Competition scares even the strongest giants. With the thriving businesses all over, regular competitor analysis becomes a must if you are to stay afloat in the business industry. Competitor analysis involves evaluating the strengths and weaknesses of your business, and the competitors’. You also analyze the existing market gaps.
The benefits of regular competitor analysis are:
1) Building keywords for Search Engine Optimization(SEO)
Knowing keywords for content, website and social media your competitors use online can help you decide on the ones to use. You can create variations to their keywords for competition purposes or still use the same keywords with different content.
2) Identifying the market your business competes in
Carrying out regular competitive analysis makes you understand the market place you are operating in. You understand the state of your competitors’ businesses. You also get to know the strengths and weaknesses of your business.
3) Understanding the marketing strategies you are not employing
Different marketing strategies give out different magnitudes of benefits. Getting information about the strategies your competitors are using in their marketing helps you to counter them. Remember to use legally allowed methods to gather information about your competitors e.g. their magazines, social media posts etc.
4) Identifying opportunities for co-operation
There are market gaps your business cannot close alone. Co-operating with your competitors in case of such market gaps can enable each business to grow in its own. Doing competitive analysis can figure out such gaps.
5) Determining the competition your business is posing
Carrying out regular competitor analysis can unearth what you are not doing that other businesses are doing. Is it social media posting or press releases? You are able to know extend of competition your business is posing in the marketplace.
6) Identifying opportunities for acquisition or a merger
Competitive analysis gives you an opportunity to know the products and services your business is unable to offer. This may be due to lack of logistics or resources. You may acquire these resources from your competitors or merge with them in order to offer those products and services.
7) Learning from competitors’ mistakes
With regular competitive analysis you are able to know the errors, negative customer feedback and mistakes of your competitors. You can find your competitors business reviews through shopperapproved review sites. This gives you an opportunity to learn from them and do the necessary changes and improvements.
8) Countering competitors’ plans and actions
When you know in advance the plans of your competitors e.g. a new partnership, potential merger or an acquisition, you can put up defensive measures. Your business won’t be got unawares lest it sinks.
9) Understanding market trends
Regular competitor analysis enables you to understand the market trends. In the business world, tremendous changes come in no-time. You will be able to make the necessary changes and improvements to align your business with the existing market trends.
10) Identifying market gaps
Competitor analysis can enable you to spot a gap in the market. It may be required products or services which are not being offered by the existing businesses. Still, it can be products or services which are not being offered satisfactorily by your competitors.
With regular competitor analysis your business will be able to cope with the existing stiff competition in the market. Combine efforts with all sections of your business e.g. marketing team, sales team etc for remarkable benefits. Regular competitor analysis is a must for every business, isn’t it?