Competitive analysis is how you’ll determine what makes you stand out from everybody else and that’s really important for your business plan.
The easiest way to find out about your competition is from the customer’s viewpoint. Start with the definition of your target audience and then go out there and look for companies who are doing what you do. But if somebody’s not doing the exact same thing as you then look for something similar. Roll it up to the industry level.
Now go out and research some of the competition. This is done by general, good old fashion, online research. Go to these websites. Find out what people are selling.
What are they offering?
What’s their market share? What are some of their strengths or weaknesses? Right, scope out your competition on some of the review sites, but take those reviews with a grain of salt because some people are mean just to be mean. And don’t forget to check out your competitor’s social media websites, right? You wanna go there, read through some comments, and find out what their customers are raving about. If you’re a location based venture, like a restaurant or a salon, do a site visit.
Actually go visit your competition and experience it for yourself and then take note of the things that you like and don’t like. But if you’re looking for maybe some more trusted feedback, a little professional assistance, then go to a local business association, like the Chamber of Commerce, or Score, or maybe there’s a business professional in your neighborhood you could talk to.
Use the research data that you’ve gathered and put it into your business plan. But don’t just stop there. After you’ve launched, make sure that you continue researching because chances are you miss something the first time around. All of this research and evaluation of your competition, trust me, is critical to your success. Thanks for readng.