Most businesses operate within a particular industry and are aware of their competitors who are doing the same thing: hoping to get customers through the door and expecting to grow over the next couple of years. You can learn a lot by what your competitors are up to and undertaking detailed analysis is crucial if you want to stay ahead of the game in your industry.
You can find out exactly who your competitors are, either on a local basis or more globally online, and how they operate. It is fundamental for businesses where there is only a limited supply of customers who are up for grabs or if you are looking to expand your portfolio and develop in the market. It’s important for planning that you know what everyone in your industry is up to and how your business fits into that mix.
This kind of analysis also allows you to highlight areas where both you and your competitors are missing a trick or identifying new markets that could possibly be mined unchallenged. Businesses within an industry will tend to do things the same way up to a certain point. If you look online, specific styles of website are often used for certain businesses and the style of writing is generally uniform. Taking a look at competitor activity can make you ask the important questions that could help set you apart from the crowd and give you the chance to create better USPs when approaching new customers.
Competitor analysis gives you the opportunity to spot best practice in your industry by seeing what your neighbours do well. All business areas have degrees of best practice. For instance, certain companies will be part of professional bodies and supply specific services that customers not only require but have a legal obligation to provide. Others will incorporate specialist software on their site to make sure that customer details are kept secure or handled more efficiently.
In industries that tend to develop quickly, such as technology, detailed competitive analysis gives you an overall view of the current trends and can help your business put in the strategies that encourages the development of new products. If your competitor is developing a new gadget or has a range that is likely to change the market, then you will need to do something similar or better to stay ahead and keep your market share.
Finally, competitor analysis not only lets you look at your competitor’s product development but also gives you an insight into their marketing strategies. Budget often dictates how much a particular company spends on advertising and marketing but there are strategies that can and should be undertaken if you are going to reach out to your potential customers successfully. That can mean anything from engagement on social media to how landing pages are constructed for marketing campaigns.
Strong competitor analysis can actually save you money in the long term and give your business the basis for adjusting the way it does things, growing new strategies that work more effectively. No industry stays the same for long and keeping your ear to the ground will ensure that you aren’t left in the smoke trails of a competitor business when you should be surging ahead.
If you would like to find out more about how we can help your business grow and identify opportunities through competitor analysis please get in touch and a member of our team will be happy to help.