What to Look for in your Competitions Marketing Strategy
Competition is one of the benefits and tenants of a free market. The ability to come up with an exciting product, system, app, or anything that delivers more than current ones in the market, and therefore beats the competition in sales, is what all organizations strive for. In many cases beating the competition just doesn’t rely on the greatness of the product, but its marketing. MP3 players existed well before Steve Jobs’ decision to delve into the market with iPods and while one can argue its success stemming from the quality of the product, many people would agree on the dancing silhouette marketing campaign being the source of its success. It appeared selling the lifestyle with the product as opposed to the products features itself was what connected to the target market. As a business leader, knowing and understanding your competitions marketing strategy can be very beneficial to the success of your business and marketing strategies. You can apply the same strategies, modify them, or even create new product lines based on observing your competitions marketing techniques. Here are a few things to look for when observing your competitions strategy.
Most businesses have some form of content they market on their website, social platforms and other digital platforms. Understanding why your competition is using a strategy and how successful it is, can inspire you to make the right changes to your overall marketing strategy. If your competition’s content strategy is successful on Pinterest because they have great pictures of their products, you can consider whether the visuals and audience on Pinterest are suitable for your business’s marketing strategy and create one. The idea is not to copy, but to learn if and why their content strategy is successful to develop yours.
Networking is one of the greatest avenues for marketing. If you notice quarterly events your competition hosts generates leads for them, finding out why the events are successful and how it generates leads can start to give you creative ideas of hosting your own business events or co-hosting with them or others. Finding out how your competition networks to grow their business can be crucial to you successfully competing with them. I know of businesses that generate as much as half of their business by joining freelance sites; some have had to even grow in staff as a result of this. Keeping an eye on your competitions networking strategy can give ideas on how you can network to grow your business.
Is your competition giving out discounts, or bulk products and services for affordable rates based on seasonality, festivities, holidays, etc.? I’m sure you have noticed all sorts of discounts for President’s Day, Valentine’s Day, Christmas season and so forth. Why? They work! If your competition is selling the same product you are selling with equal quality for half off, the likelihood that their store will out sell your store is rather high. Not knowing this could be harmful to your sales of the same product and others. If the customer needs three products that you both sell and they buy all three at your competitor’s store due to the half off sale drawing them there, you have not just missed out on one sale, but three. However, understanding why they are selling for half off is very important. Their store could be closing with the urgency of vacating the space within a said time. This will enable you as a business owner to know whether to reduce your price to be competitive or to tough it out till they vacate their premises, which could end up being good for your business.
In conclusion, knowing these three components about your competition’s marketing strategy can and should enable your business to be competitive. Not knowing, in some instances, can be harmful to the success of your business. If your competition has discovered a marketing strategy that’s causing them to hire more staff, while it’s hard for you to keep the lights on at your business, it would be smart to take a peek at what they are doing. Find out what they are doing and why it’s connecting to their target audience; not to simply replicate their strategy, but to create yours. Feel free to share marketing strategies you have learned from your competitors.