Businesses in the same industry can often learn from each other’s successes and failures. It would be naive to think your competitors are not keeping an eye on your every move. From branding and pricing to social media posts and promotions, competitors should have one another on their radar. However, if your party supply store starts promoting Halloween costumes in August, don’t be surprised if your competitor starts early too.That said, they should not blatantly copy what the other one is doing.
Brands in complementing industries can also enjoy learning from other businesses. When clothing stores highlight certain trending colors in their window displays, shoe and bag stores often mimic them. So even if someone is not in the market for a neon yellow dress, they might consider the bright yellow bag as a pop of color with a monochromatic outfit. Here are some more ways competitor insights can help your business.
1. Watch Search Engine Ranking
When someone searches for “car detailing near me,” your business should pop up on the first page if that’s your focus. There are several ways to do that, with one of the most important being targeted website content. You need to be using the right keywords to rank well in search. This is an area where you can learn a lot from the competition. If another car detailing business in your area consistently appears at the top of search results, it’s worth analyzing their approach.
Start by checking out the keywords they’re targeting by reviewing their website content, meta descriptions, and headers. You can also conduct a competitive content analysis to identify gaps. Consider creating content that addresses common questions potential customers might have, like “how often should I get my car detailed?” or “what does a full car detailing service include?” By offering valuable, informative content that’s optimized for search, you increase the chances of attracting organic traffic.
2. Monitor Communications
Whether it’s their website, marketing materials, or social media posts, it’s imperative that you know what content competitors are churning out. Even if it’s poorly written copy, you should be subscribed to their marketing. The generic template-kind of emails from your competitor could mean you have a chance to shine with more organic content. Include an interview with the founder and add some behind the scenes pics for a human touch. With so much AI-generated content floating around today, you must stand out.
If social media is not your forte, hire someone so that you’re on top of your game. Many customers today make shopping decisions based on what they see in their social media feeds. Learn about algorithms, so your content reaches your target market. Even if they don’t purchase immediately, your company will hopefully be on their mind the next time they want to buy a product you sell.
3. Know Pricing and Promotions
With everything else being equal, sometimes the bottom line is what decides if a customer is going to go for Company A or B. Keep a watch on industry price trends. Try to stay competitive unless you have another edge. Don’t try to undercut the market by pricing yourselves too low. This could make customers think there is something lacking in your business if you are offering the same service for half price. It can also hurt the entire industry when one business tries to bring the market rate down.
In addition to monitoring competitors pricing, stay abreast of the sales and offers they advertise. Both businesses may have an oil change for the same amount. However, one business keeps sending $10 off coupons to their mailbox. That’ll easily change where a non-loyal customer will go. You can also walk into a competing business to see where they shine and what they lack. Take your own car for an oil change at a local competing business and evaluate their customer service, convenient timings, and so on. Emulate what they do well, and improve upon gaps.
4. Fill Gaping Holes
If the competing business is lacking in any area, it can be an opportunity for your business to stand apart. Say a pizza joint has great food but they don’t deliver. You can ensure you have your own delivery drivers and are available on the popular food delivery apps like Doordash and GrubHub. This way, a customer who cannot drive to the store can still order from your business. Of course, the taste and price also matter, so make sure that’s top notch.
Opportunities can change with time. The other pizza place may eventually start offering delivery. But there is no need to despair. You can find some other unique selling proposition to differentiate your business. There are so many factors involved in a good experience that every business can shine. Unique toppings, delicious sides, a friendly smile at checkout, and an easy-to-order-app are just a few ways you can outshine your competitors.
Consider that wind farms have a certain efficiency if the first turbine is slowed down. This can help create a more efficient farm and a lead on competition.
When you keep an eye on competitors professionally, there is far less guesswork. You will not make decisions based on a hunch. You will have concrete data showing which keywords, for instance, are used most in search. You can then modify your strategy accordingly. When you see what is working for others, it is easier to replicate it in your own unique way.
