Here are some ways you can start integrating competitive intelligence into your business plan:
1. Identify Key Competitors
Before you can analyze the competition, you need to know who they are. Identifying your key competitors will help you understand what you’re up against and where your business fits within your market. You can identify your competitors through the following:
- Search Engines & Online Directories: You can find competitors by doing searches on Google or Bing. If your business operates locally, just be sure your search query contains your specific location, so you don’t waste time focusing on competitors outside of your footprint. You can also search for competitors using online directories like Yelp.
- Online Competitive Analysis Tools: Platforms like Semrush and LowFruits allow you to track the digital marketing strategies of your competitors including their paid search efforts, organic search rankings (SEO), and their customer engagement efforts. These tools can also help you identify who your online competitors are.
- Local Market Analysis: If you operate a local business, explore your local area. Drive around, walk through commercial districts, and look at advertisements in local newspapers or business directories.
2. Gather and Analyze Data
Once you’ve identified your major competitors, it’s time to gather intelligence on them. Start the process by doing the following:
- Visit Their Websites: Viewing the websites of your competitors can give you insight into their offerings, pricing, promotions, and branding. This information can help you identify gaps in your own products and services, get ideas for new features or promotions, and help you understand if your offerings are priced competitively.
- View Their Social Media Accounts: Start by identifying which social media networks your competitors are currently on, and which ones they’re not utilizing. If a competitor isn’t active on a particular social media platform where your target audience spends time, you can seize that opportunity and make sure you’re active in that space. You should also observe how your competitors interact with customers on social media, and what kind of content they’re regularly posting. Take note of which of their social media posts have high engagement and use them to inspire fresh ideas for your own posts. Similarly, look at your competitors’ less successful posts to learn what content isn’t resonating with their target audience.
- Check Their Online Reviews: Look at the reviews your competitors are receiving on online platforms like Google, Facebook, Yelp, Trustpilot, and the Better Business Bureau. This can help you understand what people like and dislike about your competitors and can provide insight on the needs and preferences of your customers.
3. Monitor Industry Trends
In addition to looking into what your direct competitors are doing, it’s also important to keep an eye on the broader environment in which your business operates. Understanding industry trends allows you to stay ahead of changes and innovations that might impact your business, enabling you to anticipate shifts rather than simply react to them. Stay ahead of the curve by doing the following:
- Subscribe to Industry Publications & Newsletters: General business news outlets like The Wall Street Journal, Business Insider, Forbes, and Bloomberg can provide updates across a variety of industries, and there are many industry-specific publications and news websites out there as well. Trying a Google search for “[Your Industry] trade magazines” will usually yield some helpful results.
- Attend Industry Trade Shows & Networking Events: These events allow direct interaction with industry professionals and can provide you with inside insight into emerging trends.
- Use Social Listening Tools: Platforms like Google Alerts and BrandMentions can help you stay in-the-know about important trends and consumer sentiments in your industry.
- Follow Thought Leaders & Influencers: Experts often share predictions, data, and insights that can shape market trends. Find people within your industry to follow them on social media for inspiration and updates.
4. Implement Competitive Insights
Competitive intelligence isn’t just about gathering data, it’s also about putting that information into action to strengthen your business strategy. When used properly, competitive intelligence becomes a strategic advantage rather than just an informational resource. Consider doing some of these things based on your competitive findings:
- Refine Your Marketing Strategies: If a competitor is succeeding with a particular content strategy or advertising campaign, use that knowledge to improve your own marketing efforts.
- Adjust Pricing Strategies: Understanding your competitors' pricing models can help you set competitive yet profitable prices.
- Enhance Product Offerings: By identifying market voids, you can develop your own unique products and services to address overlooked customer demands.
- Improve Customer Experience: Studying competitors' customer engagement tactics can highlight opportunities for you to enhance your own customer’s satisfaction.
Including competitive intelligence in your business strategy isn’t just about keeping an eye on competitors, it’s about proactively shaping your company’s success. From identifying trends to making informed decisions, CI helps your business stay relevant. Once you’ve started using competitive intelligence to identify the offerings and innovations that can set your business apart, we’re here to help you bring your vision to life. Whether you need optimized POS systems and other merchant services, business loans, lines of credit, or credit cards, we offer financial solutions tailored to small businesses in MA and RI.