Marketing a business should not be a gamble or a series of guesses but a strategic plan that produces the desired results. Brand benchmarking assures that these goals are met and the business achieves success by identifying areas for improvement and gaining insights into its market position.
Using brand benchmarking services to identify your brand’s progress is a significant asset, and using expertise to understand your business ensures optimal results.
Define Key Performance Indicators (KPIs)
Key performance indicators, commonly called KPIs, are important benchmarking tools. They are measurable values that determine whether a business achieves its main objectives. Essentially, KPIs are used to evaluate business performance concerning strategic goals.
The specific KPIs will vary between industries and departments, but the following are commonly used to assess the business objectives.
- Revenue growth
- Customer satisfaction scores
- Employee productivity
- Profit margins
- Market share
- Return on investment
Assessing KPIs reveals valuable insights into business success, allowing business owners to make informed decisions moving forward.
Brand Benchmarking KPIs
When it comes to brand benchmarking, the following KPI exercises should be considered in conjunction with business goals and the existing strategy.
Competitor Analysis
Identifying competitors and evaluating their strengths, weaknesses, opportunities, and threats is critical in brand analysis.
When conducting competitor analysis, assess rival strategies, messaging, and branding tactics. The process involves taking a closer look at their product offerings, pricing strategies, marketing tactics, and distribution channels to understand their approach to gaining a competitive advantage. By identifying strengths and weaknesses, the brand can capitalize on its own advantages while addressing areas of improvement to stay ahead.
Consider the UAE telecommunications industry leaders Etisalat and Du. While Etisalat has a robust infrastructure and extensive coverage nationwide, Du focuses on innovative pricing strategies and tailored packages. A competitor analysis conducted by Etisalat will reveal its strength in network coverage while identifying Du's strategy of targeted marketing as a potential area for improvement.
Market Trends and Industry Standards
Market trends and industry standards are essential in brand benchmarking, guiding a business in responding to evolving customer preferences, technological advancements, and economic shifts. By understanding industry standards, businesses can assess their position to competitors accurately.
Assessing market trends and incorporating industry standards into the benchmarking process helps businesses make informed decisions, refine strategies, and set (relevant) achievable goals that align with the existing landscape.
Customer Perception and Feedback
Customer perception is a key metric that reveals how brand campaigns resonate with your target audience. Without customer support, there is no opportunity for revenue growth.
Taking the opportunity to leverage customer insights allows for transformative growth as feedback guides brands on how to tailor their products and services to meet the evolving needs of their target audience. Considering customer perception and incorporating feedback also fosters stronger customer relationships and improves brand loyalty.
Consider Jarir Bookstore, a leading retailer in Saudi Arabia that prioritizes customer feedback and has implemented several initiatives to enhance customer experience. For example, they have expanded product offerings, improved store layouts for better navigation, and introduced an online business channel to meet their customers’ evolving needs.
Brand Positioning
Evaluating the brand’s market position offers insight into the competitive landscape and where the company is situated. Understanding the brand position enables the company to make informed and strategic decisions by identifying opportunities for differentiation from competitors.
Understanding the brand’s position is key to refining the brand strategy as it enables businesses to align their offerings with their strengths and improve on their weaknesses. Being realistic about brand positioning ensures that the strategy is realistic and sustainable.
Digital Presence and Marketing Effectiveness
An increase in internet usage and the popularity of digital payment platforms has led to significant growth in e-commerce in the MENA region, a market that reached nearly $37 billion in 2022 (and is expected to reach $57 billion by 2026).
The same online growth is reflected in other online efforts. For example, nearly 50% of businesses in Egypt credit online search or search advertising for increased customers. Within the UAE, 71% of surveyed individuals relied on Google Maps to locate nearby businesses.
Analyzing online platforms — for both sales and marketing efforts — will continue to play a significant role in brand benchmarking.
Financial Performance
Assessing financial metrics is vital for gauging a company's fiscal health, identifying areas of strength and improvement, and making informed strategic decisions to drive growth and profitability.
As a brand benchmarking metric, financial performance reveals how the brand’s financial performance impacts competitiveness. A strong financial standing enables a company to invest in innovation, expand operations, and withstand market fluctuations.
Adaptability and Innovation
Monitoring market changes is another brand benchmarking exercise that helps companies stay aligned with evolving consumer trends. The process also reveals valuable insight into competitor strategies and industry dynamics, pointing at strategic ways to adjust the market approach.
It’s important that brands embrace innovation to adapt their products and services in a way that meets emerging market needs. Capitalizing on these opportunities enhances competitive edge and contributes to long-term success.
Employee Satisfaction and Internal Processes
A Glassdoor study discussed in Harvard Business Review revealed that each one-star improvement to a company’s Glassdoor rating corresponded to a “1.3 point out of 100 improvements in customer satisfaction scores,” which is considered a statistically significant impact.
Essentially, improved employee satisfaction positively impacts customer experience and should be considered a brand benchmarking metric. Internal factors such as employee morale, product quality, service efficiency, and company culture are inextricably connected.
Consider how the Emirates Group consistently invests in employee-enhancing initiatives such as training programs, wellness initiatives, and career development opportunities. As a result, Emirates Airlines is known to have some of the best customer service in the global airline industry.
Continuous Improvement
Finally, identifying opportunities for continuous improvement are brand benchmarking exercises that maximize brand potential. Considering ongoing processes is an essential step in remaining competitive and streamlining adaptability in an ever-evolving market.
Striving for continuous improvement also contributes to improved efficiency and innovation, laying the groundwork for long-term success. Consider how dynamic and responsive branding allows companies to adapt quickly to consumer preferences, market trends, and competitive pressures.
Ollen Group Brand Benchmarking Services
Ollen Group's brand benchmarking services offer comprehensive insights and strategies that ensure clients maintain a competitive edge and drive sustained success in their respective markets. Discover and apply your brand’s benchmarking insights to your strategy for continued success.
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