I recently did something that I had not
done in a long time — played a board
game. The goal was domination of the
world that was on the board. I stepped
back and thought about all the board
games I had played like Monopoly, Risk,
Life, etc., where the goal was to dominate
and eliminate the competition. I won-
dered if most of us got our initial idea of
what to strive for in business from games
like these. We try to conquer and get rid
of all competition, so that we can rule
our world, whether that is a small town
or a larger geographic area. That kind of
thinking, while motivating, may be frus-
trating and ultimately lead to your de-
mise as a business because all-or-nothing
behavior can leave you with nothing. You
must look for every way you can to gain
an advantage, but not go so far as to put
your business in a financial position where
it cannot function. Getting to know your
competition is really important, so that
you can take advantage of your strengths
but also identify your weaknesses and de-
termine how best to fix them. I know this
may sound odd, but competition may be
your best friend in business.
Here are three steps to follow to get to
know and grow from your competition:
#1 IDENTIFY YOUR COMPETITORS
This step may sound so obvious, but be-
gin by actually identifying your compe-
tition. Competitors are those businesses
that offer similar products or services to
the same customers. Competitors can be
direct or indirect. Direct competitors of-
fer the same goods and services that you
do, and indirect competitors offer simi-
lar goods and services that meet the same
needs. (In the OPE world, an example of
an indirect competitor might be a motor-
cycle shop that also repairs lawn and gar-
den equipment.) You need to compile a list
of at least your top 3-5 competitors, both
direct and indirect. Then, gather informa-
tion about your competitors. How do they
advertise? What are their pricing strate-
gies based on advertisements or customer
feedback? What do their websites look like?
Look for any other general information.
#2 SCOUT AND EVALUATE YOUR
COMPETITORS SYSTEMATICALLY
Some of you might be surprised what
I am suggesting here. Assign someone
Getting to know and grow
from your competition
IMAGE
©ISTOCKPHOTO.COM/OSTILL
■ BY JEFF SHEETS
FEATURE STORY | Best Practices
24 AUGUST 2015 OUTDOOR POWER EQUIPMENT www.outdoorpowerequipment.com
