How do you use competitive analysis to find gaps and opportunities in a new market?

All truth. At the end of the day, it's about understanding, better than the competitors themselves, where they are winning, where they are not, and why.

I believe spending some time on what has worked for the competition in a specific market is paramount but I always like to look at was has not worked and why? At the end of the day success for one company at different stages of their cycle can look very different for another.

Effective competitive analysis involves a systematic evaluation of your competitors. Begin by identifying key players in the market. Analyze their strengths, weaknesses, target audience, product offerings, pricing strategies, and marketing tactics. Understand their value proposition and how they position themselves in the market. Utilize market research tools, social media monitoring, and customer feedback to gather insights. By meticulously examining your competitors, you can uncover areas where they fall short, identify unmet customer needs, and pinpoint opportunities for differentiation. This information becomes the foundation for crafting a competitive strategy.

Using competitive analysis to find gaps and opportunities in a new market involves a few key steps. First, assess competitors’ strengths and weaknesses by analyzing their product offerings, pricing strategies, and customer feedback. This helps identify areas where they may be falling short. Next, I look for unmet needs or emerging trends that competitors haven’t fully addressed. By understanding these gaps, we can tailor our approach to offer unique solutions or enhancements that resonate with customers. It’s about turning competitive insights into strategic opportunities for growth.

It is very important to know where our product is positioned vs. the competitive market. Making a comparative map of the existing brands with the main KPIs gives us a vision of the advantages and disadvantages that our product has compared to the competition.

There are so many ways to differentiate a business. One example of how a business can differentiate itself is by offering a unique feature or service that is not offered by competitors. For instance, if all of your competitors offer a basic version of a product, you could differentiate yourself by offering a premium version with additional features that customers would value. Alternatively, you could offer exceptional customer service, which could help differentiate your business from others in the market. By providing exceptional customer service, you can create a positive reputation for your business and increase customer loyalty, which could lead to increased sales and revenue.

3 quick notes: 1) It comes down to understanding the space and the market potential when analyzing competitive strategy for gaps. Knowing you customers. 2) Questions/ Answers: What makes them different? Do they have a competitive advantage? What are theirStrengths & Weakness?…Example: In med device industry, a product may be very effective (strength), but the product takes too long to set up, not easy to use, and cost too much (weakness). 3) Execute-utilize the material to create new opportunities and strengthen existing.

The fact that our product has the corresponding certifications is a great validation support for what it offers. Furthermore, knowing how to communicate the benefits in a user experience narrative builds a great connection between the product and the target market.