Managing a business requires knowing more about your competitors, what they offer, and figuring out what sets you apart from them.
Whether you are just a newcomer in the industry or you have been in the market for years, you need to know how your competition is doing. One of the best ways to do this is through market research or mystery shopping.
What Is Mystery Shopping?
Mystery shopping is a research tool that involves auditors posing as customers to objectively gather information on your competitors.
Conducting a mystery shopping program helps you know more about your organization, gain a new perspective on your market and competitors, and lets you understand more about your operations and customer service.
Is Secretly Analyzing Your Competition Unethical?
In the world of business, mystery shopping is important because it allows you to learn more about the latest services, products, and procedures in your industry. This way, you’ll be able to create better strategies for your company. There is nothing harmful about conducting mystery shopping as long as you’re not going to sabotage the operations of your competitors.
If you’re interested in conducting a competitor mystery shopping to learn more about other companies and boost your business, you need to focus on the following:
- Quality and cost
When shopping for products or services, customers usually focus first on product quality and prices. These elements play a major role in generating sales. Learning more about them helps you assess how the quality of products or services and prices of your competitors compare with yours.
2. Target market
Determine the specific audience of your competitor and the reason why they reach out to these groups of customers. By understanding their niche market and how it’s connected with yours, you’ll be able to create better strategies.
3. Floor layout and design
A store’s floor layout and a menu board’s design impact how customers interact with your products and services and their purchasing decisions. They affect the store flow and traffic and direct the flow of customers’ eyes, which is why they have to be well-planned and strategic.
4. Customer engagement
When mystery shopping, take note of how your competitors engage their customers and address difficult situations. Doing so will help you understand their priorities and values to provide excellent service and experience to their customers.
5. Brand perception
A brand is a shared experience that helps customers understand the company better. This is a personality that has certain characteristics. Customer service, marketing campaigns, store designs, and more are all associated with the brand.
Assessing how the customers of your competitors perceive their brands allows you to see how the company represents its vision, mission, and culture.
6. Processes and procedures
Conducting mystery shopping gives you a glimpse of how your competitors run their day-to-day operations. This includes customer service, order processing, complaint handling, and other processes and procedures. Doing so helps you create opportunities for improvement for your business.
Mystery shopping is all about understanding your competitors and your business. By taking in new perspectives about your competitors and determining their overall business performance, you will acquire relevant information that allows you to create a competitive edge, evaluate your existing processes and strategies, and develop effective and creative solutions.
If you are interested in giving mystery shopping a try, then you’ve come to the right place. We are a professional mystery shopping company that specializes in conducting competitive analyses and profit-focused mystery shopping to help your business grow.