Before you can start you need to understand who your competitors are. But how do you do this? The best way to determine if another business is a key competitor you need to ask yourself:
- What service are they providing?
- Are you targeting similar target audiences?
- Are they operating closing to you?
You’ll have the competitors you typically think of locally, but also those competing for the same search terms as you too there are 3 main types of competitors:
- Direct competitors:
“A direct competitor offers the same products and services aimed at the same target market and customer base, with the same goal of profit and market share growth. This means that your direct competitors are targeting the same audience as you, selling the same products as you, in a similar distribution model as you.”
- Indirect competitors:
"An indirect competitor is another company that offers the same products and services, much like direct competitors; however, the end goals are different.”
- Substitute competitors:
“Another company offering a product or service to your customers that you also provide.”
Once what sort of competitors you would like to be compared against has been considered, it is important to understand how you stand out. That’s the next part of the analysis.
I hope you find this information helpful…see you on the next topic