Nest Thermostat SWOTT ANALYSIS
Photo credit, Nest Inc.

Product line needs diversification, quickly

High overall unit cost in relation to other programmable thermostats available at Lowe's

Need to establish relationship with Home Depot

Current technology is limited to N. American marketplace

Marketing should be diversified beyond current demographics and expand to secondary targets

Competitors are developing similar applications and technologies

Honeywell lawsuit could compromise technology and capital

Unknown if foreign exchange rates and tariffs will affect imports or exports in future

Rising commodity prices

Instability of US and World Economies

Lack of confidence in real estate sector

Political uncertainty and 2012 election year implications

Regulations regarding labor, wages, taxation and privacy

Acknowledged importance of saving energy and monitoring savings

Consumers want mobile and immediate access to information

Demand for streamlined attractive design and new interactive technologies

Product is unique and leading the market

Brand becoming more recognizable

Innovative technology and mobile, easy to use interface

Production is strong with minimal errors

Supply is meeting increasing demand

Volume can be easily scaled to meet increased commercial demand

Furthering North American market penetration

Developing new proprietary technology

Solid venture capital funding for continued innovation and growth

Positve company culture and employee relationships

Strong partnership with Lowe's retailer

Unique alliances with industry groups including utilities, tech, renewable energy, construction

Strong partnerships with academics, NGOS and environmental groups

Innovative marketing approaches using consumer research

Close to finalizing compatibility with HVAC systems in Europe and Asia

Able to expand product line; diversify into other emerging technologies, such as microinverters, refrigeration controls, etc

Pending regulatory environment and utility programs favoring WiFi enabled thermostats and demand management

Economic outlook for green building is improving

Green consumer base is growing

Cost of energy is increasing

Awareness of energy conservation and energy management is growing

Tech-savvy consumer base is growing

Consumer confidence is rising

Unemployment is decreasing

New technology is raising living standards in the US and is further driving economic growth

Baby boomers are retiring and purchasing second homes in hot climates

Consumers are purchasing fewer items overall and are focusing on high quality products when they shop