It is necessary to do a competitor analysis. Because you may use their data to define your goals, marketing plans, tactics, new services, pricing, and more. Use competitor analysis to:
- Identify the strength and weakness of your lawn care business competitors.
- Search for opportunities to distinguish your lawn care business from competitors.
The first step is to determine who your direct and indirect competitors are.
The direct competitors consists of other lawn care businesses that offer essentially the same services to the same people as you do.
Indirect competitors are other lawn care options that people have in addition to direct competitors. In this case, your indirect competitors will be businesses that encourage do-it-yourself lawn care, such as local home improvement stores. Therefore, you may wish to emphasize the convenience of your service. Such competition shows your understanding that not everyone who needs lawn care services will use a lawn care company.
Once you’ve identified the competitors, concentrate on the direct, head-to-head competitors, since they are the most threatening to your lawn care business— but keep an eye on the indirect competitors as well, just in case.
Provide an overview of each direct competitor’s business and detail their strengths and weaknesses.
You will be able to position yourself competitively in the market if you perform proper competitor research. Perform a SWOT Analysis to learn your competitors’ strengths, weaknesses, and competitive advantages in the following areas:
- Prices – Are they offer cheaper lawn care services or more costly than you and other competitors, what value do buyers get for that price?
- Quality – Are they offer premium lawn care services, the perceived worth in the eyes of the customers
- Customer service – How they respond to their consumers, whether they treat them poorly or well, and the degrees of satisfaction customers show
- Reputation — The sum of everything mentioned above: their credibility, how loved the brand is, and the loyalty of their customers
The final section of your competitive analysis should include a list of your areas of competitive advantage. for example: Are you going to offer premium lawn care services? Do you offer unique lawn care services that your competitors do not? Will you offer better pricing or will you offer greater customer support?
Consider how you will outperform your competitors and include them in this portion of your lawn care business plan.