If you own a company, you would have been told that it pays to see what the opposition is up to, and therefore you should conduct a competitor analysis. The reason why a competitor analysis is important is because it will help you to gain an advantage over rival organisations.
Almost every company competes within a competitive industry, therefore it is beneficial for you to do whatever it takes to gain a competitive advantage. Conducting a competitor analysis will help you to understand the strengths and weaknesses of your competitors.
Examples of what to research when conducting a competitor analysis
- Which marketing channels do they use to promote their services? / Are you using the same (if not more) marketing channels?
- Do they regularly have promotions for customers? / Are their promotions better than yours?
- Is their website attractive? / Would a customer prefer their website or your website?
- What is their employee structure? / Should you implement the same structure?
- Which suppliers do they use? / Are their suppliers better than yours?
The above topics can provide you with insight into your competitor’s strengths and weaknesses. Enabling you to match their strengths and capitalise on their weaknesses.