If you have ever asked yourself or wondered then you are not alone.We measure many facets of our business with precision BUT when it comes to knowing exactly how our company compares to an ever increasing number of hungry competitors we too often have to guess.

The Fortune 500 and even 100 Companies would never leave this to chance, there is far too much at stake. Performance Resource Group’s CEO, Dixon Judd states” It used to be one of the first questions a potential client company would ask me,“How do we stand in our value proposition in the market place?”

Now there is a solution. Having a “Competitive Market Analysis ”  of our top 25 competitors gives our company a strategic advantage that the competition is left to second guess about. This saves us thousands of dollars of precious capital and allows us to focus on tangible improvements as we grow.

Dixon Judd has become the respected resource that companies turn to in obtaining this vital data.

For an in depth consultation to see just how your company is prepared to meet the ever increasing competition; Contact Dixon Judd at Dixon@prgworld.com

Competitive Market Analysis

Topic: Business Planning

No matter how much you think you know about your competition, no matter how much experience you have in your chosen field, without a clear understanding of the market for your business you might as well be driving blind. Big companies spend tens of thousands of dollars to conduct competitive market analysis .

 

Competitive market analysis is important at every step of your business’s development.  Whether you’re trying to choose a businesswrite a business plan, or grow your business, research is absolutely vital to making informed decisions.  The key things you need to learn about your market and your competition include:

 

  • Who are the major competitors in the market?
  • What’s their current share of the market you’ve identified?
  • Have there been any significant changes in the market share each competitor has had over the past five to ten months (i.e. who’s moving up and who’s moving down)?
  • Which of your competitors address which segments and which of them are strongest in those segments?
  • What are your competitors’ strategies for reaching your target market, as well as any segments on which they focus?

Now that you know the types of questions for which you’re seeking answers (and there are many more, but these should get you started), here are some pointers for how to get those answers without spending a fortune:

 

Check out the competition in person

The simplest place to start is by visiting other businesses in the same line of work as yours. See what works and what doesn’t work. If possible, talk to the staff and the customers. Find out what people like about your competition, and what they’d like to see done better, and take lots of notes!  You might just find the perfect business angle or differentiator by learning what your competitors aren’t doing right or what their customers wish they were doing.

 

Research competition online

The internet opens up a vast resource for competitive market analysis – search for your type of business, your competitors’ names, your product or service, and just about anything else you can think of related to your business. Peruse your competitors’ websites to get a feel for what they are doing and what their prices are. Many of their sites may also have a newsroom section with recent press releases and news stories, which could tip you off to recent trends and developments in your industry.

 

Join a trade association

You may already be considering joining your industry’s trade association, and we’ve got one more reason for you to take the plunge: Trade associations generate a lot of data on their own industries. Check with your association to see if they offer access to such data as one of the benefits of paying your annual membership fee.

 

Consider purchasing reports from the pros

Once you’ve identified all the information you can obtain for free, you may want to consider paying a few hundred dollars for a more specific research report. Professional companies such as  Performance Resource Group,Forrester Research, Gartner Dataquest, Emarketer.com, Hoover’s, and Dun & Bradstreet, can compile very useful information that meets your specific needs.

 

Our Bottom Line

The more information you have about your industry and competitors, the easier it will be for you to make smart decisions to build your business. Do the legwork yourself and save some cash by:

 

  • Observing the competition in action
  • Exhausting free online research options
  • Accessing government research
  • Obtaining research from your industry’s trade association
  • Visiting a local library or university
  • Purchasing reports from market research pros

And remember, competitive market analysis will benefit you throughout the life of your business, so these are tips you can use again and again.