SYSTEMATIC COMPETITIVE ANALYSIS – BASIS FOR PROFITABLE BUSINESS MODELS
Whether entering the market, undertaking growth projects, or determining the strategic direction of a company: correctly assessing the competitive situation and knowing the most important market competitors and their strategies is crucial for the success of entrepreneurial decisions.
A systematic competitive analysis helps business leaders develop their own competitive advantages and USPs (Unique Selling Propositions), clearly differentiating their company from the competition. This differentiation approach enables the establishment of profitable business models, even in highly competitive markets. MEYER INDUSTRY RESEARCH, a professional market research company in Munich specializing in in-depth market analyses for B2B and industry, supports you with a systematic competitive analysis.
Competitive analysis is a fundamental building block of any business strategy
A competitive analysis examines various aspects, such as competitors' products or services, their pricing, marketing strategies, market shares, and customer reviews. Online presence and social media activities also play a crucial role.
Analyzing these factors allows companies to better assess their market position and develop targeted measures to differentiate themselves from the competition. Furthermore, competitive analysis enables them to identify trends early and react flexibly to changes in the market environment.
Competitive analysis is therefore an essential component of any business strategy. It helps companies to optimize their market position
- to assess one's own market position
- To better understand competitors
- to recognize one's own strengths and weaknesses
- Identifying opportunities and risks
- To identify innovations and trends early on
- to better understand customer needs and ultimately
- To develop competitive advantages
A competitive analysis is also a component of a market analysis. A market analysis gathers information about the market (development, market potential, sub-sectors/niches), customers (information about number, structure and development), and the competition.
Development of a competitive analysis
Methods of competitive analysis: There are various approaches to analyzing competitors, such as SWOT analysis (strengths, weaknesses, opportunities, threats), benchmarking, or the analysis of marketing and sales strategies. Depending on the industry and objective, a combination of these methods can be beneficial. It can also be helpful to have the analysis conducted by a service provider to incorporate an external perspective and broaden the scope of the results. MEYER INDUSTRY RESEARCH has been conducting competitive analyses in the B2B sector for almost 20 years and would be pleased to assist you in creating your competitive analysis.
Data sources for competitive analysis: For an effective competitive analysis, one can draw on various data sources, such as competitors' websites, social media, industry reports, customer reviews, patents, or even direct conversations with customers and suppliers.
Regularity: A competitive analysis should not be a one-off project. Markets are constantly changing, new competitors emerge, and trends evolve. Therefore, it is advisable to update the analysis regularly to stay current.
Legal aspects: When gathering information, it is important to observe the legal framework. Unfair methods, such as the unlawful acquisition of confidential data, should be avoided.
Tips for creating a competitive analysis
If you want to conduct a competitive analysis in-house, you should consider a few basic things:
Defining the objectives: This point forms the basis of the study. Only when the objectives have been precisely defined can a structured and focused approach be taken and the right methods for data collection selected.
Identifying and selecting key competitors: The next step is to list the competitors to be analyzed. It is advisable to initially focus on a few key competitors when conducting a competitive analysis. It is also important to consider whether all competitors are actually known, or whether they first need to be defined. Both direct and indirect competitors should be taken into account.
Data Collection: To gather data on the competition, it is recommended to use as many and diverse sources as possible. These sources should also be evaluated for the reliability (validity) of the data they contain. Ultimately, the subsequent analysis, and therefore the implications for the business plan and corporate strategy, are based on this data.
Sources for competitor data can include, among others, competitor websites and online shops, social media profiles (Facebook, Instagram, LinkedIn), industry platforms, customer reviews and feedback, industry reports and market studies, press releases and news, or publications at trade fairs and conferences.
Conducting the analysis: To systematically evaluate the collected competitor data, the SWOT analysis tool is often used. This tool identifies the strengths and weaknesses, as well as the opportunities and threats, of competitors and compares them with the company's own (benchmarking). In this way, strengths and weaknesses relative to the competition are revealed, and risks and potential opportunities are identified early on. However, depending on the content and objectives, the evaluation may also utilize a different competitor analysis tool.
Regularity: Because markets change, competitive analysis should be updated regularly. Depending on the industry, cycles of 3 to 12 months are generally recommended. MEYER INDUSTRY RESEARCH's service portfolio includes not only the initial creation of a competitive analysis but also its regular updates at defined intervals.
Compliance with legal limits: The information must be collected legally and without the use of unfair methods.
COMPETITIVE ANALYSIS – MARKET ENTRY POSITIONING AID
Market entry is an exciting yet challenging phase for young companies and startups. To successfully compete, it is essential to have a thorough understanding of the market conditions and to align one's positioning accordingly. Competitive analysis plays a key role in this – a systematic process that provides valuable insights into the competitive landscape and forms the basis for a differentiated market strategy (learn more about our services: market studies , market potential analysis , and market data).
When entering a new, promising, and existing market, the precise environmental and competitive conditions are often unknown. This leads to significant risks upon market entry and frequently results in a market positioning that is not aligned with market needs. A considerable amount of "tuition" must be paid before one can realistically assess the market and competition and find their place within it.
When entering an existing market, startups face the challenge of asserting themselves in a market where customers are already being served by competitors. It is therefore crucial to clearly define the target group, the unique selling proposition (USP), and the pricing strategy in order to differentiate themselves from established competitors. Competitive analysis helps founders not only to recognize the strengths and weaknesses of their competitors, identify market trends, and discover untapped niches, but also to develop a successful business plan.
TYPICAL QUESTIONS IN A COMPETITIVE ANALYSIS
A structured competitive analysis can provide a clear overview even before market entry and answer the following questions:
COMPETITIVE ANALYSIS FOR MECHANICAL ENGINEERING, AUTOMOTIVE AND INDUSTRIAL SECTORS
MEYER INDUSTRY RESEARCH specializes in competitive analysis in technology-driven industries. We conduct competitor analyses for clients in the automotive (OEMs and suppliers), electronics, mechanical engineering, energy, and medical technology sectors.
Through more than 300 market and competitive analyses conducted in the industrial sector, we have learned what is crucial here:
Extensive industry analysis experience in the industrial sector
MEYER INDUSTRY RESEARCH offers companies from the automotive, mechanical engineering, electronics, energy and other technology-driven industries an individual competitive analysis.
Our clients are typically medium-sized and larger manufacturers, suppliers and service providers who are planning systematic growth in new industries, want to reduce their company's dependence on a few strong customers in an industry, or want to benefit from opportunities in future markets.
We also routinely support demanding M&A boutiques, investors and internationally active trade fair companies with competitive analysis.
References and customer testimonials
With over 300 successfully completed industry analyses, we've learned what's crucial for researching, evaluating, and interpreting industry data in the industrial sector. Our satisfied clients value this experience and our personalized approach. Please read more about our industry analysis references
Individual consultation for your company analysis
At MEYER INDUSTRY RESEARCH, a trusting personal partnership and the high quality and reliability of our analyses are our top priorities.
We would be happy to advise you in detail and without obligation before any potential collaboration on a market study , including, if desired, a personal meeting at your location. We look forward to your inquiry and will gladly prepare a customized offer for you!