In every success story of a company, website or a specific product, there is a common word in all stories, which is the analysis of competitors. This word, if you applied it correctly to your project, would have taken a big step forward in order to achieve the success you seek.
In this article we will explain to you about competitors analysis and how to do it in a practical way away from routine words that are often vague, and you will learn the correct way to do competitors analysis in a proper and comprehensive way that helps you to understand the market and understand your competitors plans and build more effective self-plans.
First: What is the competitors analysis?
Competitors analysis is a comprehensive study of current and potential competitors through which the strengths and weaknesses of competitors are discovered, which makes it easier for you to discover and avoid potential mistakes, and allows you to know the plans of past and current competitors, which may give you a more correct expectation of their future plans, and this analysis provides a general plan to determine Defensive and offensive strategy and identification of opportunities and threats.
This analysis is an essential element in the strategy of successful companies, although many companies do not do it and there are other companies that do competitor analysis that is not based on facts. As a result, most of these companies are in danger and lack their competitive opportunities because of insufficient knowledge of competitors and the market.
Second: Steps to do a proper analysis of competitors.
To get a thorough and accurate analysis in which to achieve your marketing goals, you must know the following points
The number of competitors, so that the competition increases as the number of competitors increases.
The product or service, so you must know what kind of product or service the competitors offer.
Market share, you must know what the market share for each competitor.
Previous and current marketing strategy.
Marketing means, so you should be familiar with the marketing means of competitors
Strengths and weaknesses, you should know the strengths and weaknesses of each competitor
Risks and opportunities, you must know the dangers of each competitor on you, and on the other hand you must define the opportunities that each competitor can create for you.
Growth rate. If you want to market a specific product, you must know its industrial growth rate because products with a slow growth rate have high market competition.
Fixed costs of competitors, you must know the amount of fixed costs that your competitor puts in order to market his products in the market.
Product excellence, so that the less the degree of product excellence in competing products, the more intense the competition, because any product can attract customers of other competing companies.
Production capacity, the increase in energy leads to increased competition, and increasing energy here means increasing production, which leads to a decrease in the price, so competition increases.
Analyzing competitors does not mean imitating them, but to benefit from their experiences and plans and to build a more advanced marketing plan.