Many companies struggle to stay afloat due to a lack of capital or inadequate organisational skills. Others, especially those who are fresh to an oversaturated industry, are suffocated by competition. In 2019, the failure rate of startups was around 90%. Research concludes 21.5% of startups fail in the first year, 30% in the second year, 50% in the fifth year, and 70% in their 10th year (via Investopedia).
Many businesses may attempt to reduce the effect of their competitors to obtain a competitive edge in market share, and this is easier now than ever before thanks to new tools and technology. According to a recent study from Crayon, a Boston-based research organization, 41% of corporate executives "strongly believe" that competitive intelligence is essential to their company's success.
You must discover strategies to be one step ahead of your competitors in order to build a successful scaleup. It may often be easier said than done, and unfortunately there's no one-size-fits-all solution for beating your competitors. In any market there is going to be competition, and to gain market share effectively, smart firms will reduce the impact of competition to scale up fast.
Determine your clients' problem areas and then address them. One of the most likely ways to outperform your competitors is to better answer the demands of your common target audience. To find out exactly what your potential customers desire when utilising your products or services, ask open-ended inquiries. Employees should be taught how to handle difficulties, focus on customer queries, and get customer feedback.
After you've identified a client's pain areas, you may try to resolve them by addressing their problems in terms the consumer understands. Once you have a clear picture of the problem, determine who within their organisation is capable of resolving those issues and who is allowed to acquire your goods and services. Strengthening and maintaining customer relationships helps you acquire potential customers as well as scale up faster.
Above all, you want your clients to feel appreciated and satisfied with the service they receive. Employ people who are knowledgeable about your goods, services, and brands. This is a no-cost option that might be the most effective method to outperform the competition. When interacting with clients, pleasant smiles, appreciation, and genuine delight go a long way.
Make an effort to raise employee morale by making them feel like a part of the company and rewarding them for their hard work. This keeps them motivated and working at their best. Expect them to always be professional and respectful while responding swiftly and graciously to client inquiries.
Your customer service representatives should always be kind and respectful. Customers must always be able to reach them. They should take a problem-solving attitude and solicit client input regularly. Client-centric businesses rely on trustworthy employees to increase customer happiness.
In 2007, Apple transformed mobile phones and quadrupled its market share. Apple is still a market leader in the mobile phone business 13 years later as a result of the methods they continue to develop their product and cultivate loyal consumers (via Zephyr Group).
Make a list of your top 10 competitors. If you offer a product or service online, you're probably up against dozens, if not hundreds, of other businesses vying for the same pool of qualified leads.
Whether you're a local, national, or worldwide business, there's almost always someone in your organisation, usually in the sales or marketing departments, who can reel off your competitors — and what sets them apart from you.
If you need some assistance, Google is a good place to start. Simply Googling for the sort of service or product you provide will almost certainly bring up a few of your top rivals.
The quality and quantity of content count whether you're using SEO, pay-per-click, or any other digital marketing technique to attract new users to your website. A new type of content appeals to both search engines and their automatic indexing systems, as well as the individuals who visit your sites.
High-value content may also encourage viral sharing, which boosts the number of external backlinks to your site and helps your SEO.
If you're worried about your high search rankings being taken away by rivals, you can't go wrong by spending time writing blog posts, articles, downloadable goods, and other content for your website.
Keep an eye on what your competitors are doing in terms of on-site SEO. You may be looking at one of two possibilities if competitors drastically modify their SEO activities: they may have discovered a new technique to optimize their sites in the search results to Scaleup, or they may be upgrading their pages in reaction to a penalty from the search engines.
Examine and compare the content of competitors. Once you've identified your rivals, you can begin your competitive analysis and dive a bit further to learn more about the kind of material they're putting out.
In any case, keeping a watch on your rivals' title tag structures, usage of keyword-optimised headers, and other SEO activities is a smart idea. All of this information, as well as a lot more, may be found using free, downloadable tools.
Netflix is no stranger to forming long-term relationships with its consumers. To better serve its consumers, the site is continuously introducing new original shows and improving its algorithm. Netflix reportedly had a 90% market share in the streaming service industry in 2014, thanks to its ongoing refinement of the platform (via Zephyr Group).
Not only will you discover critical areas for improvement in terms of content production, Search Engine Optimization, and social media involvement, but you'll also be able to assist in the establishment of your company's presence among potential consumers, blog readers/subscribers, and social media users.
You'll discover higher client retention and a more secure position to scale up in your business if you examine your market share and seek methods to enhance it. Smarter businesses decrease the effect of competition to win market share.
Amit has 18 years of experience in the industry and an MBA. He supports entrepreneurs with every aspect of their business including concept and product development, investor presentations, and fundraising.
Tags: Startup funding, venture capital, scaleups, fundraising, pitch deck review, OKRs, why do startups fail, equity research
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