Analyse what your competition is doing with the help of the Kit Digital

Conducting a competitor analysis helps you understand what makes you unique in the market, and also helps you identify potential obstacles to your growth. For example, knowing how your competitor's SEO positioning is or what marketing strategies they follow on their social networks.  

Thanks to this analysis, you will be able to strengthen both your business and your positioning in the market. To do this, there are several tools that we will tell you about below. 

What is a competition analysis? 

Through a search, the competition analysis aims to identify the main competitors to know their strengths and weaknesses compared to your situation. 

Thanks to this analysis, you will be able to confront your competitors' strategies and make the most of your capabilities. In addition, knowing what your competitors are doing will allow you to be alert to the commercial offensives of the main competitors.  

It is also important to know the types of competitors you face. This will help you to improve your market position by leveraging your strengths. Here are the different types of competition you will face. 

What are the different types of competitors? 

To conduct a competitive analysis, you must first identify your rivals within your market segment. There are three types of competition: 

1. Direct competitors: those targeting the same market segment, the same audience and may even be in the same geographic area. In addition, the prices of the products and/or services are usually similar. For example, the search engines Google and Bing. 

2. Indirect competitors: those that offer the same products and/or services as you, but have a different range (higher or lower). For example, for Malboro, which is a tobacco company, the electronic cigarette firm Iqos would be your indirect competitor. 

3. Potential competitors: those companies that do not offer the same products and/or services but target the same audience. They may also offer complementary services and could therefore become direct competitors. For example, Netflix and Glovo. 

Now that we have told you how to identify your competitors, here are the benefits that analysing your competition can have for your SME. 

Benefits of conducting a competitive analysis 

As mentioned above, this analysis allows you to understand the strengths and weaknesses of your competitors in order to find gaps in the market. In addition, it can bring you the following benefits: 

1. Helps improve your business strategy, detecting opportunities for decision making. 

2. Determine who your most direct competitors are. 

3. Helps you keep abreast of market trends. 

4. Detects the level of interaction and engagement that competitors have with customers. 

5. Shows you the market gaps so that you can take advantage of them to gain a business advantage. 

Steps for conducting a competitive analysis 

If you are wondering how to start designing your competitive analysis, don't miss these six steps: 

1. Identify and rank the competition: gather as much information about your competitors as possible to be able to assess your situation in comparison to theirs. For example, with the SpyFu tool you can identify the competition. 

2. Compare contents: by evaluating and comparing the content you bring to your audience, you will understand your target audience, as well as discover your approach to the customer experience. 

3. Carry out a price analysis: this factor is one of the main reasons why consumers get carried away. With this analysis, you will be able to see where you really stand in the market compared to your competitors. 

4. Examine your search engine optimisation (SEO) strategy: SEO strategy is able to define the number of customers that each company attracts. For example, if your competitors stand out on specific topics, you can create content with keywords that have not yet been used. There are different tools to perform this analysis, for example: SemRush. 

5. Include your business in the positioning map: look at where you are located on the competitive analysis map, and consider whether you should reposition or modify the focus of your strategies. 

6. Conduct a SWOT analysis: this analysis will help you to find out your strengths, opportunities, weaknesses and threats. It will also help you to map out future strategies. 

As mentioned above, the Kit Digital offers an advanced online presence solution that includes a monthly competitor analysis to inform you of your position vis-à-vis other competitors. The maximum amount of this support is divided into the following groups:  

• 0 < 3 employees: €2,000 

• 3 < 9 employees: €2,000 

• 10 < 50 employees: €2,000 

By conducting a competitive analysis, you will be able to focus on your strengths and increase the chances that your target audience will prioritise you. 

Don't hesitate, conduct a competitive analysis to join the digital shift.