Competitive Research is considered one of the most fundamental parts of a good marketing plan. The term may seem to look cynical. However, it has nothing to do with spying on competitors. Businesses use a benchmarking tool to look at every move of their competitors and use it to draft a competitive analysis.
Many organizations fail to succeed in front of their competitors since they have not used competitor research to know the move of their competitors. By understanding every work of the competitors, it became effortless to plan and bring out the products in the market.
In this article, we will help you to understand the meaning of competitive research and how you can conduct it for your business.
The term Competitive Research simply means identifying your competitors and estimating their strategies. It helps determine their strengths and weaknesses with concern to your business, products, and services. The sole purpose of conducting competitive research is to assemble knowledge related to your competitors and develop a go-to marketing strategy accordingly.
Importance Of Conducting A Competitive Research
Conducting competitive research is significant due to the following reasons:
Provides Insightful Knowledge Of Market Conditions
A company generally does not compete with only one competitor. There are, in fact, several indirect competitors competing mostly in the SaaS and tech industries. The competitors are in the commanding posting in the whole market. It allows them to expand in different industries and vertices. With these insights, you will gain knowledge about the current marketing conditions and plan your products and business move accordingly.
Develop And Adjust Go-To-Marketing Strategy
For developing an effective GTM strategy, an organization must have deep knowledge about the ideal customers, product offering and prices, market and competition, and channels required to reach the potential customers. Competitive research allows them to understand the dynamics of the market to figure out the optimal way to reach out to the target audience. By analyzing your competition and the market, you obtain a clear view of your company and the performance of the product.
Steps To Conduct A Competitive Research
Step 1: Identify The Competitors
The first step involves identifying the competitors by searching the category of your products and services and look for the things that are coming on the web. With the help of this step, you will be able to identify both the direct and indirect competitors.
Step 2: Analysing Competitors’ Online Presence
After identifying your competitors, the next step is to visit their website and look for the things they are publishing and how much is their online presence. Then, go through their blogs, whitepapers, and social media content to acquire knowledge about their products and how to use them to your advantage. It will help you to check the plan to outperform your competitors. It will provide you the transparency of the area and resources you should focus on to achieve success.
Step 3: Collect Information
One of the best ways to collect information about your competitors is by becoming their customers. When you sign up to their email list, you collect the idea of how you can communicate with your customers. Furthermore, follow their blogs and social media accounts to gain the knowledge of them being interactive with their customers online. Purchasing their product is another way to acquire knowledge about their products and what they feel like as per the customer’s perspective.
Step 4: Trace Your Findings
After collecting the information, it is significant to track down the findings in a spreadsheet for ongoing monitoring. Keeping a track of your competitor’s findings enables you to look at their change in every move. This can be from pricing to marketing and promotional activities.
Step 5: Inspect Online Reviews
Checking the reviews of your competitors in social media, blogs, and Google will help you to not just keep track of their good things but also help you to identify their bad things. This way you can develop a product for your company and use the information to target the audience online.
Step 6: Determine The Area Of Improvements
The last step involves determining the area of improvement by utilizing the information you have acquired through competitive research. It should reveal one area where your industry needs improvement. You can even use a benchmarking tool to analyze your competition and move accordingly in the market.
Hence, these steps will improve your business goals and help you obtain success in the future.