Practical Applications of Competitive and Market Intelligence
There are many examples of how competitive intelligence and market intelligence can be used. Here are some practical applications of competitive and market intelligence:
Automobile industry
Car manufacturers can analyse their competitors’ new products to make sure they stay ahead of the competition. For example, when Tesla released its Model S electric car and disrupted the market and forced competitors to reevaluate their product offerings. Now you can’t move for electric vehicles.
Fast food
Fast food chains like McDonald’s and Burger King, soft drink purveyors Coca-Cola, Pepsi, and, more recently, Redbull are constantly monitoring each other’s promotions and menu items to stay competitive. For instance, when McDonald’s launched its all-day breakfast menu, the subsequent increase in sales prompted Burger King to introduce its breakfast menu. McDonald’s tried to convince the world of healthy eating, and Burger King focused on the taste and where their beef originated. This relationship between McDonald’s and Burger King is definitely a leader-and-follower situation. But Burger King is trying to do something different in response to McDonald’s innovation. Can you imagine a situation where Burger King beat McDonald’s to an innovation?
Technology Industry
Technology companies like Apple and Samsung are constantly breaking down and analysing each other’s pricing strategies, products, and marketing campaigns. Remember when Apple launched the iPhone X, and Samsung responded with the Galaxy Note 8? Both had similar features and a comparable price point.
Retail industry
Retailers use competitive intelligence to determine pricing strategies, store locations, and product offerings. For instance, when Target introduced its Good & Gather brand in the US, Walmart responded by bringing out its successful Great Value brand.
With the focus on battle cards and associated benchmarking, you could be fooled into thinking that competitive intelligence is not about copying your competitors. It should be the complete opposite. Competitive intelligence is about increasing certainty to decide to get ahead in your market and keeping up with them will not provide a real competitive advantage.
Practical Applications of Competitive and Market Intelligence in the Healthcare industry
Pharmaceutical companies use competitive intelligence to determine which drugs are in development by their competitors and to prepare for the launch of their new products. Competitive intelligence, as we know it today, comes from the pharma industry.
An example of competitive intelligence in pharma can be found when Pfizer’s Viagra lost its patent protection. Competitors like Teva Pharmaceuticals were ready to start manufacturing generic drug versions. Pharma companies make billion-dollar investments into the next big drug. Knowing what the competition is doing will help them
- Not launching or patenting a drug that’s similar to competitors
- Understand how clinical trials are doing, what the stumbling blocks are, and what’s working well.
- Determine what stage a competitor’s drug research is at.
- Who are the researchers, and what do consultants think about the product
- What side effects have been isolated
- Know what competitors have failed at and, more importantly, why. Saving them potentially billions of wasted research
Practical Applications of Competitive and Market Intelligence
The practical applications of competitive and market intelligence extend across industries, enabling organisations to gain actionable insights into customer behaviour, market trends, and competitor strategies. For instance, businesses can use intelligence to identify emerging market opportunities, streamline product development, and enhance customer acquisition strategies. These applications ensure data-driven decision-making and a sharper competitive edge.
Examples of Practical Applications of Competitive and Market Intelligence
In conclusion, these are just a few examples of how competitive intelligence is used in the real world to stay ahead of the competition. And inform business decisions.
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