All businesses have competitors, locally or on the web. It easier to market your business and win the customers if you know well your competitor information. What they offer and what you don’t, how they market the business, what channel they use, their approach to customer service, etc. Looking closer to your competitors will give you some advantages by adapting their best ideas and adressing your weaknesses.
There are some guides to collect deeper information and better understanding about your competitors.
Outline Competitors Profile
Detail your competitors with a brief description on their website, social media activation, advertising copy, and approach to customer service. Taking a few minutes once a week to know more about them. Take note of what they do well and whether it can be adapted in your business, or plan to change your approach to gain a competitive advantage.
Describe Their Offering
At a glance, it looks like your products and service are the same to competitor’s. But if you take a closer look, you’ll find out some important differences between their offering and yours. It’s important to be aware of the various products and services they offer. The more you know, the easier to create an alternative.
Learn Their Pricing Strategy
Of course, pricing is not always the most important thing for consumers, but it’s important that you remain competitive. Take a look at competitor’s marketing material, catalogue, or visit their offline or online store to find out your competitor’s pricing. If they are selling similat products cheaper, they might purchased more stock than you did, or have less overhead, or have a better supplier. There’s also a possibility thay set a smaller profit than you to, in return, they chase higher number of transactions. You need to think about your long-term future before deciding to compete on price. Balancing the competitive pricing with long-term sustainability is the key.
What Channel They Use To Sell
Knowing your competitors sales methods helps you get the upper hand. Do they sell online, or only operate offline store? Many businesses sell products online as well as in-store. If your competitor is doing this, you have to estimate their rasio of online to offline sales. Visit their website or marketing materia, then note what they put the biggest emphasis on. Their online store of physical store.
Detail Your Competitor’s Customers
Know who is using your competitor’s products and services and why? Do they have long-standing customers or mainly new customers? Do the research, find out the type of person who frequents your competitor and the reason of it. Having a good understand about it will give you information of their level of threat and influence your future marketing strategy. By a good strategy based on a good understanding of market need, your competitor’s customers could be your future customers.
Compiling And Act On The Information
Use your information to grow your business. Make some changes, tweaking the offering, filling any gaps you’ve identified, and reduce your competitor’s threat factors. These could be improving your customer service, reassesing your price, updating your products, redesigning your web and social media activation, changing your supplier, and many more.
And, always remember that your competitors are taking a good look at you too.