More information on your competitors means that you are better able to launch effective campaigns and can prepare stronger defensive activities against your competitors’ actions.
Here are 5 activities that you can undertake to build a better picture of your competitors.
1. Identifying your competitors – apart from the obvious ones do not overlook start-ups/new entrants. Remember to also take a broader market view of those companies that attempt to satisfy the same customer need/serve the same customer group as you.
2. Determining your competitors’ objectives – what are they focused upon? At this point you need to decide what you’re going to be and then narrow the competitor list accordingly.
3. A ‘deep dive’ to understand your competitors’ strategies – you can do this by looking at their campaigns, marketing communications etc.
4. Assessing your competitors’ strengths and weaknesses – as well as research undertake benchmarking to compare your products and services. Check that your original competitor evaluation still holds and that customer needs haven’t evolved.
5. Estimating your competitors’ reaction patterns – each competitor will react differently, some quickly, some more slowly.