The cool calculation of your competitors weaknesses is easier than ever on a social web.
Had Zuckerberg ignored areas that he felt MySpace guys were doing wrong, or had Twitter founders relinquished the idea of creating ‘the SMS of the internet’, the World Wide Web as we know it might have been very different.
So many successful players in the internet marketing fold reflect the growing importance of competitive marketing analysis. What this information reveals to win on the web has become more crucial than ever.
Healthy competition and rivalry is fast growing into an essential fabric for success in the quickly-changing technology and marketing led businesses. The success mantra has evolved significantly over the last few years, especially when we look at the emergence of many game changers, such as Google, Facebook and Twitter.
This is how the contemporary internet marketing practices changed, and competitive analysis strategies employed traditionally aren’t necessarily as effective today as they were before.
Competition analysis – vital for professional excellence?
Competition stresses better emphasis on perfection in your niche service fold. Success and professional excellence thrive on a hale and hearty competition, which is why knowing and understanding your rivals remains crucial to modern marketing tactics. Further, without a thorough comparison model and perceptive analysis, it is hard to determine whether your marketing strategy is earning great dividends or driving your hard earned marketing budget down the drain.
A vigorous competition watch kills two birds with a single stone – helps with better understanding of rival tactics and opens a window through which you can see your own problem areas. Further, I’m sure you’d agree that knowing where you stand at the moment is highly important.
Still looking for reasons to use competitive analysis in your internet marketing campaigns? Read through the following reasons and find out yourself.
- Identify opportunities to serve newly acquired and prospective customers.
- Determine size of the market – identify service gaps and areas for self improvement where competition is exploiting at the moment.
- Find the tried and tested ways to cater the target market.
- Identify and promote your unique value proposition.
- Conclude if your marketing and promotions strategies are effective or not.
- Knowing where you stand at the moment is very important. Competitive analysis on it.
Discover your rival’s secret success recipe
1. How are they filling the gaps in their service portfolio?
Extrapolate customer engagement signs for success/loss, understanding their campaign tone – peppiness implies confidence, seriousness implies pragmatism and orthodox approach suggests they are afraid to try new things.Look for behavioral patterns – campaign restructuring and changes (too frequently implies campaign failure, while occasional changes imply a campaign is working well.)
2. Investigate their customer acquisition approach
Look for rivals’ social media engagement – how frequently they respond to their clients, are their social media reps doing a decent job or not and subtle indicators of customer acquisition via self promotion. For example – “XYZ celebrates 500+ customers with free $100 worth of consultation/service free of charge.
3. How actively they are using social media and for what purpose?
Social media drives are different as we go from Facebook, Twitter, and Google+ to Instagram or Pinterest. Hence, try to find the purpose behind each one of them along with the common objective.
4. Their unique value proposition
Learn how your rivals are playing the game, so you can beat them at it fairly. The unique value proposition sheds light on the fraction of clients that your rival is fixated on.
5. What to find about your competitor and where?
This is a point where you really need to understand that a local store is not your competitor online if they don’t offer their service via internet. Your competitors based online could be entirely different. Examine new and emerging players in the market. Use tracking tools such as Google Alerts, Talkwalker, Mention, etc.
Evaluate the premise of your rivals – if you share similar ground, look for areas where a certain edge can be established and nurtured.