etitive Intelligence: a Guide to Success

Most successful brands in the world are consistently able to tap into their niche and industry. They are aware of what their competitors do, the current state of the industry and its projected future.

It’s not easy to gather competitive intelligence. A good competitive intelligence strategy should be a constant stream of information that covers many aspects of your business and examines it from different angles.

How can you become a competitive intelligence professional? There’s no one way to get started, but we will cover the most important points and strategies.

What is competitive Intelligence?

Competitive intelligence is the systematic collection and analysis of data specific to an industry. These data may include your competitors’ brand positioning, social media presence, product catalogs and pricing, or even their customer service. By combining and interpreting all of these data points, competitive intelligence can provide a comprehensive picture of the strategies your competitors are employing.

All businesses, regardless of size or sector, use competitive intelligence programs to keep up with the competition. These companies can make better strategic decisions by keeping a keen eye on the competition in their industry.

Why is competitive intelligence so important?

At any time, there are infinite data points. You can gain valuable knowledge by leveraging them strategically.

Below are some of the benefits that come with following best practices in strategic intelligence:

Improve your understanding of the market

You can rely on your gut instinct. You can also use cold, hard numbers. You can use a competitive intelligence platform to confirm if your competitors are using similar marketing and operational strategies and see how they perform.

Better decision-making

You’ll be in a better position to succeed if you base your decisions on data, rather than assumptions. Businesses fail for a variety of reasons, including their decision-making process: How they choose their next steps and the direction they take. The competitive analysis can inform your decisions and help shape the trajectory of your business.

More accurate performance metrics

You can better decide where to spend your time and money by using the examples of your competitors. You might discover that your main competitor is very successful on Instagram but not so much on Facebook. If you find that your top competitors are more successful on Instagram, but perform poorly on Facebook, this could be a sign that it’s time to invest in Instagram rather than Facebook as part of your social media strategy.

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How to conduct competitive intelligence research

There are many competitive intelligence best practices. Each business has its own unique process that works best. Here are some basic tips that will help you create your own.

Find out your top competitors

It’s impossible to gain an edge in the market without knowing who your competitors are. Start by identifying your two or three top competitors. It’s a good idea if you have other competitors to keep track of them as well. When you are just getting started, it is best to keep the data streams small and manageable.

When choosing the best competitors, think about which companies your ideal clients would shop with if you weren’t selling to them. These are businesses in the same niche with similar products or identical brands.

SetSMART goals

Once you have a clear idea of what you want to achieve, it will be easier to select the right tools, processes and strategies to help you. Set goals according to the SMART model.

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  Specific
  
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  Measurable
  
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  Achievable
  
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  Relevant
  
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  Time-bound
  

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A SMART goal could be “We want our Instagram following to double from 1,000 to 2,00 followers within the next six month.” This goal meets all five SMART criteria, as you know exactly what you’re trying to achieve and when. It is also a realistic goal.

You can then use your competitive intelligence data in order to achieve these goals.

You might, for example, use the goal above to examine the content that your competitors post on Instagram. This will help you determine which content types generate the most engagement and which products create the most buzz. You may also find inspiration for promotional campaigns, such as contests and partnerships with other brands or influencers.

Collect market intelligence sources

You can get data for competitive intelligence programs from almost anywhere. Here are some of the best data sources you can add to your plan.

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  Compare competitor websites to determine their overall strategy, audience information, pricing, messaging and branding
  
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  Topic ideas for social media posts and how to identify winning (or failing) strategies
  
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  Forums and social media groups such as Facebook groups and LinkedIn groups
  
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  Press Releases for New Product Info and Competitor Business Updates
  
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  Online job postings that may indicate a company’s growth or a shift in strategy
  
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  Brand information aggregators such as Hoover’s Online and Dun & Bradstreet
  
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  Competitive Intelligence tools such as Semrush, Similarweb and Market Explorer
  

People are also a great resource. Your sales team, for example, might find out about your competitors by using their own sales processes, such as independent research or calls with prospects and leads.

Integrate it into the culture of your company

The foundations of a business strategy are built on this mindset and process. This is not a collection of quarterly reports: It’s information which informs your entire business and shapes how you work. It’s embedded in the culture of your business–your company values, attitudes and goals, as well as behaviors, beliefs and business metrics.

In many cases, solid competitor intelligence can influence businesses to change their plans and work towards newer, more promising ones that are data-driven. You’ll feel a push in a different direction as you build your database of market data.

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Collect, analyze, apply and repeat

Most effective competitive intelligence programs don’t involve a single-step process. They continually gather and analyze data, draw conclusions and create action plans on the basis of those findings. Then, they apply these plans and keep track of their progress.

The cycle is continuous, with the same strategies being used and the others being tweaked. The business landscape is always changing. Your competitive strategy should also change.

Remember that everything is a process. You will not be perfect right from the beginning. It’s important to keep moving, learn, and grow along the way.

Competitive intelligence FAQ

What is an example of competitive intelligence?

Competitive intelligence includes everything from user research to analyzing the websites of your competition, and much more. Understanding the business and competition environment is the key to gaining a competitive advantage for your store.

What is the difference between market intelligence and competitive intelligence?

Market intelligence is primarily concerned with users and customers, while competitive intelligence focuses on the competition. Both approaches are necessary to build a comprehensive business strategy. They complement each other, and provide different perspectives on the market.

What are the best competitive intelligence tools available?

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  Crayon
  
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  G2
  
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  Wappalyzer
  
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  SemRush
  
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  Ahrefs
  
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  Owler
  

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Author: Adeel Qayum