Typically, benchmarking is classified by objects of comparison and by specific indicators. What types of benchmarking are most productive?
The effectiveness of each type depends on the area in which the company operates, resources, product and business capabilities. What types of benchmarking are most productive?
Based on the objects of comparison, benchmarking local marketing email list can be divided into two groups: internal and external.
External implies comparison with other companies:
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- with direct competitors, that is, competitive benchmarking;
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- with leaders or companies that operate in the industry but are not direct competitors, this is industry benchmarking;
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- with companies from other industries – general benchmarking;
- with business representatives they bring new ideas and experiences to the content from other countries – global benchmarking.
Internal benchmarking is when divisions, branches or business areas are compared within one company.
When conducting internal benchmarking, you can look at changes to the product and identify what works better. For example, you can measure user satisfaction with the current site interface compared to the previous version. And take user convenience and appearance as the main criteria for comparison.
In our practice, there are cases of using mobile lead benchmarking, where, thanks to studying competitors, some programs were improved, and the usability of sites was improved.
For example, the interface of the Interior Design 3D program website remained in the style of the 2000s for a long time. Our analysis of competitors allowed us to identify growth points and key tasks for updating the website design. As a result, after the redesign, it became easier for users to navigate the website, which led to an increase in sales.
Within the framework of comparison by indicators.
It is customary to distinguish four types of benchmarking:
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- strategic , when the business model and marketing strategy of the enterprise are assessed. Let’s say a competitor creates new markets through expansion – increasing the number of branches in the country, attracting freelance designers to one-time projects;
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- process , where the analysis of activities within the company takes place or the comparison of the business process structure used by it with similar aspects of the activities of other companies. This can be either the organization of work in the office or remotely, or processes related to the direct provision of design services;
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- functional . In this case, attention is focused on comparing indicators, rather than the mechanisms for implementing certain processes (functions) within the company, or on the quality of product design. For example, when analyzing mobile applications, you can look at whether it is easy for users to find information, whether there is personalization of the design for different audience groups, and whether built-in tips are implemented;
- comparative . This is where performance indicators are studied. For example, you can compare a company’s annual revenue, website conversion, or the number of sales of specific services.
What methods and tools for collecting information are used in the process
Conducting benchmarking is painstaking work, especially when researching large players in the market.
The following will help you to achieve your goals:
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- Marketing intelligence – collecting information about the strategies used by competitors;
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- analysis of current data – determining how and with the help of what methods successful companies develop their business;
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- recording and structuring the information received. In parallel with this, the data received is assessed for applicability of similar experience in your situation;
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- competitor analysis is the study of the experience of similar brands and companies from the same industry;
- comparison – comparing your company’s strategies and business processes with others.
