The study of collecting and evaluating data about competitors to obtain a competitive edge is known as competitive intelligence study. It includes monitoring the digital presence of client’s competitors/ market players, their pricing schemes, their product portfolios, marketing tactics, and customer feedback etc. Companies can make well-informed, forward-looking decisions by recognizing possible risks and discovering new opportunities. Crucially, ethical and law-abiding research techniques are essential to competitive intelligence.

Competitive Intelligence Process

Step 1: Building an Understanding of Client’s Business

• Gaining a thorough grasp of the client's products, capabilities, technologies, and market positioning.
• A deeper comprehension of the client's business aids in locating strategic gaps and white spaces.
• Establishing the benchmarking, opportunity, and threat evaluation reference point.

Step 2: Identification Oo Key Market Competitors

• The key market players/competitors are identified through:
  • Direct competitors – comparable products; identical market;
  • Indirect competitors: alternative technologies or solutions; and
  • Emerging entrants: startups, related industries.

Step 3: Data Collection & Innovation Tracking

• Developing a comprehensive understanding of the competitor’s activity through-
  • New/Anticipated product launches: The products are listed year-wise and all the information associated with the products like technical features, date of launch, region of launch, campaign for the launch, composition/ingredients details, certification etc. are also provided. The details of the patent or non-patent literature associated with product is also provided.
  • Partnerships and Acquisitions: The information is provided year-wise and includes all the information regarding the details of acquisitions/mergers/partnerships and their reason behind or strategy behind along with the financial details. It also includes information about the key agreements/collaborations made in last 3 or 5 years (or as specified by the client), any divestiture made in last 3 or 5 years (or as specified by the client), by the competitor.
  • Latest Patent, Non-patent Filing and Trademark Filings: The information is provided year-wise and includes all the information regarding the details of patent filings, non-patent filings, trademark filings. Innovations/technology focus in these filings. Any design patent filed by the competitor. Prominent inventors/researchers involved in the filings or among the recently hired team.
  • Competitor’s Strategies/ Business Model or Product Development Strategy: This section contains information that is provided year-wise and includes all the information regarding the details of strategies adopted by the company, key/power brands of the company, the profits earned by the key brands of the company, the business model for future growth, key market areas for product development, any regional focus for product development/launch, social media trends for product development, social media strategies for product promotion, any AI based tools for product development/promotion, consumer interaction details with the brand etc.
  • Manufacturing and Supply Chain, Distribution Channels details: This provides the details the details of manufacturing sites/plants, new plants opened, any upgradation or closing of existing plants, capacity of production in plants, production lines details, supply chain innovations, upgradations, distribution channels, contract manufacturing, sustainable sourcing of raw materials etc.
  • Financial performance and R&D expenditure: This section aims to provide year wise financial (revenue) details of the competitor, and their growth as predicted, effect of the collaboration/merger/acquisition on the financials, powerful brand among all the brands, and region and area of focus of the brand, comparative analysis of financials, profitable segment, prominent hiring, details of research & development financials of the competitor, and trend in R&D investments and focus area/region of R&D investments etc.
  • Marketing and advertising: Includes the details of marketing and advertising strategies/campaigns of the competitors, collaborations made for promotion/marketing, unique advertising/promotion means, brand ambassadors, use of recent technologies for marketing & advertising, etc.
  • Upcoming events/meetings/conferences/awards: The information is provided year-wise including the details of the awards won by the competitor in last 3 or 5 years (or as specified by the client) and importance of that award, conferences attended/organized in the last 3 or 5 years (or as specified by the client), and the role of the competitor in the conference along with any relevant outcome of the conference, etc.
  • Press releases: This sections includes the details of market updates, key appointments & promotions, lawsuits, and any relevant information.
• Data collection is done through interviews, press releases, surveys, product websites, patents, scientific publications, annual reports, market reports, social media, conferences etc.

Step 4: Comparative Analysis

• Comparative analysis of the client’s and competitors’ products are done through future bench marking, product comparison, IP comparison, SWOT analysis, innovation trajectory, customers’ reviews etc.

Step 5: Trend Analysis & Key Insights

• Depending on the information gained so far, a trend is predicted. The trend analysis reveals the direction and momentum of change in a competitor’s strategy, market shift and customer preferences over a period of time.
• Trend analysis involves prediction via the continuation of quantitative historical data into the future. The gathered data will be extrapolated for the respective life-stage of the technology in order to determine the ‘growth curve’.
• Key insights will be gathered from the information collected so far. Key insights discloses the conclusions derived from the collected data and analysis. These insights help the client to better understand its competitive landscape and make better strategic decisions.
• The data gathered will help to derive insights from
  • Competitors’ R&D trends;
  • New product pipeline;
  • M&A/ collaboration;
  • Future trends; and
  • Geographical spread.

Benefits of Competitive Intelligence Study

Monitoring competitors’ behavior: Competitive analysis helps keep track of how the competitors are evolving in the market through the new product launches, their marketing campaigns, their partnerships/ mergers/ acquisitions, and geographic expansions etc.

Better understanding of customer sentiments: Competitive analysis of players provides insight into the customer sentiments both directly—by gathering information from consumers—and indirectly—by analyzing what works for the competition, which helps the clients to better align their offerings with customer requirements.

Identification of Competitor’s R&D focus and innovations: Patenting activity of players helps in identifying the technologies or solutions that competitors are actively developing, which allows businesses to stay informed about technological advancements, identify competitors' strategic moves, and uncover potential innovation opportunities.

Identification of market trends: Competitive analysis helps the companies to identify market trends and opportunities in the market and helps them to stay ahead of disruption, better meet customer needs, and make more informed decisions about product development, marketing, partnerships, and expansion strategies. It transforms raw data into actionable insights that fuel growth and innovation.

Capitalize new market opportunities: By monitoring competitors’ offerings, patents, and customer feedback, competitive intelligence provides valuable insights that help clients to identify gaps in the market, areas of weakness, trends that one can exploit and in the event of a competitor cut-backs, a chance to attract more customers.

Real World Case Studies: Competitive Intelligence in Action

Leading lighting solutions firm seek innovations

With a view to stay ahead in the market, a leading lighting solutions company decided to gain information about the new innovations in the lighting field by its competitor. Through a competitive intelligence study, Effectual Services helped the client to identify different innovation activities of the competitor in the lighting field as well as other domains. A thorough study of the competitors’ activity, collaborations, IP and research, we identified that the competitor had integrated lighting into other fields such as security, agriculture, communication (IoT) etc., and their future strategies.

Global FMCG company aims to refresh its product portfolio

A global FMCG company wanted to modify their product offerings to better suit to the changing consumer preferences in the beverage space. The company wanted to access the new market players who were changing the face of the beverage market by their innovative offerings. Through the help of Effectual Services, the company was able to identify the new innovative product offerings in the market that provide health benefits and different from the traditional offerings. This helped them gain information about potential new competitors in this space and gave them a direction to evolve their existing product portfolio.

Multinational Agricultural Solutions company seeking the activities of its Chinese competitors

A multinational agricultural solutions based company wanted to gain an insight into the activities of few of its competitors based in China in feed enzymes/additives market. They sought the help of Effectual Services to provide a detailed competitive intelligence study on the leading Chinese competitors in this space.  The study helped the client to gain an insight into the competitors’ production technologies and capacities and as well as provided them with an insight about the low cost of production of the products in China.

Way Ahead

Competitive intelligence study is essential for companies as it enables informed and strategic decision-making by providing deep insights into market dynamics, competitor actions, and emerging trends in the market. It helps companies stay ahead by identifying threats and opportunities in the market, guiding product innovation, refining go-to-market strategies, and strengthening their brand positioning. Competitive intelligence study also empowers cross-functional teams—strategy, marketing, sales, and R&D—with actionable intelligence that drives alignment and reduces risk. Ultimately, Competitive intelligence study transforms external complexity into clarity, giving companies a competitive edge in fast-moving markets.

About Effectual

The process of competitive intelligence is a meticulous journey that involves the systematic collection of a wide array of data points, followed by a nuanced extraction of strategic insights. This comprehensive analysis delves deeply into various aspects related to competitors, encompassing not only their sales figures and market strategies but also crucial elements like their market share and, significantly, their patent-related activities. By integrating thorough patent analysis into this framework, we gain unique and valuable insights into the positions of competitors, their directions in research and development, as well as potential collaborative ventures. These insights serve as a critical foundation for making well-informed and effective strategic decisions, ensuring a proactive and sustainable approach to business growth and development.