Most people launching a new business make one common mistake: They think a product with no competition is a golden ticket to success.
But for most businesses, it doesn’t work like that.
Having competitors is a good thing. It means your product is validated, there’s demand, and proven ways to sell it.
So how do you reverse-engineer others’ success to jumpstart your own?
That’s where competitive analysis comes in.
In this post, we’ll walk you through 7 steps to conduct a competitive analysis so you can figure out what works – and deploy your product or service for rapid growth.
Ready?
Let’s get into it!
What NOT to do When Conducting a Competitive Analysis

A lot of people think a SWOT analysis is the same as a competitive analysis.
It’s not.
In Expert Secrets, Russell Brunson reveals the key to a competitive analysis. The secret isn’t about making your own assumptions about your competitors’ strengths, weaknesses, opportunities, and threats.
It’s about understanding exactly how your competitors are selling to your market.
Details matter.
Here are two examples Russell shares in his book:
- Kids Don’t Have Credit Cards
- Russell shares the story of a friend who tried to launch a product in the video game niche. On the surface, the market seemed perfect – plenty of kids playing video games. But here’s the problem: kids don’t have credit cards. They couldn’t make the purchase, and convincing their parents to pay for a gaming course was a dead end. The business couldn’t scale due to a payment process issue.
- Engineers Have Credit Cards But Aren’t Buying
- Another Inner Circle member, Joel Erway, faced the opposite challenge. He targeted engineers with stable, well-paying jobs – people who could afford his coaching offers. But they weren’t willing to spend their money on personal development. After struggling for a year, Joel shifted to a market that was both willing and already buying coaching from competitors, and his success skyrocketed.
The people in each of these examples couldn’t grow their businesses because they made assumptions about how their competitors sold products.
But by diving deep into things like pricing models, payment options, current purchase activity, messaging, or advertising strategies, you uncover the granular insights needed to launch your business without confusing setbacks.
Below, we’re going to go over each of the elements you need to analyze.
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How to do a Competitor Analysis in 5 Steps
1. Finding 5-10 Competitors
To start, you’ll need to identify at least five and as many as ten competitors.
What if you can’t find businesses offering something similar to your product or service?
It’s rare. But if your offering is highly specific or niche, you’ll need to think laterally to identify competitors.
For example, let’s say you’re selling 1-to-1 coaching to help SEO agency owners manage their customer onboarding. You might not find direct competitors doing the same thing, but you can explore alternatives like:
- Books for SEO agency owners
- Online courses for SEO agency owners
- Paid membership groups for SEO agency owners
- Mastermind groups for SEO agency owners
- And so on…
How do You Find the Best Competitors?

Here’s a list of platforms to help you uncover competitors in your market:
- Google Search
- Search using keywords related to your product or service to see who ranks at the top of the results.
- TIP: Focus on “commercial intent” keywords, such as “buy,” “best,” or “for sale,” to pinpoint competitors who are actively selling similar products.
- Google Ads
- Similar to Google Search, here you’re looking specifically at sponsored results that appear at the top of the page.
- TIP: Competitors with multiple ads or recurring placements are likely seeing a return on investment – and worth analyzing closely.
- Facebook Ads Library
- A searchable database of ads running on Facebook and Instagram. Use relevant keywords to find ads targeting your niche.
- TIP: Use the “Active” filter to focus on ads currently running. Ads that have been running the longest are often the most successful.
- Amazon
- Perfect for finding competitors if you’re selling physical products.
- TIP: Check the product’s position on Amazon’s Best Seller lists to gauge its popularity and sales success.
- Social Media Platforms
- Platforms like Facebook, Instagram, and X are goldmines for identifying competitors. Search hashtags, keywords, or groups related to your niche to find relevant accounts or pages.
- TIP: Look for accounts with the most followers or engagement – they’re likely your strongest competition.
2. Primary Market Research
Start by creating a document or Google Sheet to organize the basic information about each competitor.
Sometimes, you’ll find that a company you thought was a competitor isn’t very similar at all – and you’ll need to revisit Step 1 to identify better matches. Other times, you might uncover 2 to 3 competitors who are very similar to your business.

To start your research, focus on these key areas:
- Company Size
- Look at the number of employees, company structure, and resources. A smaller company might indicate a niche focus and/ or a lightweight business model. On the other hand, a larger company may be a signal you’ll need more resources to compete.
- Target Market
- Identify who the competitor is selling to. Are they targeting individuals, small businesses, or a specific group of people? Understanding this ensures that you’re not about to sell to a market that isn’t currently buying.
- Age of the Business
- How long has the competitor been around? Be aware: A young business might not have fully validated its product or market fit.
- Value Propositions
- Dig into how competitors position their offerings. This includes:
- Pain Points: What specific problems do they promise to solve?
- Desires: What outcomes or transformations are they selling?
- Benefits: What practical advantages do they emphasize?
- Data/Social Proof: Do they showcase customer reviews, testimonials, or stats to build trust?
- Pricing
- Are they competing on price (low-cost leader) or value (premium pricing)? Do they use tiered pricing, free trials, or other models to attract customers?
- Revenue
- For publicly traded companies, annual reports can give information about revenue, debt, liabilities, and other performance metrics. For private companies, you might need to estimate success based on alternative signals like online reviews, customer base size, or ad spend (covered in the next steps).
3. Secondary Market Research
This is the step where we answer the critical question: How are your competitors driving traffic to their websites and funnels?
Russell Brunson recommends eliminating guesswork by using tools to uncover your competitors’ traffic sources. Some tools are free or have freemium tiers, while others are premium options.
Paid tools are a worthwhile investment to understand what’s working for your competition.

Here are some to consider:
- SimilarWeb: Offers an overview of traffic sources, including organic search, paid search, social media, and referrals.
- Ahrefs: Specializes in organic search traffic and backlinks, showing which pages are driving the most visits.
- SEMrush: Covers organic search, paid search, and display advertising, making it a well-rounded choice.
- BuzzSumo: Focuses on social media traffic, identifying the most shared content across platforms.
- Moz: Primarily known for its SEO tools, it helps you track keyword performance and organic search rankings.
What Can You Learn From Your Competitors’ Traffic Acquisition?
Most businesses rely on just 2–3 key traffic channels.
For each traffic channel, keep a record of specific ads, content, sales pages, or funnels that are driving the most traffic. These insights will become important in the next step where we analyze the sales processes.

But first, look at the major traffic channels relevant to each competitor:
- Google Search
- Using tools like Ahrefs or SEMrush, identify the competitor’s top-performing pages from Google traffic.
- TIP: Separate “commercial intent” pages (like sales pages) from “informational intent” pages (like blogs) – sales pages typically drive conversions, but informational content may bring in high-quality leads.
- Google Ads
- Find out which pages are attracting the most paid traffic.
- TIP: Look for ClickFunnels or similar tools behind the paid traffic pages – they’re often used for Google Ads campaigns targeting high-conversion funnels.
- Meta Ads (Facebook and Instagram)
- Use Facebook Ads Library to analyze ads run by the competitor’s official Facebook page. You can find this by navigating to the Facebook page, clicking “About”, then “Page Transparency”, then “See All”. If the company is running ads on Facebook or Instagram you’ll see a button reading “Go to Ad Library”.
- TIP: Use the “active” filter to find the longest-running ads. Ads running for a long time are usually the most profitable.
- YouTube
- Look for YouTube channels associated with the business and identify their most-viewed videos.
- TIP: Sort videos by popularity. If a few have disproportionately high views, the business may be running YouTube ads. Save these videos and any links in their descriptions.
- Organic Social Media
- Analyze their presence on platforms like Facebook, Instagram, and X. Focus on channels with a large following and high engagement.
- TIP: Check the “link in bio” or comments on popular posts to find how they’re directing traffic off-platform.
- Influencers/Affiliates
- Many businesses leverage affiliate websites or social media influencers for traffic.
- TIP: Use tools like SimilarWeb to identify referral traffic sources and track influencers promoting their offers.
- Traditional Advertising
- Some businesses still rely on traditional advertising methods like billboards, TV, or radio ads.
- TIP: Use tools like Ahrefs or SEMrush to track spikes in branded search traffic, which often indicate offline advertising campaigns.
4. Researching the Sales Processes
Now that you’ve identified where your competitors are driving traffic, it’s time to uncover what they’re actually selling.
Go back to the traffic sources you identified earlier. Look for the specific pages where most of their traffic is directed and analyze what the company is offering on those pages.
Here’s what to look for:
- Sales Pages
- These are often long-form pages that focus on a single offer. They’re typically unlinked from the main website navigation and emphasize urgency, such as a one-time offer or limited-time deal.
- Product Pages
- Standard eCommerce pages showcasing individual products, often including descriptions, images, reviews, and an “Add to Cart” button.
- Landing Pages
- Similar to sales pages but with a broader range of goals, such as booking a call, signing up for a newsletter, downloading a free guide, or watching a video. These are designed to capture leads and guide users into a funnel.
What to do Next?
Russell Brunson advises going beyond surface-level research and actually experiencing your competitors’ sales processes firsthand.
Here’s what that involves:
- Sign up for their newsletters or free offers: This often leads to discovering hidden sales pages and offers that aren’t visible to the public.
- Buy their product or service: Sometimes you’ll need to make a purchase. It’s a worthwhile investment to fully understand their pricing structures, upsells, guarantees, and customer experience.
Doing this will help you uncover:
- The complete sales process competitors are using
- The pricing structures and how they justify their costs
- Any guarantees, warranties, or refund periods offered to build trust
- The upsells and additional offers presented during or after the sale
- The promises and benefits they highlight to win over customers
- Social proof like testimonials, reviews, or case studies
- Access to current customers, including their support systems and communications
- The chance to evaluate the quality of their product or service firsthand

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5. How to Find a Red-Hot Market
In Expert Secrets, ClickFunnels co-founder Russell Brunson says the goal of competitive analysis isn’t to imitate – it’s to find red-hot markets where people are already selling… and carve out a unique niche.
Here’s what Russell says:
“Look around at the other experts in your submarket and see what they are selling. Where do you fit into the ecosystem? What can you offer people that’s different and special? The goal is to carve out a unique spot in that ecosystem where you can thrive. That’s your niche. And that niche is one of the keys to success…”
This brings us to the final step.
Part 1: Listing Out the Features
First, create a comprehensive list of the features of the products or services your competitors sell.
Set up a document or Google Sheet where you can organize the following information.
Then focus on gathering details for each competitor:
- Pricing Model
- Determine whether they use a one-time payment, subscription-based pricing, freemium offers, or tiered plans.
- Price
- Note the cost of the product or service, including any discounts or promotional pricing.
- Function
- Identify the primary function of the product or service. What problem does it solve? How does it promise to solve the problem?
- Features
- Look for features your competitors list out or emphasize for their products and services. Everything you can find on the sales pages, product pages, and so on.
- Target Market
- Pay close attention to who the product or service is for. Are there specific mentions of demographics, industries, or customer personas in the sales copy?
- Style/Design
- Examine the aesthetic or branding elements of the product. Is it sleek and modern? Bold and colorful?
- Warranties/Guarantees
- Note any guarantees, return policies, or warranties offered. These can indicate what risks competitors are addressing for their customers.
- Customer Support
- Look for mentions of support availability. Is it 24/7, limited hours, or self-service only? Some competitors may not offer explicit support at all.
Part 2: Finding Gaps
Now it’s time to identify the gaps, niches, and opportunities that will make your product or service unique.
The best method is to examine what customers are saying about existing products – specifically, where they feel underserved or what they believe is missing.

Here are some platforms to tap into customer feedback:
- Trustpilot
- Search for reviews of your competitors’ products or services. Trustpilot often features detailed customer feedback, especially for eCommerce and SaaS businesses.
- TIP: Focus on 2–4 star reviews – these often highlight products that customers like but feel could be improved. Avoid relying too heavily on 1-star reviews, as they may be spammy or overly negative.
- Google Reviews
- A great source for feedback on local businesses and service providers. Search for competitor reviews and note recurring themes.
- TIP: Same as Trustpilot – 2–4 star reviews often provide the most actionable insights.
- Facebook Reviews
- Check reviews left on competitors’ business pages. Many users leave detailed feedback on their experiences with products and services.
- TIP: Look for patterns in reviews – recurring suggestions or complaints often point to gaps in the market.
- Social Media Comments/Mentions
- Monitor competitor posts for customer comments or mentions. People often share their frustrations or suggestions directly in the comments or with posts that tag the company in question.
- TIP: Use social listening tools or hashtags to find mentions of competitors and analyze how customers engage with their brand.
- Reddit Threads
- Reddit is a goldmine for unfiltered customer opinions. Search for threads related to your competitors or their products.
- TIP: If you don’t find relevant threads, start one in a subreddit related to your niche. For example: “I’m interested in [product/service] – does anyone have recommendations or experiences?”
- Paid Groups/Memberships/Forums
- Join exclusive groups or forums where your competitors’ target market congregates. These are often filled with high-value conversations about unmet needs.
- TIP: If it requires a paid membership, consider it an investment. Engage respectfully and participate authentically to gather insights.
If you can’t find a lot of feedback about a specific competitor, then consider browsing Reddit threads or Facebook Groups where your target market shares struggles.
This will help you uncover unmet needs, unfulfilled desires, and pain points that they cannot solve at present.
Found a Gap? Here’s How to Make Sure You Have a Winner
When Russell Brunson and Todd Dickerson launched ClickFunnels in 2014, they knew they had a winning product from the start.
But they couldn’t get any sales at first.
It took numerous attempts – trying different messaging, advertising techniques, and trial-and-error campaigns – before they finally discovered the winning formula.
Sometimes, that’s just how it is.
So, how can you test your product or service quickly, without over-investing or wasting months on testing?
This is Where ClickFunnels Comes in…
ClickFunnels makes it fast and easy to set up funnels that test your ideas across different media.
Whether you’re running Google Ads, Facebook campaigns, or organic traffic strategies, you can direct visitors to professionally designed landing pages, sales pages, or opt-in forms – all without the need for coding or technical expertise.
But here’s the real game-changer: you can collect payments quickly and easily.
ClickFunnels allows you to integrate multiple payment options – subscriptions, one-time offers, or even upsells – giving you a flexible way to validate your idea. Those initial sales are the ultimate proof that your product or service has real potential.
In this article, we’ve walked you through:
- Finding competitors to analyze their strategies
- Conducting primary research to understand their businesses deeply
- Uncovering their marketing strategies to see how they drive traffic
- Researching their sales processes to understand how they convert customers
- Finding gaps to position your product uniquely in the market
Now, with ClickFunnels, you can take that research and put it into action – testing your theories, refining your messaging, and building a business that thrives.
Ready to get started?
Try ClickFunnels today and validate your idea the smart way.