When you are on the verge of promoting your business and building up traffic for the website, the first and foremost thing to look out for is competitors. Similarly, keeping track of their strategies will help marketers target the right audience and conquer the industry. 

Hence, we are here to give a complete solution to this, i.e., Competitor Analysis Framework. 

Let's have a quick look:

What Is a Corporate Analysis Framework?

It is also called the market analysis framework or competitor analysis model. Through a market analysis framework the business professionals use to check and research for evaluating their competitors' marketing strategy. With the help of a framework, they can gather vital information, like competitors' business strategies, products, services, discounts, and deals, to know their competency. 

Why Use A Competitor Analysis Framework?

For strengthening business strategies, competitor analysis is quite significant. It can make your business research more professional. There are numerous reasons for adapting the analytical framework, such as:

Identify Market Shifts: 

The market changes from time to time, and being a marketer, you should be aware of it. Hence, frameworks can help you visualize the sudden market shifts.

Reveal The Gaps: 

Examines the businesses in a specific industry which helps the marketers to reveal the gaps compared to your industry for a business idea, product, or offer.

Effective Marketing Strategies: 

It will guide the marketers to build the most effective marketing strategies from scratch and avoid costly mistakes while hosting ad campaigns for your brand.

Now, moving further, let's have a quick look at the top 07 strategies to implement competitor analysis framework:

#1 SWOT Analysis:

The term SWOT Analysis is broken down into 4 different categories: Strengths, Weaknesses, Opportunities, and Threats. 

• Strengths: It analyzes internal factors which can benefit the organization.
• Weaknesses: It pumps out the disadvantages to save the firm from facing any loss.
• Opportunities: It analyzes the external factors to grab more traffic for their website.
• Threats: Examining the external factors to avoid any risks in the future.

#2 Porter's Five Forces: 

Michael Porter, a professor at Harvard Business School created a formidable framework, 'Porter's Five Forces.' The main agenda behind it was to examine the five market forces, including: 

• The intention of competitor rivalry
• The threat of new entrants
• Bargaining power of new buyers
• Bargaining power of suppliers
• Threat of substitutes

These five key factors will help you analyze the entire competitor analysis structure in the industry without any hassle. 

#3 Strategic Group Analysis: 

There are millions of companies registered in the world, and every business has a different industry type. So, with the help of Strategic Group Analysis, you can organize competitors into various groups on the basis of their similarity to strategy. Competing and comparing your business with your competitor will help you give a clear picture of everything about their strategies.

#4 Growth-Share Matrix: 

The Growth-Share Matrix classifies the company's product with that of the competitor's products and landscape. This framework is basically suitable for large-scale organizations with huge portfolios. It is a chart classified into 4 different categories: 

• Stars: It highlights products with high growth and high market share.
• Question mark: It showcases new products with high growth but low market share, leaving the user in a dilemma to invest or not.
• Cash cows: It displays the products with low growth and high market share to fund the investment in Stars.
• Pets: It underlines the products with low growth and low market share. 

#5 Perceptual Mapping: 

Perceptual mapping or positioning mapping visualizes the perception of your company and the competitor's organization on a plot graph. Basically, the visualization takes place on the basis of perceived quality and price. It will help the users define and identify market trends and gaps to improve your company's position. 

#6 Business Model Canvas: 

To improve the clarity and focus of your brand, the marketers prefer the Business Model Canvas. It is divided into 9 different elements, namely:

• Customer segments
• Value propositions
• Channels
• Customer relationships
• Revenue streams
• Key activities
• Key resources
• Key partnerships
• Cost structure

#7 Customer Journey Map: 

The customer journey map or a user journey map is a visual story of a customer's interaction with a brand. At first, the customer channels are mapped on the basis of the company's website, email support, phone services, etc and then the interaction is analyzed via Customer Journey Maps.

You can also watch: How To Search Competitors Google Ads By Keywords & Domains

Final Verdict:

In this way, a competitor analysis framework takes place and we hope our readers have now got a clear picture about the top strategies to implement the same.