Gaining a comprehensive understanding of your most viable competitors empowers you to differentiate, positioning your brand as the superior choice for intended customers. But in an increasingly crowded marketplace spanning both digital and brick-and-mortar, how do you pinpoint and study key competition?
Start by breaking down different competitor types:
Direct Competitors
These businesses provide nearly identical offerings targeting the same core customer base. Analyze product features, pricing, their unique value proposition and market share.
Example: Pepsi and Coke
Indirect Competitors
These serve the same general customer need but with slightly different approaches, technology or segments. Identify why customers purchase from them instead of you.
Example: Uber Eats and DoorDash
Substitute Competitors
These alternatives satisfy the same essential customer requirement or problem though the product/solution itself looks quite different. Consider how shifting trends open substitution opportunities.
Example: In-person gyms and digital home workout apps
Once you’ve categorized competitor types, delve into research:
- Search industry association directories for player lists
- Study competitors’ websites (services, messaging, branding etc)
- Catalog prices, promotions and product launches
- Review their social media and advertising presence
- Talk to any customers poached by competitors
- Check their app store ratings and features
Continually compile intel into competitor profiles. Update frequently as new products launch and marketing initiatives unfold.
Leverage analytics tools measuring relative online search visibility, website traffic estimates, social media followers and engagement.
Consult review platforms showing detailed customer satisfaction and public sentiment.
Armed with these insights, convey superior value and results compared to alternatives. Lean into strengths while addressing gaps needing improvement. The better you understand all competitor angles, the better you can dominate.
Start by breaking down different competitor types:
Direct Competitors
These businesses provide nearly identical offerings targeting the same core customer base. Analyze product features, pricing, their unique value proposition and market share.
Example: Pepsi and Coke
Indirect Competitors
These serve the same general customer need but with slightly different approaches, technology or segments. Identify why customers purchase from them instead of you.
Example: Uber Eats and DoorDash
Substitute Competitors
These alternatives satisfy the same essential customer requirement or problem though the product/solution itself looks quite different. Consider how shifting trends open substitution opportunities.
Example: In-person gyms and digital home workout apps
Once you’ve categorized competitor types, delve into research:
- Search industry association directories for player lists
- Study competitors’ websites (services, messaging, branding etc)
- Catalog prices, promotions and product launches
- Review their social media and advertising presence
- Talk to any customers poached by competitors
- Check their app store ratings and features
Continually compile intel into competitor profiles. Update frequently as new products launch and marketing initiatives unfold.
Leverage analytics tools measuring relative online search visibility, website traffic estimates, social media followers and engagement.
Consult review platforms showing detailed customer satisfaction and public sentiment.
Armed with these insights, convey superior value and results compared to alternatives. Lean into strengths while addressing gaps needing improvement. The better you understand all competitor angles, the better you can dominate.
