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Research Competitors

How Can Competitor Research Help Improve Business Performance?

When starting a business, staying afloat in the first few years is necessary. The statistics are stark: 21.9% of businesses fail in their first year, and by the fifth year, the failure rate increases to 50%.

The most common reason for the dissolution of these businesses is a lack of market. Buyers are not convinced that these new businesses have anything to offer that they don’t already receive from the brands they use.

This is why the importance of effective strategies are required to ensure survival and growth. One such strategy is competitor research.

What is Competitor Research?

Competitor research is finding out what your business rivals are doing. It helps you learn about their products, services, and strategies. And with this knowledge, you craft a business that defeats their offers.

The goal of a competitor research analysis is simple. They help understand what your competitors are doing well and where they are falling short.

It shows you what works in your industry and what does not. It reveals market trends and customer preferences you’d have neglected without a trained eye.

Types of Competitor Research

87% of successful startups attribute their victories to a keen understanding of competitors. Without proper study, 65% of new businesses fail in the first decade. Competitor research helps you avoid this fate.

There are several types of competitor research. Each type provides different insights. All of these researches give a unique perspective to improving your business.

Direct Competitor Research

As the name implies, direct competitor research studies businesses that offer the same or very similar products or services as you.

If you run a coffee shop, your direct competitors are other coffee shops in your area.

This type of research helps you understand what makes your competitors successful and what challenges they face.

Indirect Competitor Research

This type of competitor research is not as straightforward. It looks at businesses that offer different products or services that could substitute for yours.

A bakery that sells pastries might be an indirect competitor to your coffee shop.

This research helps you identify alternative solutions that customers might choose instead of your product.

Market Leader Research

Market leader research analyzes the top players in your industry. Understanding how market leaders operate provides benchmarks and best practices to follow. This helps you identify strategies that can elevate your business to a leadership position.

SWOT Analysis

SWOT analysis examines the Strengths, Weaknesses, Opportunities, and Threats of your competitors.

It provides a comprehensive view of their market position. This helps you identify areas where you can improve and opportunities to exploit.

Product and Pricing Research

This research type studies competitors’ products, pricing strategies, and promotions. It helps you set competitive prices and develop attractive products.

Product and pricing research ensures that your offerings are competitive and meet customer expectations.

Market Research in Dubai

Dubai has a highly diverse population with expatriates from all over the world. About 90% of Dubai’s population is made up of expatriates. This percentage accounts for 200 different cultures. This diversity creates a unique consumer base with varying preferences, needs, and buying behaviors.

Market Research in Dubai

Dubai’s economy is no longer solely reliant on oil. It has diversified into sectors such as tourism, real estate, finance, logistics, and technology. Its strategic location enhances its appeal for international businesses looking to access markets in the Middle East, North Africa, and beyond.

The city is a major destination for luxury brands and high-net-worth individuals. Market research in Dubai often involves understanding the luxury segment and the specific preferences of affluent consumers. Initiatives such as the Dubai 2040 Urban Master Plan and free zones provide significant opportunities for businesses.

Now, all of these unique features of the Dubai marketplace make it a necessity to have an insider perspective. You need a good background check of the local market before you take your first step.

Importance of Localized Market Research

Localized market research helps businesses with the following:

  1. Marketing strategies that resonate with the local population. Understanding cultural nuances, language preferences, and regional trends allows you to create more effective and targeted marketing campaigns.
  2. Identify gaps in the market and opportunities for differentiation. This knowledge enables you to develop unique value propositions that set you apart
  3. A deep understanding of consumer behavior in the region. This includes preferences, purchasing habits, and pain points. Such insights are invaluable for designing products and services that meet specific needs.
  4. Ensures you are aware of and adhere to local laws and standards.
  5. Allocates your resources more efficiently. This includes optimizing supply chain management and choosing the right distribution channels.

How do you Carry out Research on Competitors?

The first step to carrying out research on your competitors is to conduct a market analysis. How does that work?

Identify Key Players in Your Industry Segment

Look for businesses targeting the same customer base as you. Make use of industry reports, online databases, and publications to gather information about competitors operating in Dubai.

Use search engines, business directories, and social media platforms to identify competitors. Check out their websites, social media profiles, and customer reviews. All of these help you gain insights into their pricing strategies and market positioning.

Participate in conferences and trade shows to gain firsthand knowledge about competing businesses.

Take note of exhibitors, sponsors, and keynote speakers to identify key players in your industry segment.

Collect Customer Feedback

Engage with existing customers and industry experts to learn about competitors they perceive as significant players. Conduct surveys, interviews, or focus groups to understand the perceptions and preferences of your customers. Especially with regard to competing brands.

Analyze Product Offerings and Pricing Strategies

Analyze the strengths, weaknesses, and unique selling propositions of the competition. Assess their products with a critical eye. What features make them special? Is the quality of their product worth it? Can it be improved? Does the pricing match the quality? Are there customization options? How flexible is it?

Study their pricing models, discounting practices, and promotional offers. Compare their prices with your own. Use this as a means to identify pricing gaps and opportunities in your business. Analyze pricing trends over time to anticipate competitor pricing strategies.

Analyze Product Offerings and Pricing Strategies

Examine advertising campaigns and branding initiatives to understand their positioning. Investigate the distribution channels used by your competitors to sell their services.


Competitor research is a secret weapon in your business arsenal. Understanding your competitors is about survival. With business failure rates high in the first few years, knowing your competition can mean the difference between success and failure. Don’t let your competitors outsmart you—take charge of your business’s future today.

Contact us today to learn more about our services and how we can assist you.

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