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How To Make The Best Competitor Analysis For Creating Your Strategy?

IT Technology, Marketing, Mobile Technology
May 29, 2019
How To Make The Best Competitor Analysis For Creating Your Strategy?

Every company has different online acquisition strategy and you can get their best if you know where to find. We have always discussed how users are at the crux of the strategy formation but what they scorn is their competitors. Now, if you are having second thoughts about whether it is really necessary to evaluate competitors, have knowledge about their strategy while you are forming your strategy. Yes, it is, in fact, it totally is necessary. It de-risks your experiments and increases the probability of success.

 

The thumb rule of competitor analysis is that you are not doing it to imitate them. Well, you can learn a thing or two and use them to improve your work. But, you don’t want to copy their entire thing. You can identify the similar growth issues and draw the conclusion of how they redressed it.

“Be the voice, not the echo”

1) Choose Your Competitors Wisely

Now, while looking at the mobile app development competitors, choose them wisely. Not every app development company in the similar domain is your competitor. The companies at the beginners level are not a threat and probably won’t have a strategy you can apply. These companies at looking for survival rather than growth. If you pick the wrong competitors, your strategy can horribly wrong. Picking the wrong one and following their ads and website might result in degrowth.

2) Follow Sustained Companies

Keep a track on the companies who have sustained the market and competition and leading them. You can pick brands like:

• Facebook
• Uber
• Airbnb
• Pinterest
• Amazon

These brands have been in the market since so long, survived the ups and downs and yet shine out. These apps and their strategies are worth knowing and following. Also, they are not your direct competitors that you need to audit deeply but, just learn the survival tactics.

3) Check Competitors Audience

Many insightful details can be gained by auditing the user acquisition funnel of the company. Pick the ones that have a similar business model and set of audience as yours. Here are some of the target audiences you can look for in your competitors:

• Business enterprises
• Wealthy consumers
• Youngsters
• Middle age people
• Middle-class consumers

The type of audience matters a lot. The product or service you are offering has so much to do with the type of audience. The audience behavior differs and companies frame policies based on what they are targeting. Choosing a company with a different set of audience is nothing but a waste of time.

4) Similar Business Model

You also want to check whether the competitor app development company you are analyzing shares the similar business model as yours. This can be really helpful for your business. Whether they are pulling their business, or they are intending for an eCommerce site with easy checkout, or they are generating money from charging for the premium features, and so on. Each business model has different ads, different landing page, collateral sales, and automated emails.

There is an entire process to prepare and implement competitive strategies into your business functioning. Check it out.

1) Sort out the potential ideas that can be helpful for your business growth.
2) Prioritize the ideas based on their success rate.
3) Conduct an A/B test for the ideas.
4) Evaluate if any of the A/B test results are appropriate and what would be the cost of implementing it and whether the return is worth the cost.
5) If all of the above questions have an affirmative answer, implement it.

So, choose your competitor wisely, scrutinize deeply, pick the best ones, ditch the worst ones, and make an informed decision.

Pratik Kanada

I am Pratik Kanada, founder & CEO of 360 Degree Technosoft, which makes app ideas into reality by providing unique design and development services across iOS and Android platforms. I generally write blogs on mobile technology, app development and app marketing.

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