How should you be doing competitor analysis for your brand? Spinta sites a classic example of Relaince's jio by describing how their analysis worked and how you can learn/adapt to their strategies! Read on.
Perhaps one of the most lucrative invention from Reliace group of companies would be the launch of its "JIO" sim. The launch of Reliance Jio not only made a stir to the entire nation but to its competitors as well! Sources proclaim that with the launch of Reliance Jio, their competitors Bharti Airtel, Idea and Vodafone simply vanquished. This is in fact just the beginning.
According to facts, with the launch of Jio, Bharti Airtel fell as much as 9%, its steepest fall since 15 February 2010, to Rs.302, a level last seen on 5 February. Idea Cellular fell as much as 11% to Rs.83.20, a level last seen on 30 October 2012. Reliance Communications Ltd fell 10.11% to Rs.48.45. Source
Consequently with this brilliant execution what we also realized was their strategy and how they leveraged predominantly on competitor analysis more than anything else!
It's saddening to see that most brands today hardly fail to recognize the size and shape of their competitors before engaging themselves in their market. This blog precisely explains why competitor analysis is imperative for your brand by siting real-time examples of Reliance Jio and how it worked.
Why is it necessary in embark in a Competitor Analysis
The penultimate move of any competitor analysis is to understand how your competitors are ranking and where you could leverage to gain more recognition for your brand. Its not only about identifying your present but also for leveraging a branding strategy for your potential competitors. Using competitor analysis, brands can understand the following.
- What they lack in terms of engagement.
- What's unique that gives them exposure, in their feature.
- What drives audiences to their competitors and how can they break this drive.
- What strategies might work and what cannot.
What feature can they leverage on to outnumber their competition.
Competitor Analysis For Your Brand & How To Get It Done
To put it in simple terms, marketing competitor analysis is done with regards to your competitors(current and future). Each phase of a competitor analysis is done based on your customer's perspective for your brand. Answer these questions.
- What makes a customer choose your competitors brand over yours?
- What is the position of your competitor with regards to yours?
- How are customers reviewing your competitors in the market with regards to yours?
- What is strong in your brand that customers would leave your competitors and gladly shift to yours?
Justifying these questions leaves you in a better position of analyzing competitor scenario for your brand. Furthermore is also imperative that you indulge in a PEST analysis for your brand.
PEST is an analysis technique that takes Political, Economic, Social & Technological factors into consideration for branding. Through PEST analysis you ensure that your brand is ready to adapt itself to changes made in all four factors! The notion of PEST analysis is to give you an idea of how your competitors react to such changes in real-time. This naturally gives you a choice of where you can click with the customers in terms of reliability and scalability to stand a step ahead of your consumers!
Answer these following questions when your penning down your PEST analysis.
- How unique are your competitors products and services?
- What were your competitors previous strategies?
- Have they, over a period of time adapted to a change in their strategy?If yes, what are they?
- How dismissive/aggressive are they in terms of advertising?
- Who do they embark as their competitors?
- Do their strategies affect your market value?
Embarking your strategies on such process will give you a heads up on how to tailor your social/web/marketing strategy. In fact, this is precisely what Reliance Jio embarked on. Classically, they studied their competitors over a period of time and made an extensive analysis of their prices and listings before seeing what suits best for the audience and how they can give it!