Regaining Market Share

Viewpoint by Phyllis Rothschild, Partner

Did you get caught off guard?  Incumbents often do because the bigger they get (and more successful), the more they become inwardly focused.  Try building an effective competitive radar system with this simple exercise:  Draw four concentric circles with your company as the center.  In the circle immediately surrounding you, place your nearest-in competitors – those you “grew up” with.  In the next ring, place the competitors that show up from time to time in the periphery of your business, or even new ones that are starting to steal your share.  Now, in the outer circle, plot those way-out players that you can never imagine having to contend with.  No matter what industry you’re in, you might as well include Wal-Mart or Google.  Don’t be limited by size or traditional industry barriers.  Once you’ve drawn this picture, label it “competitor radar screen” and start profiling everyone on it.  Add more to the lists and monitor how they’re serving or could serve your customers and how they currently or might perform.  Staying nimble and regaining share has a lot to do with knowing who your competition truly is – perhaps even before they do.