Competitive analysis is a strategic move that focuses on the products, services, sales, and marketing strategies used by the competitors. It allows you to develop ways that can outsmart your business in comparison to your competitors. A sheet is a document with adjacently aligned rows and columns to enter data. It provides an organized structure to random data.
The competitive analysis sheet provides detailed information about competitors of the business. These details may include sales, services, price, strategies, the revenue of 4 or 5 competitors. An organized data helps in quick evaluation.
Requirement
Need for competitive analysis sheet is always required in the business community whenever a new business is introduced due to the following reasons,
- To know about the gaps in business or services that needs to be filled
- To evaluate how things work in that business market
- What sort of new product and services can be launched that would be appreciated
- Unravel the market trends that can be beneficial for new businessman
- Understanding market allows you to develop effective strategies of selling
Thus, a competitive analysis sheet is a basic requirement for every business owner to not only understand their competition but also the public, who will be using these services.
Significance
This strategy is adopted by every incoming business as they try to settle in the business market. It is crucial to know what they are getting into and how the system works. The importance of competitive analysis sheet can be evaluated from the following points,
- It allows you to understand the strategies used by competitors that are liked by the audience and they use their services. It might give the right direction for one’s business
- Competitive analysis sheet points out the direction where competitors are falling short and cannot meet the requirements of audience which can be used as an opportunity
- Allows you to test new marketing strategies that are not used by competitors but can be very effective in communicating services
- Help you to learn customer’s review about the products of competition and give you an insight about the workings of customer’s mind and how they observe
- Provides you a threshold level to compare your own success
Procedure
The procedure of conducting the competitive analysis can be very tiring because it requires obtaining useful information from every resource and formulating data in the form of a sheet to give it an organized look. It generally involves following key steps,
- Making a list of all the competitors in the business market
- Determining the services or products offered by them
- Researching about their sales and the tactics used by them to increase sales
- Viewing the pricing of all their products and note if they offer any incentives to the customers
- Comparing their sale with your current business and evaluating pricing
- Determining marketing strategies used by the competitors
- Include the reviews of customers on the products of competitors
- Observe the technology used by competitors for their sales and products manufacturing
- Follow their social media presence on all platforms and note the views of customers and their responses
- Determine the opportunities offered by them to the people for jobs and other vacancies
- Arrange all the data in an organized manner to have all complete picture of strengths, weaknesses and opportunities provided by all competitors
