Competitor research is perhaps the most important of all tasks, and if you are in sales or marketing position you will want to do this. It will also be a very serious decision to have to make, as your business could suffer badly from making a wrong choice. Below are a few key points that you should look at when you think about competitor research.
What is your business selling? This is a very basic step, and for many people the first thing they will ask about. You will be able to tell a lot about your business from its products, and how they compare with those of your competitors. These products will be something you can actually test, and you will be able to see what other firms are doing and why they are doing it.
Which markets are you competing in? This will help you decide on the types of products you will need to sell. It will be a good idea to make a list of the types of markets you are trying to reach. For example, you may be selling carpets, which many furniture stores are selling at the moment. By deciding on a market type you will then be able to make better decisions about how to expand your range of products, and this can then help you make more money.
The competition in this market will depend on how many competitors there are. If you don’t know how many competitors there are in a particular market, you will have no idea of how difficult or easy it is going to be to get products onto the shelves. By making a detailed assessment of how much competition there is in a particular market, you will be able to improve your range.
When you are looking at your competition in competitive markets, you will be able to compare how well they are doing, and what problems they are facing. These will affect your own range, and make it more competitive. These are usually the suppliers who you need to be your most effective competitors. You will also be able to use this information to develop new ideas, and get your range up to scratch.
Research can be carried out in a number of ways, but the focus should be on specific types of customers. For example, you could use it to find out which customers are buying a particular product or to find out where your competition is falling behind.
Does your company plan to change the direction of its current market? If you do this, you will want to consider the reasons why you will do it, and what will be happening with your business. By considering this, you will be in a better position to take some action, so that you can bring your business in a different direction.
Are there any competitors that have more products than you do? In this way, you will be able to differentiate yourself from them. By making an assessment of the level of competition you have, you will be in a better position to determine the best way to move forward.
Take stock of your progress, and make sure that you understand the work that needs to be done to carry out this research project. If you don’t understand the first time you read it, you will be able to rewrite it and understand it better, and this will help you to complete the work quickly and efficiently.
Data gathering is an essential part of competitor research. Without this, you won’t be able to understand the circumstances in which the products are being sold. With this in mind, it would be good to get some idea of how often the products are being bought by the customers.
You will need to be able to tell whether the products are the most popular, and if they are more popular than the competition, there is a high chance that your competitors may be losing their market share. It is possible that if your competitor is having difficulties getting sales for their products, that you may be able to improve on the same problem. By taking these factors into account, you will be able to identify where your products are doing the best, and start moving your range towards them.
Look carefully at your competitor research before you start putting your money where your mouth is. It is always best to carry out the job in the hands of a professional.