A competitor analysis is one of the best tools you have! It involves looking at everything that your competitors are doing and seeing how your business stacks up.
There are a lot of good reasons why you should perform an analysis of your competitors, such as when creating a new internet marketing strategy or identifying the things your competitors are doing right and wrong. With this information, you can identify how your business is different from your competitors and establish your value proposition.
Here are five easy steps for performing a competitor analysis. Good luck, and if you have any questions, feel free to reach out to WSI Star Web Solutions for help!
1. Find Your Competitors
If you’re not sure who your competitors are, do a quick Google search to learn this information. It’s what your customers would do, so see what other brands you’re competing with! Search your business type or the keywords you think your customers are using and see what comes up. You can do this both on the search engines and social media.
2. Outline What Your Competitors Do
Once you identify who your competitors are, it’s time to dig in and do a bit of research. To do this, you’ll want to know basic information like the products and services sold, their shipping policy and their returns policy. You can find this information by:
- Browsing their website
- Reading their social media profiles
- Watching their YouTube videos
- Reading their blog posts
When doing your research, also look for special offers, promotions and freebies that your competitors are offering.
3. Analyze Pricing
How do your competitors price their products? It’s easy to look at an overall price, but dig deeper and see how the pricing is structured. For example, are there hidden fees? Paid shipping? Free returns? Look at pricing holistically to see how your prices compare. Your competitor might have lower prices but nickel and dime for other things that you offer for free.
4. Evaluate the Sales Process
We recommend going through the steps of buying a product from your competitor just as a potential customer would. Browse the products, add something to your cart and start the checkout process. If you continue the sale, you can watch for emails and newsletters, as well as the overall shipping and delivery process. If you don’t continue the sale, keep an eye out for an abandoned cart email.
5. Read Customer Reviews
Take some time to read through your competitors’ reviews and comments to see what people are saying about them. Not only will you get to read what your competitors are doing right but also what they are doing wrong. This information can help when developing your own marketing strategy – and you can target those who are unhappy with your competitors!
Conduct a Competitor Analysis Today!
Even though your business deserves your full attention, it’s important that you’re not so focused on it that you miss what your competitors are doing. Keeping on top of your competitors ensures that your prices, customer service and marketing campaigns are competitive and relevant. If you need help with a competitor analysis, contact WSI Star Web Solutions today.