We're not going to get into the details of capitalism and monopolies. Let's just say that having competition is always a good thing. While the word 'competition' can suggest some form of rivalry, competing is not all about beating others but learning from them as well. How do you describe your competitors? Can you name them? Do you know who they are or how are they doing?
Of course, there's always extremes, like Peter Thiel, who believes competition is for losers. But how can you make sure your agency is the best it can be if not by knowing what your competitors are doing? You need competitors as much as they need you. At some point, even the most fierce competitors can collaborate to be part of a greater good.
As stated in Forbes, "if you're the only player in your field, it can be difficult to improve". Think about competitions out of this world, literally. The U.S. and Russia were racing each other to be the first to conquer space. Russia was the first to reach the moon in 1959. The U.S. put two men on the moon in 1969. Three decades later, in 1998, they launched the International Space Station... together!
If you don't know what your competitors are doing, you're missing out on a big learning opportunity. Luckily, unlike aeronautical engineers in the 60's, we have the Internet. There's already a wide range of tools that can help you understand the online presence of your competitors and how it compares to yours. A good place to start is Google Alerts, Alexa, Glassdoor, SpyFu, Website Grader, Google Trends, and Keyword Spy.
The benefit of having so much information is also a disadvantage. You might be overwhelmed with everything that's already happening. On top of that, you have to wonder when was the last time you conducted research to know what your competitors are doing? Has your agency done it at all? How do you learn about new tools and strategies that others might be using before you?
If your agency has a recurring problem it's likely it has happened to other agencies as well. Do you know how other agencies respond to problems? The online world has made it possible for us to get answers at a distance. We feel like we can go directly to the source, but that's not always the case.
For example, how would you find out which internal processes are the most effective? While it's not impossible, it's very unlikely you'll find this information online. Have you directly asked your competitors about what they do? Julie Petersen in her article 10 ways to find out what your competitors are doing, says "you’d be surprised at how many companies will tell you at least some of what you want to know".
Motivations are very different but the goal is the same: you want your business to grow. Knowing your competitors will help you test yourself continuously and allocate resources more efficiently. Imagine all the time you could save if you stopped wondering about what other agencies are doing.