products outside the industry are high
Bargaining power of suppliers	Many suppliers, low switching cost	N/A
Bargaining power of customers	High customer loyalty	Low switching cost

Although Sky Zone does have higher prices, they overall do much better than their competitors. They are constantly trying to stay up to date and like to keep tabs on their competition to keep them involved in any major changes coming to the business.  Other companies are actually lowing their prices to compete with Sky Zone.

We interviewed the manager in Lakewood, NJ. The manager said that due to location and the community around them that their location does extremely well when compared to other locations and companies. She told us that they are constantly finding that Sky Zone in Lakewood is actually the most searched trampoline park in our area and one of the busiest locations in the company.