Who Is Your Marketing Competition?
Naturally, before you can crush the competition, you must first identify exactly who they are. You’re probably aware of a few of them. But, chances are, there are many more flying under the radar… stealing your potential customers.
So the first thing we need to do is define who they are… The true definition of your personal competition is this: anybody who competes for the same customers.
In many cases, the ones you think might be your competition really aren’t. Just because someone offers the same type of product or service does not necessary make them your competition.
Let’s say, for example, someone is offering the same type of product but caters to a higher-end clientele. In that case, they are not your competition. Why? Because they’re targeting a different group of customers, people who currently would not want your product.
Of course, that type of scenario could easily change. You may very well decide to go after the higher-end clientele in your market at some point. Those same businesses would become your competitors because you would then be competing for the same customers.
This is very important to keep in mind, mainly because there are many opportunities where partnerships can destroy your competition. And trust me, mistaking friends for foes can be extremely costly to your business.
For example, one successful technique is trading off leads with a business that targets higher-end customers in your market place. Here’s how it works…
When you get a client who is not interested in your product because they’re looking for something more, you can then refer them to a product that would fit them better – and vice-versa. Needless to say, that would result in a big increase of sales for both parties involved.
So, although you’re selling the same type of product as a competitor, you may not be competing for the same group of customers. We’ll discuss many more opportunities for partnerships, but first let’s talk about how to uncover your hidden competition.
As you know… the World Wide Web is a gigantic place. There are opportunities where anybody around the world can open up shop without spending money from their own pocket.
This means you can have a significant number of under-the-radar competition… and hidden in some of their “online shops” are little innovations each of them have developed.
When you are able to take those innovations and improve on just a few of them, your business will be on the cutting edge of your market place. Nobody can beat you.
Now, keep in mind, since many business owners now nothing about marketing, the competition is so clueless you would NOT want to copy anything about their business. For those particular markets, you will be able to effortlessly dominate using the strategies I share.
But first things first… defining who your customers are. If you don’t have a clear picture, there is no way to know which businesses are competing with you to capture them. A simple definition of your potential customers is all of the people who would want your product.
Define Your Potential Customers
To find out exactly who these people are, we’re going to do a little research. There are 3 methods we’re going to use and you should spend some time with each one.
The first step is to uncover exactly who is looking for what you have to offer. Visit http://www.Amazon.com. While you are there, you’re going to look at what people in your market are buying.
What books or magazines are they consuming? What is on the magazine covers that helps sell them? Just looking through this information will give you new ideas on who your business needs to cater to.
Use a keyword tool like the Google Keyword Planner to find out what people are searching for in the search engines. What are they looking for, desiring, and need an answer to?
Our objective is to find out what people are looking for in your market which in turn will tell us who your customers are.
Let’s take the example of selling televisions. In that instance, typing the term “televisions” into the Google Keyword Planner brings up the following search results:
Now, let’s say we sell different kinds of televisions on our website. The keywords, “samsung tv”, “flat screen tv”, “lcd tv” and “plasma tv” would all be keywords you would want to make a note of.
You want people looking to buy a TV, not looking for information associated with watching television programs. So make sure you largely ignore any unrelated terms.
As you can see from the “televisions” data return, there is a large number of searches and high competition. Also, pay close attention to the Suggested bid price when using the Google Keyword Planner.
You can also see what people are paying per click for each of these terms at: http://uv.bidtool.overture.com/d/search/tools/bidtool/
The higher amount people are willing to pay per click for these terms, the more money there is to be had. That takes care of search engine data. Here is the third method you should implement.
Visit forums people in your market frequent. While you’re there, look to see what products and websites people mention. What problems are they trying to resolve?
What questions keep on popping up time and time again? What slang do they use? Make notes of all this type of information. To find message boards visit:
Or just do a search for “Your Topic Forum” Only after you fully investigate who your customers are will you be able to determine who you’re competing against.
And, while conducting this type of research, you will want to take notes on every aspect of your consumer. For example:
- What do they worry about?
- What is their average age?
- Do they tend to be a certain sex?
- What are their biggest problems?
- What do they like to do in their spare time?
- What is their average income and how much of it do they usually spend on your product or service?
Once you’ve gotten a good idea of exactly who your customers are, it’s time to search out where your competition is (so you can “surpass” them). To accomplish this, we’re going to do some more reconnaissance work.
So, for the televisions example, we might take the term “plasma tv”. Then, we’d go through each of our competitors’ websites, making note of who is a threat (based on who is going after the same customers).
While at Google, be sure to look at the Sponsored ads on top and the right side of the screen. These are from competitors paying money to actively market their business.
Also, pay attention to 1) who you see over and over again, and 2) who is always ranked near the top. Make note of your toughest competitors – for what you’ll learn later on.
In addition to search engines, be sure to see what resources people are recommending in forums, message boards, and other discussion groups.
Accessing these forums is like having the opportunity of viewing your customers chatting at a bar. Just like when consuming alcohol, the amount of anonymity prompts people to open up, saying and doing things they normally would not.
Who Is Your Marketing Competition? – Conclusion
I hope this post will help you find who is your marketing competition and how important it is for you to understand this info before you start in your niche.
You can’t reach your full potential in your business if you don’t understand who your competition is and who your ideal customer is, so make sure to do your research to be able to reach your full potential.
If you’ve found this info helpful leave a comment below and share with your friends. Be sure to check out some of my other posts that will help shorten your online learning curve.