Definition
Benchmarking and market analysis are conducted to improve organizational operations, increase customer satisfaction, and increase value to stakeholders.
“Benchmarking and market analysis” is usually one unified term. However, when used individually, their meaning is often mixed up or wrong. Do you know the difference between benchmark and market analysis?
Why use benchmarking and market analysis?
Companies better implement new and innovative strategies, methods, organizational plans, and ideas.
Target market’s needs and requirements are better identified.
The tool analyzes the competitors: their technics, their situation, their offers.
It also grants a better understanding of the success of other companies towards their customers.
Weaknesses of the industry you operate in are identified and can be bypassed.
Market analysis lets you evaluate the offers of your competitors. This provides you with hints about products/services that are worth your time and the ones that are better left aside.
Benchmarking is a heavy task. and time-consuming. It requires a lot of time and energy, which some companies do not have.
It is essential to work with a qualified person who know how to analyze the gathered data.
Conducting market analysis can be quite costly in the long run. Besides, the results of the analysis may not be immediately available, which extends the waiting duration even more.
Sometimes benchmarking cannot provide a solution to your problems. What worked for other companies doesn’t necessarily work with yours.
If you do not segment the market, your analysis may not provide you with the results you are looking for. This can bring you a false sense of insight into your competitors.
How to do benchmarking and market analysis
Fields where benchmarking is used
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- tips and recommendations for use,
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