Basic concepts of 1. competitor research

Competitor research is a market research method that refers to the collection, collation, analysis and use of competitors' information to understand their strengths, weaknesses, strategies, goals, behaviors and performance, so as to provide reference and support for corporate decisions and actions.

The object of competitor research refers to other enterprises that provide the same or similar products or services, or meet the same or similar customer needs in the same market or industry as the enterprise. Competitors can be divided into direct competitors and indirect competitors. Direct competitors are companies that provide identical or very similar products or services in the same market segment as the company, such as the direct competitors of Champ Consulting, Washington Consulting, Analysys Consulting, etc. Indirect competitors are companies that offer some of the same or some of the same products or services in different market segments, such as the indirect competitors of Champ Consulting, such as Deloitte and McKinsey.

The content of competitor research refers to all kinds of information about competitors, including but not limited to the following aspects:

Basic information of competitors, such as enterprise name, scale, geographical location, historical evolution, organizational structure, management team, corporate culture, etc;

Product information of competitors, such as product type, function, feature, quality, price, innovation, differentiation, etc;

Competitors' market conditions, such as market share, market positioning, market objectives, market penetration, market feedback, etc;

Competitor's customer profile, such as customer type, customer demand, customer satisfaction, customer loyalty, customer transfer, etc;

Channel information of competitors, such as channel type, number of channels, channel coverage, channel efficiency, channel cooperation, etc;

Competitor's marketing situation, such as marketing strategy, marketing means, marketing investment, marketing effect, marketing innovation, etc;

Competitor's financial situation, such as operating income, profit, cost, assets, liabilities, cash flow, etc;

Competitor's strategic situation, such as strategic objectives, strategic direction, strategic choice, strategic implementation, strategic evaluation, etc;

Competitor dynamics, such as new product development, new market development, new channel establishment, new partners, new competitive events, etc.

The purpose of competitor research refers to the results that enterprises expect to achieve through competitor research, mainly in the following aspects:

Identify and position their own competitive advantages and disadvantages, improve their core competitiveness;

Insight and forecast market changes and competitive situation, grasp market opportunities and challenges;

Learn and learn from the successful experience and lessons of competitors, innovate and optimize their own products, services, channels, marketing and other aspects;

Develop and implement targeted competitive strategies and countermeasures to increase market share and profitability.

Basic process of 2. competitor research

The basic process of competitor research consists of the following steps:

Determine the objectives and scope of the research, identify the main issues and concerns of the research, select the competitors and types of information for the research;

Design research plans and methods, select appropriate data sources and collection methods, and formulate research schedules and budgets;

Execute research activities and collect data, obtain competitors' information from various channels, record and organize data according to research plans and methods;

Analyze research results and refine information, use various analysis tools and techniques to process and interpret the collected data to obtain valuable information;

Write research reports and make suggestions, present the research process and results in the form of text, charts, attachments, etc., and give targeted suggestions and opinions;

Apply research results and follow-up feedback, submit research reports and recommendations to relevant decision makers and implementers, guide and adjust corporate decisions and actions based on research results, and collect and evaluate research results and feedback.

Common methods and tools for 3. competitor research

Common methods and tools for competitor research

The common methods of competitor research can be divided into two categories: active research and passive research.

Active research refers to the method of seeking and collecting information from competitors or related personnel, institutions, channels, etc., such as interviews, questionnaires, observations, trial purchases, and trials. The advantage of active research is that it can obtain more direct, in-depth and detailed information, but the disadvantage is that the cost is higher, the time is longer, and the difficulty is greater, which may cause the vigilance and countermeasures of competitors.

Passive research refers to the use of existing or public sources of information, through the analysis and integration of information methods, access to competitors' information, such as the Internet, newspapers, reports, exhibitions, advertising, recruitment, patents and so on. The advantages of passive research are lower cost, shorter time, less difficulty, and will not attract the attention and response of competitors, but the disadvantage is that the information may not be comprehensive, accurate, timely and unique.

Common tools for competitor research can be divided into two categories: qualitative analysis tools and quantitative analysis tools.

Qualitative analysis tools refer to the description, classification, comparison, interpretation, etc. of competitors' information to arrive at some non-numericalConclusionand judgment tools, such as SWOT analysis, Porter's Five Forces analysis, value chain analysis, and strategic group analysis. The advantage of qualitative analysis tools is that they can reveal the internal logic and relationships of competitors and provide some insightful views and suggestions, but the disadvantage is that there may be problems such as subjectivity, ambiguity, and bias.

Quantitative analysis tools are tools that derive numerical results and indicators by calculating, measuring, evaluating, and forecasting information about competitors, such as market share analysis, growth rate analysis, profitability analysis, and market efficiency analysis. The advantage of quantitative analysis tools is that they can provide some objective, clear and comparable data and evidence to support some quantitative decisions and actions, but the disadvantage is that they may ignore some factors that are difficult to quantify, such as brand, culture, innovation, etc.

Practical application and effect of 4. competitor research

The practical application and effect of competitor research can be illustrated from the following aspects:

Identify and locate their own competitive advantages and disadvantages, and improve their core competitiveness. For example, through competitor research, Shangpu Consulting found that it has strong professional capabilities and experience in market research, data analysis, and strategy development, but is relatively weak in marketing, customer relations, and project execution. Therefore, Shangpu Consulting decided to strengthen their core strengths, while improving their core weaknesses, improve their overall competitiveness.

Insight and forecast market changes and competitive situation, grasp market opportunities and challenges. For example, through competitor research, Shangpu Consulting found that there are some new needs and trends in the market, such as intelligence, personalization, socialization, etc., and some of the competitors have begun to provide corresponding products and trends in response to these needs and trends. Services have achieved certain market response and advantages. Therefore, the company decided to follow these market changes and competitive situation, to find and seize these market opportunities and challenges.

Learn and learn from the successful experience and lessons of competitors, innovate and optimize their own products, services, channels, marketing and other aspects. For example, through competitor research, Shangpu Consulting found that some of its competitors have some innovative and optimized practices in products, services, channels, marketing, etc., such as providing a diversified portfolio of products and services, establishing multi-level channel partnerships, and adopting various forms of marketing activities, thereby improving customer satisfaction and loyalty, and increasing market influence and attractiveness. Therefore, Shangpu Consulting Company decided to learn from the successful experience and lessons of competitors, innovate and optimize its own products, services, channels, marketing and so on.

Develop and implement targeted competitive strategies and countermeasures to increase market share and profitability. For example, through competitor research, Shangpu Consulting found that some competitors have strong competitive advantages and influence in certain market segments or certain customer groups, while they are relatively weak in these areas. Therefore, Shangpu Consulting has decided to develop and implement targeted competitive strategies and countermeasures, such as focusing on its own areas of strength and customer groups, or seeking cooperation and alliances with competitors, or developing new areas and customer groups, so as to improve its market share and profitability.

5. Conclusion

Competitor research is an important market research method, which can help enterprises understand the information of competitors, so as to provide reference and support for the decision-making and action of enterprises. The value of competitor research is mainly reflected in the following aspects:

It can help enterprises identify and locate their own competitive advantages and disadvantages and improve their core competitiveness;

Can help enterprises insight and predict market changes and competitive situation, grasp market opportunities and challenges;

It can help enterprises learn from the successful experience and lessons of competitors, innovate and optimize their own products, services, channels, marketing and so on;

It can help enterprises to formulate and implement targeted competitive strategies and countermeasures to improve market share and profitability.

The basic process of competitor research consists of the following steps:

Determine the objectives and scope of the research, identify the main issues and concerns of the research, select the competitors and types of information for the research;

Design research plans and methods, select appropriate data sources and collection methods, and formulate research schedules and budgets;

Execute research activities and collect data, obtain competitors' information from various channels, record and organize data according to research plans and methods;

Analyze research results and refine information, use various analysis tools and techniques to process and interpret the collected data to obtain valuable information;

Write research reports and make suggestions, present the research process and results in the form of text, charts, attachments, etc., and give targeted suggestions and opinions;

Apply research results and follow-up feedback, submit research reports and recommendations to relevant decision makers and implementers, guide and adjust corporate decisions and actions based on research results, and collect and evaluate research results and feedback.