Your competition can be your best friend or your worst enemy. If you don’t know what they’re doing, you can be blindsided and lose market share to them. On the other hand, if you know what they’re doing, you can replicate their successes and ride on their coattails to success and profits. Here are 10 things you need to know about your competition in 2022 if you’re an entrepreneur looking to succeed in that year and beyond.
1) Avoid Confusion
While a competitive analysis is helpful, it’s important to avoid confusing it with market research. Market research surveys your target customer base or possible consumers and takes a look at who is buying which products and why. It can be useful, but keep it separate from your competitive analysis. Businesses aren’t usually competing against customers; they’re competing against other businesses. The goal of a competitive analysis is to help you establish where your business will fit into an existing market (or create one of its own). Rather than gathering information about what your customers like, you’ll be looking more closely at what types of products are out there and how yours stacks up against them.
2) Start with Quality
Whether you’re trying to land a new client or attract a mate, it pays to be better than everyone else. Of course, better is relative—it may mean that you deliver more value or make more money—but you should never settle for less than your best effort. Doing so makes it easier for others to take advantage of you and harder for people to see you as a true leader in your field. If it feels like everyone is working just as hard as you are, then work even harder! Nothing worth having comes easily.
3) Choose Simplicity
Too many entrepreneurs overlook simple, easy-to-implement solutions that can drastically improve their business. Take advantage of services and products that take time out of your schedule so you have more time to grow your business. For example, if you don’t want to hire a designer, consider using Canva, an online graphic design service. While it’s not exactly free (the plans start at $12 per month), it’s an affordable option that allows you to create graphics without hiring an outside designer or learning expensive software like Photoshop. This way, you get what you need without spending more than necessary!
4) Build Consistency into Your Brand
If you want your brand to stand out, you need it not only to be memorable, but also consistent. To build consistency into your brand, pick one thing about your business that makes it unique and make sure that aspect is present across all of your platforms. For example, say you own a pizza parlor with a quirky policy of giving out free ice cream with every slice. If word gets around town and many people start ordering ice cream alongside their pizza, make sure that same message appears on your website and social media profiles—as well as on napkins and placemats!
5) Content Is King
Content is king. It’s that old adage that makes sense for any marketer, but particularly digital marketers. If you aren’t producing great content, no one will ever find you online. And if your content isn’t standing out from your competitors’, then why should anyone click on it? Why would they read what you have to say? If you want people to actually read and enjoy your content, spend as much time on each piece of content as possible—quality over quantity.
6) Knowledge Is Power
Business analysis is not just about knowing your competition; it’s also about getting insight into your market, and what consumers want. If you know what customers want, and if you can identify trends in consumer demands before your competitors, then you will be one step ahead of them. Be an expert at competitive analysis—it’s an essential skill for entrepreneurs who are looking to grow their businesses by expanding into new markets. The more that you know about what consumers want now, and how they might want it in five years from now, the better prepared you will be as a business owner.
7) Research, Research, Research!
Sometimes it’s hard to believe that so many entrepreneurs skip one of the most important steps of starting a business: competitive analysis. It’s your job as an entrepreneur not only figure out how much revenue you can realistically expect to make, but also what your competition is doing, who else is already in your space and how they’re marketing themselves. This exercise isn’t just valuable as a first step towards setting realistic goals and evaluating whether or not you should pursue entrepreneurship—it will also give you tons of data with which you can identify holes that may exist within their business model, ways their customers are being marketed towards and anything else that could give you an edge over them.
8) Take Advantage of Online Tools
Competitive analysis is a crucial part of every business. To compete successfully, you must have knowledge of your competitors’ strengths and weaknesses. Fortunately, technology offers some powerful resources to help with competitive analysis. Here are 10 things you should know about your competition
9) Understand Micro Conversions
Just because a prospect has entered your funnel, doesn’t mean they’re a qualified lead. The number of steps you ask a person to take is correlated with how likely they are to make it through your funnel, and what action you want them to take on that last step. It’s therefore important to understand micro conversions, as well as macro conversions. For example, what happens when someone downloads your ebook? Do they read it all the way through or do they just look at one section? What about when someone clicks on a link? Do they click on multiple links or only one? Understanding micro conversions will help you maximize their number and quality. This will increase their likelihood of making it through your funnel and taking action with you at each step along the way.
10) Measure Reviews, Reputation, and Trustworthiness
Measuring reviews, reputation, and trustworthiness is a simple way to discover how your business stacks up against competitors. Reviews are especially important because they can drive traffic and help build your credibility. Often, if consumers trust one person’s review or brand more than another’s, they’ll also choose that business over another with lower prices or better features. Reputation matters—and social media has made it easier than ever to measure it. Use tools like BuzzSumo to quickly find out what people are saying about you (and your competitors). Are there discrepancies between different sites? High and low points? Positive or negative chatter? These details can give you insight into how people view you compared with other businesses in your industry.