The Nature of 1. Competitor Research

The essence of competitor research is to understand the competition. Competitor research should not only collect and analyze the basic information of competitors, such as scale, product, price, channel, promotion, etc., but also deeply understand the strategic intention, core competence, competitive advantages and disadvantages, market performance, consumer cognition, etc. of competitors, so as to reveal the competition logic and competition mode of competitors, and predict the future trend and possible reaction of competitors, provide strong support for their own competitive strategy formulation.

Purpose of 2. Competitor Research

The purpose of competitor research is to help enterprises achieve the following objectives:

Identify and define competitors. Competitors include not only direct competitors, I .e., companies that provide similar products or services, but also indirect competitors, I .e., companies that provide substitutes or potential entrants, as well as stakeholders such as suppliers, buyers, and governments that affect the competitiveness of the industry. Competitor research should identify the most important and threatening competitors according to different market segments and consumer needs, so as to concentrate resources and energy on response.

Understand and evaluate competitors. Competitor research should comprehensively and deeply understand and evaluate all aspects of competitors, including the historical evolution, organizational structure, strategic objectives, market positioning, product mix, price strategy, channel strategy, marketing strategy, financial situation, innovation ability, human resources, corporate culture, etc., so as to reveal the advantages and disadvantages of competitors, as well as the core competitiveness and competitive strategies of competitors.

Compare and differentiate themselves. Competitor research should objectively and fairly compare the indicators and performance of itself and competitors, find out its own competitive advantages and disadvantages, as well as its own core competitiveness and competitive strategy. At the same time, competitor research should look for the differentiation points between itself and competitors, highlight its own unique value and brand image, and form a strong competitive barrier and market attraction.

Anticipate and respond to competitors. Competitor research predicts the likely actions and reactions of competitors, as well as the impact and threat of competitors on the market, based on their historical behavior, current situation analysis and future planning. At the same time, competitor research should formulate corresponding competitive strategies and action plans according to its own goals and capabilities to meet the challenges and opportunities of competitors and achieve market advantages and growth goals.

Content of 3. competitor research

The content of competitor research is a huge system engineering, in order to be able to more detailed understanding of competitors and industry development, it is necessary to analyze the research object and divide it into multiple dimensions. The author often uses the research object analysis method is the "correlation method". The correlation method refers to the division of competitors into the following dimensions according to their different levels and aspects:

enterprise level. The enterprise level refers to the basic situation of competitors as a whole, including the history of the enterprise, organizational structure, strategic objectives, financial situation, innovation ability, human resources, corporate culture and so on. This level of research is mainly to understand the competitor's development trajectory, strategic direction, business status, innovation strength, talent pool, cultural atmosphere, etc., so as to assess the overall strength and potential of the competitor.

market level. The market level refers to the performance and position of competitors in different market segments, including market share, market growth, market coverage, market positioning, market influence, etc. This level of research is mainly to understand the competitiveness and competitive strategies of competitors in different markets, so as to determine their target market and competitive advantage.

brand level. The brand level refers to the brand image and brand value of competitors, including brand name, brand logo, brand proposition, brand value, brand personality, brand awareness, brand reputation, brand loyalty, etc. This level of research is mainly to understand the brand building and brand communication of competitors, so as to shape their own brand differences and brand advantages.

product level. The product level refers to the product design and product performance of competitors, including product portfolio, product function, product quality, product technology, product innovation, product appearance, product packaging, product service, etc. This level of research is mainly to understand the product advantages and product strategies of competitors, so as to enhance their product competitiveness and product attractiveness.

The price level. The price level refers to the price level and price strategy of competitors, including price range, price structure, price elasticity, price change, price promotion, etc. This level of research is mainly to understand the price competitiveness and price impact of competitors, so as to develop their own price advantage and price strategy.

Channel level. Channel level refers to the channel selection and channel management of competitors, including channel type, channel quantity, channel quality, channel distribution, channel cooperation, channel control, etc. This level of research is mainly to understand the channel advantages and channel strategies of competitors, so as to optimize their channel competitiveness and channel efficiency.

Promotion level. The promotion level refers to the promotion methods and promotion effects of competitors, including promotion objectives, promotion content, promotion media, promotion frequency, promotion costs, promotion feedback, etc. This level of research is mainly to understand the promotion advantages and promotion strategies of competitors, so as to improve their own promotion competitiveness and promotion effect.

Methods of 4. competitor research

There are several main methods of competitor research:

Desktop research. Desktop research refers to the use of existing public information, such as official websites, annual reports, news, papers, patents, industry reports, etc., to collect and organize relevant data and information about competitors. The advantages of this method are low cost, fast speed, and wide range, but the disadvantage is that the information may be incomplete, inaccurate, and not timely.

Field trips. Field visits are to obtain first-hand information about competitors by personally or by entrusting a third party to the competitor's location or place of sale for observation, interview, purchase, testing, etc. The advantage of this method is that the information is true, intuitive and effective, but the disadvantage is high cost, long time and difficult.

Network survey. Online survey refers to the collection and analysis of competitors' relevant information, such as consumer evaluation, user feedback, word-of-mouth communication, etc., through the Internet, such as search engines, social media, online questionnaires, online forums, etc. The advantage of this method is that the information is rich, timely and interactive, but the disadvantage is that the information may be untrue, unrepresentative and uncontrollable.

Simulated competition. Simulating competition refers to simulating and predicting the possible behavior and reaction of competitors, as well as the impact and results on the market, by building models of competitors, such as strategic models, financial models, market models, etc. The advantages of this method are information science, system, and prediction, but the disadvantage is that the information may be inaccurate, unstable, and uncertain.

5. Competitor Research Cases

In order to better illustrate the importance and practicality of competitor research, the following are examples of competitor research provided by Champ Consulting for some customers:

Case 1: An internationally renowned car brand A wants to enter the Chinese market, but does not understand the competitive environment and consumer needs of the Chinese market, and entrusts Shangpu Consulting to conduct competitor research. Through desktop research, field investigation, network survey and other methods, Shangpu Consulting collected and analyzed the scale, growth, structure, trend and other information of China's automobile market, as well as the characteristics, preferences and behaviors of Chinese automobile consumers. At the same time, it conducted a comprehensive and in-depth investigation on the main competitors of brand A, such as B, C, D and other brands, including the enterprise level, market level, brand level, product level, price level, channel level, promotion level, etc., thus revealing the strengths and weaknesses of each competitor, as well as competitive strategies and competitive models. Based on the research results, Shangpu Consulting provided Brand A with suggestions on positioning, differentiation, and penetration in the Chinese market, helping Brand A successfully enter the Chinese market and achieving a dual increase in market share and brand awareness.

Case 2: A leading domestic e-commerce platform E wants to expand its market share in the clothing category, but its competitors in the clothing category, such as F, G, H and other platforms, do not know its specific situation and strategy, and entrust Shangpu Consulting to conduct competitor research. Through online surveys, simulated competition and other methods, Shangpu Consulting collected and analyzed information on the market demand, consumer portraits, purchase paths and other information for the apparel category, as well as information on the market share, traffic sources, conversion rates, and user satisfaction of Platform E and its competitors in the apparel category, the product mix, price strategy, channel strategy and marketing strategy of E platform and its competitors in clothing category are compared and evaluated, so as to find the advantages and disadvantages of E platform in clothing category, as well as the threats and opportunities of competitors. According to the research results, Shangpu Consulting provided E platform with suggestions on optimization, innovation and cooperation for clothing categories, helping E platform to increase its market share and user loyalty in clothing categories.

Conclusion

Competitor research is an important basis for strategic decision-making and one of the core businesses of Shangpu Consulting. Shangpu Consulting has a professional competitor research team and methods to provide customers with comprehensive, in-depth and professional competitor research solutions to help customers understand the competitive environment, identify competitive advantages, and formulate effective competitive strategies. Champ Consulting looks forward to working with you to achieve business development and success.