Once the market and competitors have been analyzed and the situation with the products has been correctly assessed, it is much easier to find your niche and minimize all risks. The identified competitors can be divided into three groups:
Direct : These are companies that operate in a similar way to yours, within the same region and reaching the same target audience.
Indirect . This group includes companies for which activities similar to yours are secondary or are aimed at a different category of consumers.
Potential . In this case, we are talking about companies that carry out similar activities in a neighboring region, but under certain conditions are able to end up in your market segment.
Market Competition Analysis
It is better to start the analysis panama email list of the commercial market by drawing up a map in which the share of participation of all its players will be noted. During the research process, the following data should be recorded:
Pricing policy (collection of statistical data on prices of basic and additional goods, the frequency of their increases and decreases).
Product range and quality indicators (identifying the product advantages that influence the purchase decision).
Marketing strategy (methods and ways of attracting clients, advertising campaigns used).
Distribution channels (how and on what platforms the company's products are sold).
Popularity (competitor's level of awareness, brand recognition).
Market segment (who is the key consumer of the competitor's products).
Suppliers and business partners (from whom raw materials or materials are purchased, who provide services, for example, for maintenance or freight transportation).
The specialists involved and the management system (professionalism of the staff and their salary level, the scheme used to manage the company).
Advantages and disadvantages of a competitor (consumers’ opinions about the strengths and weaknesses of a competitor’s products, their risks in the market).
It is quite difficult to conduct a market analysis of a competitor company, since none of them will share information with you or provide the data you are interested in. However, it is worth understanding that this is necessary, since you will be able to identify competitors that pose the greatest threat to you, use their developments and play on their weaknesses.
Most of the necessary information (mainly about customers) can be obtained directly from consumers in the process of studying customer opinions about your products by creating focus groups or conducting questionnaires. Some data can only be obtained experimentally, by sending a mystery shopper to a competitor or by acting as their customer yourself.
In addition, you can use the services of an agency specializing in marketing research. In this case, it is worth remembering that such an analysis of the organization's market is quite expensive and is only justified in large businesses.