Competitor analysis

Competitor analysis is a method of revealing what your competitors are actually doing, and what your potential customers believe you and they are doing.

The benefit of undertaking this analysis is that it allows you to pitch your advertising in such a way that you are clearly different from the competitors.

a) cut your prices and start a price war

b) leave the prices alone, and emphasise the higher quality of your product.

But what you might well find is that, while the public perceive your rival as having lower prices, in fact the competitor's prices are much the same as yours.  In such a case, you could run a price campaign based on quality and price.

It is also possible that you will find that, contrary to your current belief, more of your potential customers know your rivals than know you.  (This can come as quite a shock - so much so that some people refuse to believe the research, so convinced are they that "everyone knows us").

In such a case you need to develop a brand development campaign, so that when people are thinking which of the competitors to choose, at least your name is in the frame.

In an ideal scenario there is a clear difference between you and your competitors.  We've mentioned price as one such basis for difference.  Others might be quality, range of products and options, specialism in a particular sector, and so on.

But it is important that such analyses are based on true intelligence.   It is all too easy to believe you know about your rivals when in fact what you are basing your conclusions on is a prejudicial view.  Remember your point of view is not going to be that of the customers of your rival.

Hamilton House undertakes competitor analysis - and is happy to help you organise this yourself, if you prefer not to use an outside agency.  Please call 01536 399 000 for more information.