Starting and operating a small business is not easy; there is a lot to consider. Not only do you need to research markets, develop products and source investments, but you also need to market your products to the right target group. Find out how to beat your business competition.
Key Takeaways: Business Competition
- It is important to identify your direct competitors and monitor any changes they make
- Discover three unique advantages that your business has over others in your niche
- Analytics software like Amazon Repricer is indispensable for better margins
Identify Competition
Before you start your journey to global success, you need to know the competition. Understanding your market and your positioning helps you make informed decisions about price, value and investment. It’s important to be realistic about your position in the market; there is no point in a local coffee shop competing with Starbucks.
Research your local area in addition to online competitors to get an accurate picture of what they charge and what services they offer. This information can be used to create favorable market conditions for you small business and help you define your unique attributes. Remember, understanding competition is an ongoing endeavor; their research is ongoing.
Define Profits
Depending on the nature of your business, you may or may not use a distinctive selling point. Unique selling points are often used to define the advantages one product has over others, but businesses even have unique attributes that make them stand out from the competition and thrive in difficult market conditions. These can be seen as the “three uniqueness” of the brand.
Three uniqueness are the three salient features of a small business. An example might be an airline that offers discounted fares, free seat selection, and extra baggage allowance – these unique features may influence a customer’s decision when selecting an airline. Take time to consider the features that make your business more unique. 
Use Analytics
With so much online trading these days, you should take advantage of the latest digital tools to monitor your competition and customise your unique attributes. The analysis tool uses algorithms to identify patterns of behavior in businesses and customers. Analytics tools can be used on your small business website, on a search engine, or on a retail platform like Amazon marketplace.
Amazon marketplace is possibly the biggest online retail platform, so the competition is fierce. Not only that, it’s more and more difficult for specialty products and stores to stand out from the competition. Maybe digital tools have the answer? With margins getting tighter all the time, it is going to be difficult to change the price accordingly. Find out what it is about amazon reprice can do for your business.
Customer Alignment
It’s easy to get caught up in running your small business and forget about the main reason you exist – customers! Always keep your customers front and center as you plan your strategy to make sure you at all times deliver the right results and the best value. Understanding why your customers come to your business is the key to providing the best service.
What brings customers to your business? Does your product make their life more snug and happier, or do you offer a service that people depend on? If later, you cannot let the customer’s reliance on your service affect your standards; if there’s, you’ll have to work harder to maintain it. Keep your customer’s pain points front and center in decision making.
Customer retention
Winning customers is one thing; defending them is another. Few businesses consider customer retention to be as important as customer acquisition – what is the point of spending resources to win new customers when you cannot keep them? Instead, find a balance between winning and retain customers and beat the competition through quality service.
If you can provide long-term value to your customer base, they’re more likely to stick around. Remember, Customers who are already on your e-mail list are easier to market in the future. Send them regular updates and targeted advertisements for your seasonal products, and they will stay with you rather than switching to other businesses in your niche that offer better value.
Conclusion
It’s becoming tougher to stand out in the small business market. If your market is saturated and your profits are suffering, ensure you have a solid understanding of your direct competition and the core attributes of your business that will help you stand out to customers, new and old.
