Be it a multinational enterprise or a start-up, every business has direct or indirect competitors. Nowadays, businesses have to compete on social media too apart from profit numbers. Most business owners know the significance of competition tracking. Competitor analysis in marketing is crucial because it helps you craft impactful strategies that take you a step ahead of your rivals.
In our previous blogs, we have given you an account of what is competition tracking and what are its benefits. In this blog, we will focus on why small businesses and start-ups need competition tracking.
Brand owners often argue as to why their just formed businesses need competition monitoring. Initially, most businesses only focus on their strengths and weaknesses. However, the times have changed and competition starts from the day your business is launched. This applies heavily to the brand’s social media presence. No matter how old your business is you need to have a strong social media presence to connect with your audience.
Competition analysis is required for social media! Brands put in a lot of effort and time to create impactful social media strategies but knowing where your social media competitors stand can help you with the same.
Want to brush up on the basics of competition tracking? Refer to the guide here.
Analysing your competitors’ performance will also tell you where your brand needs to improve in terms of content and marketing strategies.
Already established businesses have an account of their competition but even start-ups need to keep an eye on their competitors. This will give them a roadmap of where they stand in the industry.
New businesses generally start by fixing their goals and objectives but nowadays it is also important to see who is offering similar products and services. Meeting the sales goal is a different game altogether but for a small business, several other things can pose a challenge like brand awareness, social media presence, audience engagement, and so on. It is important to note that start-ups need to find competitors that are in a similar position. Competing with the pioneers of your industry might not be of much help because your goals and objectives will be poles apart.
Here is why small businesses need competition tracking-
To get an idea of how competitive the industry is
Knowing similar businesses like yours will give you an idea of how competitive your market is. This will help you form goals and objectives for your business. Moreover, analysing the competition will also give you a hint of how you need to highlight the USP of your product or service.
Helps you know what the consumers want
With the help of competitive analysis, you can gauge the demand for your products and services. This will help you set appropriate sales goals and objectives for the future. Additionally, it also highlights which brands are fetching a high response rate when it comes to social media engagement and reach.
Know what strategies other small businesses are implementing
Analysing social media competitors gives a glimpse of their marketing strategies. This is very crucial for studying what works in your niche. Additionally, once you know what their social media strategy is you can frame better marketing plans and content to march a step ahead.
Competitor performance will tell you what can go wrong in a marketing campaign
Competition tracking not only means counting the flaws in your own strategy it can also give you a hint of what not to do in a marketing campaign on social media. The competitive analysis framework will help you detect what can repel audiences on social media.
These four points broadly state why small businesses and start-ups need to conduct competition tracking. Let’s move on to the process of conducting competition tracking.
Steps to Conduct Competition Tracking for Small Businesses and Start-ups
1. Find competitors
The first step of this process is to find competitors. This is important because most businesses only think of their direct competitors but it is important to think about indirect competitors too. Check which other businesses offer similar products and services. Try and search for keywords that resonate with your industry the most to see which other businesses pop up on the list!
2. Choose social media competitors
Now that you have a list of competitors ready, check which of these businesses are your immediate target rivals. Segment your competitors wisely to get useful data from the analysis.
3. Examine the competitors’ activity on social media
Start tracking your competitors’ activity on social media to know the frequency of posts, audience response, content tonality, and reach. This will help you understand how you want your brand to be perceived on social media. Additionally, it will tell you what should be your social media participation to be on par with the competitors.
4. Analyse the content they are posting
Every brand/business has its way of connecting with potential customers. Make sure you analyse their tonality and posts on social media to get an idea of what works in your niche. This will help you curate relevant content that makes an impact on your followers. Moreover, studying the content style will also tell you how your business needs to be different from what’s already been done.
5. See if they are collaborating with influencers
Brands are heavily investing in influencer marketing because this marketing method fetches a lot of audience attention. Make sure you keep a check on your competitors for influencer marketing. Try and check what kind of influencers they are collaborating with and what kind of response they are getting from the same. Platforms like Unbox Social can help you curate effective influencer marketing strategies.
6. Compare your social media presence with the chosen competitors with a tool
The best way to carry out this step is to rely on competitive analysis tools. The social media competitor analysis tools are equipped to give you competitors’ data. These insights will also bring to light their audience segmentation, Share of Voice, and content themes, along with other details.
7. Note down what your competitors are not doing
Once you gather all the data you will get a hint of what your rivals are not doing on social media. Knowing what your competitors are not covering in their feed will help you create a better content strategy. Additionally, check which content themes they are talking about and you can go a step ahead and come with something new and unexplored.
8. Keep a track of trends on social media that your competitors are following
Every social media platform is unique and brands keep coming up with trends on the same. As a newbie in the industry, you must tackle these trends to stay relevant on the platforms. Make sure you have your content bank ready!
After analysing competitor performance make sure to use the data to the fullest while creating social media marketing strategies. These insights can give you a lot of information on audience sentiment, content preference, and product and service awareness.
Additionally, tools for competitor analysis must be chosen carefully because your insights will depend on what the tool has to offer. This simply means one needs to keep in mind the brand needs. Make sure your competitor monitoring process gets you closer to your objectives and goals!
Here are a few more blogs to help you with social media analytics and competition tracking.
- Guide To Conduct Instagram Competitor Analysis
- Competition Tracking: 10 Tips And Strategies On How To Monitor Competitors
- 10 Common Mistakes Every Brand Must Avoid In Social Media Marketing