Market and Competitor Research

Business Research, Social and Political Research, Business Projects, Training and Consulting Services

Market Research

Market research consists of comprehensive studies that help reduce the risks of business decision-making and identify opportunities. This research provides a full picture of the current state of the market and its future trends. The key elements and content identified through market research are categorized below.

Research identifies the size of the market in which the business operates, along with the following key market issues.

  • Market size: Capacity expressed by the total number of potential customers and monetary value (TAM, SAM, SOM analysis).
  • Growth trend: Is the market expanding or contracting? Outlook for the next 3–5 years.
  • Market structure: Is the market controlled by a few major players, or are there many small players?
  • Seasonal impact: Are purchases seasonal, or do they peak at certain times?
  • Trends and changes: How is market demand evolving due to technological and cultural influences?
  • Competitors’ position: Who holds what share of the market, and what are their strengths?

Questions answered by market research

  1. Where is the market gap in the market?
  2. Why are customers dissatisfied with current products?
  3. What barriers exist to launching a new product?

Market research is not just about collecting data, but about using that data and information to identify market opportunities.

Competitor Research

Competitor research focuses on strengthening your position in the market and creating a competitive advantage. This research classifies competitors into different categories and analyzes them by comparing specific indicators.

1. Types of Competitors

Businesses generally divide companies engaged in similar activities into the following three main groups:

  • Direct competitors: Companies that offer the exact same type of products or services as yours and compete for the same target customers. Example: Coca-Cola and Pepsi.
  • Indirect competitors: Companies that offer different types of products but satisfy the same customer need. Example: A movie theater and a video game center – both fulfill entertainment needs.
  • Substitute competitors: Completely different solutions that customers may use instead of your product. Example: Coffee and energy drinks.

Competitor Research

When analyzing competitors, comparisons are made using the “7Ps of Marketing” or the following key indicators:

Product and Service  

  • Quality, design, features, packaging, and technological solutions.

Pricing Strategy      

  • Base price, discounts, promotions, and payment terms.

Market Share   

  • The percentage of sales they control within the industry and their growth rate.

Marketing and Promotion      

  • Advertising channels (social media, TV), messaging used, and brand image.

Customer Experience   

  • Service speed, customer satisfaction, and complaint resolution.

Sales Channels        

  • Website, app, physical stores, and distributors.

Human Resources and Culture        

  • Team capabilities, leadership team, and company culture.
  • SWOT analysis: Identifies the competitor’s strengths, weaknesses, opportunities, and threats.
  • Porter’s Five Forces analysis: Evaluates the intensity of competition in the industry, the threat of new entrants, and the influence of suppliers and buyers.
  • Mystery Shopping: Testing competitors’ service standards and staff interactions in practice by visiting them and receiving their services firsthand.
  • Price and quality comparative analysis: A method of comparing competitors based on two indicators such as “Price” and “Quality,” based on customer perception.
  • Identifying your competitive advantage: Understanding where you are stronger or weaker than competitors and answering the question, “Why should customers choose us?”
  • Finding market gaps: Identifying customer segments or underserved services that competitors are overlooking.
  • Risk prevention: Being prepared for competitors’ new moves and technological changes.
  • Effective planning: Avoiding repetition of their mistakes and adopting their successful practices.