Definition of 1. Competitor

The definition of competitors is the first and most critical step in competitor research. The definition of competitors needs to be considered from the three dimensions of market, customer and product, namely:

Market dimension: Competitors are companies that provide the same or similar products or services in the same market or adjacent markets, meet the same or similar customer needs, and compete for the same or similar market share. For example, Champ Consulting's competitors include other consulting agencies that provide market research, investment and financing consulting, IPO listing consulting and other services, such as [Roland Berger], [Deloitte], [PricewaterhouseCoopers], etc.

Customer dimension: A competitor is an enterprise that provides the same or similar value proposition to the same or adjacent customer group, satisfies the same or similar customer needs, and influences the same or similar customer decisions. For example, Shangpu Consulting's competitors include other consulting agencies that provide professional market research, investment decision-making, IPO counseling and other services for small and medium-sized enterprises, start-ups, investment institutions and other clients, such as [Analysys], [Zero Research], [CICC], etc.

Product dimension: Competitors are enterprises that provide the same product or adjacent products, have the same or similar functions, performance, quality, price and other attributes, meet the same or similar customer needs, and form the same or similar substitution effect. For example, Champ Consulting's competitors include other consulting agencies that provide industry research reports, market research reports, investment feasibility reports, fundraising feasibility studies and other products, such as [Sadie Consulting], [Analysys Think Tank], [China Business Intelligence Network], etc.

The definition of competitors needs to be carried out according to different purposes and situations, and different competitors may have different effects and threats on the enterprise. Therefore, when conducting competitor research for clients, Champ Consulting will select the appropriate scope and level of competitors based on the specific needs and objectives of the client in order to analyze the competitor's situation and strategy more effectively.

Information gathering 2. competitors

Competitor information collection is the second and most basic step in competitor research. Competitor information needs to be collected from multiple channels and angles to obtain as comprehensive and accurate information as possible. Competitor information collection mainly includes the following ways:

Public information collection: collect competitors' company information, product introduction, service content, financial report, strategic planning, market dynamics, customer evaluation and other public information by visiting competitors' official websites, social media platforms, news media, industry associations, business databases and market research reports. The advantage of this method is that the information comes from a wide range of sources, easy access, and low cost. The disadvantage is that the information may be incomplete, not timely, inaccurate, and not in-depth.

Secret information collection: collect confidential information of competitors, such as product design, technology research and development, cost structure, price strategy, channel management, customer satisfaction, market feedback, future plans, etc. by secretly visiting competitors' insiders, customers, suppliers, partners, distributors, etc. The advantage of this approach is that the information is more authentic, more valuable and more targeted, while the disadvantage is that the information is difficult to obtain, costly, risky and morally questionable.

Field visits: conduct field visits and experiences by personally or entrusting third parties to competitors' production bases, sales outlets, service centers, etc., and collect competitors' on-site information, such as product quality, production efficiency, service level, customer feedback, Market share, etc. The advantage of this approach is that the information is more intuitive, more objective, and more specific, but the disadvantage is that the information is limited, time-consuming, and may cause the other party to be alert.

Simulated competition: by simulating the behavior and strategy of competitors, predicting the possible reactions and results of competitors, collecting potential information about competitors, such as competitive advantages, competitive disadvantages, competitive intentions, competitive risks, etc. The advantage of this approach is that the information is deeper, more forward-looking, and more enlightening, while the disadvantage is that the information is uncertain, unstable, and unreliable.

When collecting competitor information for customers, Shangpu Consulting will comprehensively use the above methods to select appropriate information sources and methods according to different types and characteristics of competitors to ensure the validity and reliability of information. At the same time, Shangpu Consulting will also abide by relevant laws, regulations and professional ethics, and will not take improper measures or infringe upon the legitimate rights and interests of competitors, so as to maintain the good reputation and reputation of Shangpu Consulting.

3. competitor analysis methods

Competitor analysis is the third and most central step in competitor research. Competitor analysis methods need to be carried out from multiple angles and levels to reveal the nature and patterns of competitors. Competitor analysis methods include the following:

SWOT analysis: SWOT analysis is a method of assessing the overall strength and competitive posture of competitors by analyzing their strengths (Strengths), weaknesses (Weaknesses), opportunities (Opportunities) and threats (Threats). SWOT analysis can help companies understand the internal conditions and external environment of competitors, as well as the strategies and actions that competitors may take. For example, when Shangpu Consulting conducted a competitor survey for a new energy vehicle company, it used SWOT analysis to analyze the SWOT matrix of its main competitor [Tesla].

Five Forces Analysis: Five Forces Analysis refers to the analysis of the five basic forces of the industry in which competitors operate, that is, the competition of competitors within the industry (Rivalry among Existing Competitors), the threat of potential entrants within the industry (Threat of New Entrants), the threat of substitutes within the industry (Threat of Substitutes), the bargaining power of suppliers upstream of the industry (Bargaining Power of Suppliers) and the bargaining power of buyers downstream of the industry (Bargaining Power of Buyers) are used to evaluate the competitive pressure and profitability faced by competitors. Five forces analysis can help companies understand the industry structure and industry dynamics of competitors, as well as the possible impact and challenges of competitors. For example, when Shangpu Consulting conducted a competitor survey for an online education company, it used five forces analysis to analyze the five forces model of the industry in which its main competitor [NetEase Youdao] is located.

Competitive advantage analysis: Competitive advantage analysis refers to the method of evaluating the competitive advantage and competitive differentiation of competitors by analyzing their core resources, core competencies, core values and core strategies. Competitive advantage analysis can help companies understand the sources and characteristics of competitors' competitive advantages, as well as the competitive barriers and boundaries that competitors may form. For example, when Shangpu Consulting conducted a competitor survey for an e-commerce platform company, it used competitive advantage analysis to analyze the competitive advantages of its main competitor [Pinduoduo].

When conducting competitor analysis for clients, Champ Consulting selects appropriate analysis methods and tools based on different competitor characteristics and objectives in order to gain a deeper understanding of the competitor's competitive advantages and strategies.

4. competitor monitoring and feedback

Competitor monitoring and feedback is the fourth and most important step in competitor research. Competitor monitoring and feedback needs to be carried out from multiple aspects and frequencies to update and adjust competitor information and analysis in a timely manner. Competitor monitoring and feedback include the following:

Dynamic monitoring of competitors: Collect and analyze the dynamic information of competitors in a timely manner by continuously paying attention to the latest developments and changes of competitors, such as product release, price adjustment, market promotion, cooperation alliance, financial situation, strategic adjustment, etc., so as to predict the next action and possible impact of competitors. Dynamic monitoring of competitors needs to determine the appropriate frequency and scope of monitoring according to the importance and activity of different competitors to ensure the timeliness and effectiveness of information. For example, when Champ Consulting conducted a competitor survey for a FMC company, it used a competitor dynamic monitoring table to record and analyze the dynamic information of its main competitor [Unilever], as follows:

time dynamic analysis

January 15, 2024 Unilever released its financial report for the fourth quarter and full year of 2023, showing full-year revenue of € 51.3 billion, up 5.8 per cent, and net profit of € 7.2 billion, up 10.4 per cent. Unilever's better-than-expected financial performance shows that it has maintained solid growth despite the impact of the new crown epidemic, mainly due to its strong performance in emerging markets and its diversified footprint in areas such as personal care, home cleaning and food and beverage.

On January 20, 2024, Unilever announced a strategic cooperation with [Starbucks] to launch Starbucks-branded ready-to-drink coffee and tea products in Chinese mainland, Hong Kong, Macau, Taiwan, Singapore, Malaysia and other Asian markets. Unilever's partnership with Starbucks is an important step in the beverage sector, aiming to leverage Starbucks' brand influence and loyal consumers to expand its market share and reach in Asia, as well as a strong response to its competitor [Nestlé], which is also partnering with Starbucks to launch coffee capsules and powder products.

On January 25, 2024, Unilever announced the sale of its beauty brand [Estee Lauder] to [L'Oreal] for $4 billion. Unilever's sale of Estee Lauder is a strategic adjustment in the field of beauty. The purpose is to focus on its more competitive and growth potential brands, such as [Dauphin], [Qingyang], [Ponzi], etc., and also to raise funds., Used to acquire or invest in other brands or companies that are more in line with its strategic direction.

Competitor feedback evaluation: by regularly summarizing and evaluating competitors' information and analysis, checking the accuracy and effectiveness of competitors' information and analysis, discovering the deficiencies and improvements of competitors' information and analysis, and proposing competitors' information and analysis Suggestions and measures in order to optimize the quality and effect of competitors' information and analysis. Competitor feedback evaluation needs to determine appropriate evaluation criteria and methods based on the research purposes and results of different competitors to ensure the quality and effectiveness of information and analysis. For example, when Champ Consulting conducted a competitor survey for a hotel chain, it used a competitor feedback evaluation form to summarize and evaluate the information and analysis of its main competitor [such as Home].

When conducting competitor monitoring and feedback for customers, Champ Consulting will adjust the frequency and content of competitor monitoring and feedback according to the changes and needs of different competitors, so as to update and optimize competitor information and analysis in a timely manner.

Conclusion

Competitor research is one of the core businesses of Shangpu Consulting, and it is also an important means to provide customers with high-quality and efficient consulting services. Shangpu Consulting has rich experience and professional ability in competitor research. It can provide customers with comprehensive, accurate, in-depth and forward-looking competitor information and analysis, help customers understand the strength and strategy of competitors, formulate their own competitive advantages and competitive countermeasures, and achieve market success and leadership.