Competitor analysis is the process of identifying your competitors in the industry & understanding how they are serving your target user groups through their products or services. This step yields valuable insights about what are your brand’s strengths & weaknesses, & what are the key areas where you can establish yourself ahead of your competitors.
What are the benefits of competitor analysis?
- Anticipate needs of your users by analyzing current landscape
- Identify your own strengths & weaknesses
- Pinpoint hidden opportunities in serving your users
- Understand the industry & market trends
- Establish brand benchmark & USPs
- Recognize gaps in R&D, product design, etc.
When is competitor analysis done?
Competitor analysis tools are not meant just for startups or new brands. Every brand new & old should include the competitor analysis process at each stage of their business lifecycle. In UX design & research, competitor analysis should be performed early on to get a better grasp of the existing industry landscape, competitor offerings, & your own set of strengths & weaknesses to lay a solid groundwork for product strategy & design.