How to Do a Competitor Analysis (7 Steps to a Wedge)

A competitor analysis goes wrong the moment it becomes a scrapbook. The goal is not to know everything about your rivals — it is to find the one gap you can own and the two messages you can change this week. Here is a process that ends in decisions, not a wall of logos.

Step 1 — Choose five competitors, not fifty

Three direct (buyers compare you head-to-head) and two adjacent (the spreadsheet, the agency, the do-nothing option). A tight set keeps you analyzing instead of hoarding tabs.

Step 2 — Capture only decision-driving fields

For each one, record the positioning line they lead with, their pricing and how they fence tiers, the buyer they clearly built for, and their main acquisition channels. Skip vanity metrics; follower counts do not change what you ship.

Step 3 — Mine the reviews for the real story

Read the three- and one-star reviews. Marketing tells you what a company wants to be; reviews tell you where it actually hurts. The complaint that repeats across reviewers is your wedge, handed to you by their own customers — 'support is slow,' 'it is too complex,' 'pricing jumps at the next tier.'

Step 4 — Lay the positioning lines side by side

Put every competitor's one-sentence pitch in a column. When three of them say nearly the same thing, you have found the crowded message — and the white space beside it. Your positioning is whatever true, valuable thing nobody else is claiming.

Step 5 — Convert every finding into a 'so we will…'

This is the step most analyses skip. A pricing observation becomes 'so we will offer a free tier where they gate it.' A review complaint becomes 'so we will lead with same-day support.' A channel insight becomes 'so we will skip the crowded ad auction and win on content.' No action, no analysis.

Step 6 — Ship the wedge into your messaging

Within a week, update your homepage headline and one sales talking point to reflect the gap you found. The analysis is worthless until it changes what a buyer reads.

Step 7 — Refresh quarterly, not constantly

Competitors move, but not daily. Re-run this once a quarter so the picture stays current without turning monitoring into a full-time hobby.

A template helps here because it pre-loads the decision-driving fields and the review-mining prompts, so you fill in answers instead of inventing the structure each time.

Skip the blank page. The Competitor Analysis Template is a fill-in-the-blank, ready-to-edit version of everything on this page — structured so you finish in an afternoon instead of a weekend. One-time $49, yours to reuse forever. Get the competitor analysis template $49 →

FAQ

How do I do a competitor analysis?

Pick five competitors, capture only decision-driving fields (positioning, pricing, target buyer, channels), mine their three- and one-star reviews for the recurring complaint, map positioning lines to find the white space, then convert every finding into a concrete 'so we will' action.

What is the most useful part of a competitor analysis?

The reviews. Three- and one-star reviews reveal where a competitor actually hurts, and the complaint that repeats is your wedge, described by their own customers.

How often should I update my competitor analysis?

Once a quarter for most businesses. Competitors move, but not daily, and constant monitoring turns into a time sink that never ends in a decision.

Page built 2026-06-14 from public, dated buying-intent signals. Updated as new signals land.

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