<\/span><\/h3>\n\n\n\nNow that the brand has selected the competitors and also identified the focus areas to conduct its competitor analysis, the next step is to determine its strengths and weaknesses and compare them against its competition. <\/p>\n\n\n\n
Let us continue with the example of the apparel brand opening a store in Bangalore. For the sake of this example, let us consider that the apparel brand is a digitally native DTC brand with a considerable social media presence. <\/p>\n\n\n\n
After reviewing the research collected from the ground business development team and its Retail AI solution partner, the brand might identify the following<\/p>\n\n\n\n
Strengths<\/strong><\/p>\n\n\n\n\nBeing present on the 27th Main Road provides the brand with high visibility and foot traffic. <\/li>\n\n\n\n The location also enables customers to easily access the store.<\/li>\n\n\n\n As a digitally native brand, it can leverage its large nascent customer base to develop a robust omnichannel retail experience<\/li>\n\n\n\n The relatively large social media presence further reduces the marketing spend. <\/li>\n<\/ul>\n\n\n\nWeaknesses<\/strong><\/p>\n\n\n\n\nThe location the brand has selected to expand into – 27th Main Road, HSR, is a prime area and attracts high rental expenses. <\/li>\n<\/ul>\n\n\n\nThe above image displays the average buy rent per square foot at the selected location. \nThe presence of a large number of the same category stores in the catchment area represents intense competition which might eat into the revenue of the brand. <\/li>\n\n\n\n Failure to devise an enticing pricing strategy may prolong the break-even period for the brand, resulting in delayed profitability. <\/li>\n<\/ul>\n\n\n\n<\/span>Fourth Step: Compare Findings with Competitors<\/strong><\/span><\/h3>\n\n\n\nThe insights derived from identifying the strengths and weaknesses of a brand should now be compared against those of its competitors. <\/p>\n\n\n\n
In our example, the retailer would select direct competitors such as Van Heusen, Allen Solly, or Peter England. By analyzing the strategies employed by these competitors, the brand gains valuable insights into potential shortcomings in its strategy.<\/p>\n\n\n\n
<\/span>Fifth Step: Brainstorm Solutions to Bridge the Gap in Retail Strategy<\/strong><\/span><\/h3>\n\n\n\nAt this point in the exercise, the brand would have a comprehensive understanding of its strengths and weaknesses along with that of its competitors. <\/p>\n\n\n\n
Analyzing these metrics would empower the brand to identify the gaps that exist within its marketing and product strategies. <\/p>\n\n\n\n
The brand’s leadership should organize collaborative sessions with its team to devise strategies that address the gaps in its overall strategy.<\/p>\n\n\n\n
Following our example of a hypothetical brand opening its retail store on the 27th Main Road, HSR layout, Bangalore, we can briefly determine some of the strategies that they might adopt, <\/p>\n\n\n\n
\nStand-out marketing strategies that leave a lasting impression on the target audience.<\/li>\n\n\n\n Develop marketing strategies to target the local target consumers. <\/li>\n\n\n\n Strategic pricing involving discounts or premium services like free in-store returns or provisions for alteration services at the store. <\/li>\n\n\n\n The digitally native brand would be able to effortlessly integrate omnichannel retail experiences to improve brand loyalty and customer retention.<\/li>\n\n\n\n Implement cost-cutting measures to reduce the overhead associated with opening a store in a commercial location like the 27th Main Road. This could include optimizing the store layout and employing AI solutions to forecast inventory requirements. <\/li>\n<\/ol>\n\n\n\n<\/span>Conclusion: Reasons to Employ Competitor Mapping for Your Retail Business<\/strong><\/span><\/h2>\n\n\n\nCompetitive mapping is a vital strategy that every retailer should adopt when expanding their retail business or starting their first franchise store. <\/p>\n\n\n\n
To recap the importance of competitor analysis is as follows <\/p>\n\n\n\n
\nImprovements in marketing and product strategies <\/li>\n\n\n\n Determine the strengths and weaknesses of the brand<\/li>\n\n\n\n Identifying existing gaps between the brand and its competitors <\/li>\n<\/ol>\n\n\n\nTraditionally retailers employ physical methods to comprehensively map their neighborhood to identify the strategies employed by their competition. <\/p>\n\n\n\n
Tailored AI solutions for retail, purpose-built to address the brand’s unique requirements, offer precise insights into competitor presence within a defined catchment area. Additionally, these solutions assist in analyzing the retail landscape of potential locations.<\/p>\n\n\n\n
<\/span>Presenting RetailIQ<\/strong><\/span><\/h3>\n\n\n\nRetailIQ is a cutting-edge AI solution revolutionizing offline expansion for the retail section. It is built on top of extensive location data and brand data to give street-level answers to expansion problems. <\/p>\n\n\n\n
RetailIQ is a powerful tool providing site recommendations to maximize success at the store level and minimize the risk of closure. It also helps identify the total addressable market, conduct competition analysis, better understand your target audience traits and their presence, and perform detailed site analysis and reports, all adding up to a successful expansion strategy. <\/p>\n","protected":false},"excerpt":{"rendered":"
Sun Tzu famously said, \u201cKnow your enemy and know yourself and never fear the result of a hundred battles.\u201d Competition mapping is the starting point to accurately develop a comprehensive expansion strategy for a retail business. Competitor analysis also known as competition mapping is the strategic process of analyzing and evaluating your competitors’ strengths, weaknesses, […]<\/p>\n","protected":false},"author":11,"featured_media":3563,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[9,10,12,1],"tags":[48],"class_list":["post-2197","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-data","category-location-intelligence","category-retail","category-uncategorized","tag-retail"],"yoast_head":"\n
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