How to understand the marketing strategy of your competitor
For product-based businesses, understanding the market strategy of your competitors can give you an advantage. Knowing how they position, promote, and sell their products helps you spot opportunities, avoid pitfalls, and refine your own approach to truly suit YOUR customer.
As a marketing consultant, I advise clients to take a methodical approach, focusing on tangible insights rather than assumptions.
1. Analyse their product range and positioning
Start with what they are selling and how. Examine:
Product categories: Which products are emphasised? Are there gaps in their offerings?
Unique selling points: How do they differentiate their products? Price, quality, features, or design?
Brand positioning: Are they targeting budget-conscious consumers, premium buyers, or niche audiences?
This analysis helps you understand their value proposition and identify areas where your products can stand out.
2. Review their online presence and e-commerce channels
Most product sales now start online. Look at their website, online stores, and social media:
Website experience: How easy is it to navigate and purchase products?
Product presentation: Are images high-quality, descriptions detailed, and benefits clearly stated?
Social media activity: What content resonates most with their audience?
This shows you how they communicate product value and engage customers digitally.
3. Track advertising and promotions
Marketing spend often signals priorities. Check:
Digital ads: Which platforms do they invest in? Search, social media, or marketplace ads?
Promotions: Are there seasonal offers, bundles, or discounts?
Influencers and collaborations: Are they leveraging partnerships to promote products?
By understanding their marketing tactics, you can identify strategies that work and opportunities they may be overlooking.
4. Monitor customer feedback
Customer reviews are a goldmine for product insights. Explore:
Product strengths and weaknesses: What do customers love or complain about?
Customer experience: Are delivery, packaging, and support rated highly?
Patterns: Are there recurring pain points you could solve better?
This step highlights gaps where your products or services can outperform competitors.
5. Map their customer journey
Experience their marketing as a buyer would:
Sign up for newsletters, try free samples if available, or browse their checkout process.
Note the touchpoints, messaging, and incentives they use to convert shoppers.
Compare it to your own journey to identify areas where you could provide a smoother, more appealing experience.
Understanding you competitor = a direct way to stand out
For product-based businesses, competitor analysis is about getting actionable insights that guide your product marketing, pricing, and customer experience. By studying their product range, online presence, promotions, customer feedback, and journey, you can create strategies that differentiate your brand and really resonate with your audience.
Understanding your competitors thoroughly is essential when establishing your market positioning. With this understanding your product-based business can make smarter, more informed decisions that drive sales and customer loyalty.
