We all know what it’s like when you’re looking at competitors in your industry, it’s far too easy to obsess over the similarities and differences between what you’re doing and what they are putting out. Keeping an eye on your competitors can be both a strategic advantage and a potential pitfall.
It’s all about picking the right time of when to look at competitors or alternatives which can significantly impact your business's success. In this article we will explore when it's beneficial to examine your competitors as well as when it might be counterproductive.
Ideal Customer and Proposition
Understanding your ideal customer and your unique value proposition is crucial in deciding whether to focus on your competitors. If you have a clear grasp of who your target audience is and what sets your business apart, you may find that constantly monitoring competitors isn't as valuable as you might think. Your ideal customer may be attracted to your business for reasons beyond just the product or service you offer.
The Myth of the Unique Selling Proposition
While the concept of a Unique Selling Proposition is often thought to be essential in marketing, it's not always the be-all and end-all. Sometimes, what's truly unique about your business doesn't necessarily translate into a better customer experience or increased sales. It's your values and personality that can make the real difference.
The Buyer Journey
One common mistake is assuming that if a competitor's marketing strategy seems successful, it will work for your business too. However, before emulating their tactics, you must have your own well-defined buyer journey. Ask yourself, "Would this approach genuinely work for us?" It's possible that a strategy yielding high conversion rates for them might not yield the same results for you.
Values and Personalities
One common mistake is assuming that if a competitor's marketing strategy seems successful, it will work for your business too. However, before emulating their tactics, you must have your own well-defined buyer journey. Ask yourself, "Would this approach genuinely work for us?" It's possible that a strategy yielding high conversion rates for them might not yield the same results for you.
Hidden Marketing Activities
Competitor analysis often focuses on visible aspects like advertising, social media, and website content. However, many marketing activities happen behind the scenes, including direct mailings, LinkedIn outreach, telesales, and newsletters. These activities might be just as crucial, if not more so, in your industry. Remind yourself that the activities you’re seeing may not actually be the ones that are leading to conversions!
So when is it useful to look at competitors?
Sometimes though, it is useful to look at your competitors' marketing efforts. Here are a few ideas of when it might be useful for your business.
- Comparing Pricing: Keeping an eye on your competitors' pricing can help you remain competitive. However, be cautious and consider the profitability of their pricing strategies.
- Generating New Ideas: Competitors may have innovative ideas you haven't thought of. Analyse their approaches critically to see if they could be adapted to suit your business.
- Messaging and Descriptions: Examining how competitors describe their products or services can provide insights into effective messaging. But remember, don't copy them blindly; adapt their tactics to your unique brand.
- Stepping Out of Your Business: Put yourself in the shoes of a potential customer and ask when your competitor might be a better choice. Recognise that there are situations where they may excel and situations where you have the upper hand. Play to your strengths accordingly.
It's essential to strike a balance between monitoring your competitors and staying focused on your unique strengths and value proposition. Your business is not solely defined by what your competitors do; it's shaped by the distinct values, personality, and customer experiences you offer. Carefully choose when to look at competitors, ensuring it aligns with your business goals and strategies.
Not getting distracted by what your competitors are doing can be difficult when building your marketing strategy for the first time. So, if you’d like some help getting started, download our free ‘How to do marketing that works’ guide today. https://rosconkie.kartra.com/page/freeguide
Not getting distracted by what your competitors are doing can be difficult when building your marketing strategy for the first time. So, if you’d like some help getting started, download our free ‘How to do marketing that works’ guide today. https://rosconkie.kartra.com/page/freeguide
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