Leveraging competitive intelligence: what’s in it for your business?
Markets change – Businesses must keep a close watch on these changes and adapt accordingly.
Competitor analysis definition
Competition is an inevitable part of a business. As the number of entrants into the market are gradually skyrocketing, an effective competitor analysis framework has become a necessity for modern-day businesses. Competitor analysis is a critical part of the marketing plan using which companies can establish what makes their products or services unique when compared to the peers in the market. This can be achieved by placing competitors in strategic groups depending on how directly they compete for the market share.
How is competitor analysis done?
Competitor analysis or competitor research is ideally carried out by listing out the products or service of each competitor or strategic group, their profitability, marketing objectives, growth pattern, organizational cost structure, and their current and past strategies. Some of the key questions to be answered by businesses here are:
- Who are your key competitors?
- What are the products and services that they deal in?
- What is their market share?
- What are the potential threats that they pose?
The US energy sector is facing unprecedented challenges like unpredictable government policies and regulations, growing competition, the aging workforce, modernizing grid infrastructure, and cyber-attacks. The target and policy measures agreed by the governments of many countries to reduce CHG emissions are exerting pressure to move away from fossil fuels consumption. This is resulting in an immense increase in the competition among the companies, especially in the US energy sector, and new research unveils that this competition is going to be even fierce in the years to come.
Increasing competition demands for more efficiency. It can become a roadblock for the entry of new players in the market. Additionally, it can also hinder the growth of a company if it is not able to analyze the competitors’ strategy. Therefore, the companies need to have a proper competitor analysis framework in place to gain actionable insights on current market position, end-consumers, and key competitors, and the credibility of their partners and associates.
At Infiniti Research, we understand the pain that companies in the energy sector face in the process of competitor analysis and competitor profiling. So, to help companies identify and profile the competitors in the target market while evaluating their strategies to determine the strengths and weakness of the services rendered, our team of experts has listed four crucial benefits that competitor analysis offers in the energy sector.
Benefits of Competitor Analysis for Companies in the Energy Sector
#1: Competitor analysis guide inaccurate forecasting of competitors’ move
Competitor analysis help companies to analyze and assess the next move of their competitors, which helps in better brand positioning. It helps companies in the energy sector to:
- Find new markets to enter or increase the presence
- Predict competitors’ actions
- Improve product development
- Beat competitors to market
- Improve and personalize consumer interaction
- Give consumers what they want and increase market share
- Find new products and tech that will disrupt the competitive landscape
- Identify political or legislative issues
- Stand out from the crowd with a distinct corporate identity and tone of voice
Importance of Competitor Analysis Model
The competitor analysis model helps firms to gauge historic and current market data to redefine their corporate objectives and devise effective strategies to take advantage of the dynamic and emerging competitive landscape. Every sector has its own version of competitor analysis model whose function is ultimately the same i.e., to line your offerings with others in the industry to identify where your offerings are superior or falling short.
Furthermore, the importance of competitor analysis model lies in determining a brand’s competitive advantage. A detailed understanding of the competitive landscape is crucial as it helps identify competitors and succeed in the market. Moreover, analyzing the importance of competitor analysis model is crucial to succeed in the market.
Vegan Food Market Analysis
Americans’ increasing concerns about health issues have contributed to a booming population of vegetarians. Thus, the vegan food industry has gone from being a relatively niche market to fully mainstream and the retail giants have spearheaded the move towards vegan options in supermarkets. The vegan food industry growth is not only driven by vegetarians, but also by a large number of meat and dairy reducers, flexitarians, and people, especially the millennial demographic, who enjoy non-meat food. However, while the market demand for vegan foods are expanding, the rising consumer preference and upsurge in population is sure to challenge the vegan food industry growth. Thus, vegan food market players need to stay renewed on vegan food industry trends and competitor offerings to stay ahead of the global competition.
About the Client
The client is one of the leading vegan food manufacturing firm established in the US.
How does Infiniti’s competitor analysis model benefit your business? Request a free proposal.
Understanding your competition and what they are doing is very essential from a marketing perspective for any successful business. Conducting a competitor analysis often offers an opportunity to glance at your competition with a detailed eye on their marketing efforts and provides useful insights that can be used to make the marketing strategy of your startup achievable. Essentially, a competitor analysis framework does two very important things – it identifies the strengths of your competitors by determining their best performing areas and their focus point and helps determines their weakness. It is very important to know what your competition is doing, how they are reaching their customers, where they are marketing, and what they are providing, especially if you are a startup. This knowledge facilitates you to see where your competitors are falling short in their approach to marketing and there you can highlight the benefits of your own services or products. Here we have formulated a few easy steps to help you to create the perfect competitor analysis model from three different perspectives, marketing, pricing, and product.
Undoubtedly, the packaging is one of the most lucrative industries with immense growth potential. But the market share is not evenly distributed, and smaller suppliers are usually struggling to compete with larger suppliers due to their wider reach and presence across a wide variety of sectors. This helps them to undercut on products without having to compromise on their overall profit margins. Therefore, it can be said that it is a tough, competitive landscape for smaller packaging companies but, nonetheless, there are various competitor analysis tools that can help them take on the big players in the industry. This is where developing a competitor analysis framework plays a very significant role. Packaging companies, With the aid of competitor analysis, can adjust their own prices according to industry standards, boost brand loyalty, and identify up and cross-selling opportunities. In this article, we have explained the three ways packaging companies can improve their customer relationships with competitor analysis.
Benefits of a Competitor Analysis Framework
Adjust your prices accordingly
In today’s competitive market, even the smallest difference in price can turn a loyal customer into the competitor’s new acquisition. Packaging is a cost-driven market and customers in this industry are in the dollar seat. If there is news that one particular supplier is offering cheaper goods elsewhere, customers will undoubtedly move on. Therefore, without the right competitor analysis framework to help you assess the buying behavior of customers, your response time will become slow and you’ll lose your customers. So, it is very important to take complete advantage of technology to gain greater insights into the health of your business to make you act decisively and fast.