Competitive Positioning involves defining how a firm can “differentiate” its offering and create value for the target market. It's about carving out a spot in the competitive landscape by winning mind share and ultimately heart share. Strategically a business can create superior value for its customers that distinguishes it from the competitors by a process called consumer bonding.
The ultimate objective of competitor analysis is to know enough about a competitor to be able to think like that competitor, so the firm's competitive strategy can be formulated to consider the competitors' likely actions and responses.
Why Comprehensive Competitive Analysis?
To achieve sustainable competitive advantage in marketing and selling to target market, a firm needs to possess a thorough knowledge of competition – current and potential. An in-depth competitive analysis is required for the following reasons:
- To understand of how existing and potential customers rate the competitors
- To Identify of competitor’s strengths and weaknesses
- To develop effective competitive strategies in target market
Analyzing incumbent competitors is not the only goal of the competitor analysis as a potential competitor can always come along to create technology disruptions that can change the entire industry structure.
It is imperative upon the firms to create a profile of likely strategy changes rival firms can make. A company marketing a product like your own product in the same geographic location is a direct competitor, which can be easily identified. Further, the firms that offer substitute products or products in the vertical value chain or have subtaintial financial resources are also required to be analyzed for potential threats to the business.
An in-depth competitor analysis requires collection of data in a systematic manner and on the basis of this information counter any move by the competitor firm.
We help our clients forecast not only the strategic moves of the incumbent firms in the industry but also firms that could overcome entry barriers and key industry forces and alter the profitability of existing firms.
Our Competitor Strategy Framework
To create competitor profile of the industry players our reports address the following critical questions:
- Defining the Market in product and customer terms
- Technology Paradigm and Evolution
- Distribution Channel Strategies
- Market Signals and Trends
- Value Chain Analysis
- M&A Activities and impact on Industry Structure
- Price and Pricing Analysis and Drivers
- Financial Strength
We scrutinize the organization's industry for assessing the firm's strategic situation. An industry structure analysis identifies the major forces affecting competition in an industry and determines the strengths and weaknesses of the business relative to the industry. We focus on what the competitor appears to believe about its relative position – in terms of cost, product quality, technological sophistication, and other key aspects of its business.
We analyze the potential and probable mergers and acquisitions that might occur either among the established competitors or outsiders are analyzed along with their financial strength and weakness. ANS MarketPro provides insights and analysis on more than 100 emerging, developing and developed countries across seven key growth industries.