Understand the alternatives your customer already has.
Add your business, target customer and known competitors. The prompt separates direct competitors from indirect alternatives and focuses on evidence rather than simply generating a SWOT-style list.
Act as an experienced competitive intelligence analyst and business strategist. TASK: Conduct a structured competitor analysis for the business, product or service described below. MY BUSINESS / IDEA: [Describe your business, product or service.] TARGET MARKET: [Country, city, region or online market.] TARGET CUSTOMER: [Who are you trying to serve?] CUSTOMER PROBLEM: [What problem or need does your offer address?] MY PRODUCT / SERVICE: [Describe the main offer.] MY PRICE / POSITIONING: [Add pricing and intended positioning if known.] KNOWN COMPETITORS: [List competitors if known.] COMPETITOR WEBSITES / INFORMATION: [Paste URLs, notes, pricing, reviews or other information if available.] ANALYSIS GOAL: [Example: understand positioning, identify gaps, compare pricing, improve my offer, prepare for launch.] IMPORTANT COMPARISON CRITERIA: [List any factors that matter most.] CONSTRAINTS: [Budget, location, regulations, resources or other limitations.] COMPETITOR ANALYSIS REQUIREMENTS: 1. COMPETITIVE LANDSCAPE Separate competitors into: - Direct competitors - Indirect competitors - Alternative solutions Explain why each belongs in that category. 2. COMPETITOR PROFILE For each major competitor analyze, where information is available: - Target customer - Main products / services - Positioning - Value proposition - Pricing approach - Sales channels - Marketing channels - Strengths - Weaknesses - Customer experience - Differentiators Do not invent missing information. 3. OFFER COMPARISON Compare: - Core offer - Features - Service level - Convenience - Quality - Support - Customization - Delivery - Guarantees - Add-ons Use only relevant criteria. 4. PRICING COMPARISON Analyze: - visible pricing - pricing model - entry-level offer - premium offer - discounts or bundles - recurring charges Do not invent current prices. If pricing is unavailable, state: "Pricing not verified." 5. POSITIONING Identify how each competitor appears to position itself. Examples: - lowest cost - premium - specialist - convenient - fast - simple - comprehensive - local - enterprise - beginner friendly Base the conclusion on available evidence. 6. CUSTOMER REVIEWS If reliable reviews or customer feedback are available, identify recurring themes around: - satisfaction - complaints - quality - service - pricing - usability - reliability - support Do not treat one isolated review as a general customer opinion. 7. COMPETITOR STRENGTHS Identify strengths that would be difficult to compete against. Examples: - brand recognition - existing customer base - pricing power - technology - distribution - supplier relationships - expertise - convenience - strong reviews 8. COMPETITOR WEAKNESSES Identify weaknesses supported by evidence. Do not manufacture weaknesses simply to make my business look better. 9. MARKET GAPS Look for possible opportunities such as: - underserved customers - poor service - complicated solutions - missing features - high pricing - weak customization - slow delivery - poor education - limited local support - weak customer experience For each gap identify: - Evidence - Opportunity - What still needs validation 10. DIFFERENTIATION Recommend realistic ways my business could differentiate through: - specialization - customer segment - service - convenience - expertise - speed - customization - pricing model - education - support - user experience Avoid recommending differentiation that cannot realistically be delivered. 11. COMPETITIVE ADVANTAGE Separate: Temporary advantages: [Easy for competitors to copy.] Potentially defensible advantages: [More difficult to copy because of expertise, processes, relationships, data, brand, distribution or other factors.] 12. COMPETITIVE RISKS Identify risks such as: - price competition - established brands - low switching motivation - easy imitation - high customer acquisition costs - stronger distribution - technology advantage - market saturation Classify major risks as: - High - Medium - Low 13. OPPORTUNITY MATRIX Evaluate potential opportunities using: Opportunity: Customer value: Competitive intensity: Difficulty to execute: Evidence level: Priority: 14. STRATEGIC RESPONSE Recommend what the business should: - Compete on - Avoid competing on - Improve - Test - Monitor 15. VALIDATION PLAN Recommend practical ways to verify competitive assumptions. Examples: - competitor website review - pricing inquiries - customer interviews - review analysis - mystery shopping - marketplace comparison - product trials - search-result analysis - social media research Use legal and ethical research methods. 16. INFORMATION GAPS List important competitor information that is unavailable, uncertain or potentially outdated. 17. FINAL ASSESSMENT Summarize: - strongest competitors - biggest competitive threat - most promising gap - best differentiation opportunity - most important assumption to validate OUTPUT FORMAT: 1. Executive Summary 2. Competitive Landscape 3. Competitor Profiles 4. Comparison Table 5. Pricing Comparison 6. Positioning Analysis 7. Customer Feedback Themes 8. Competitor Strengths 9. Competitor Weaknesses 10. Market Gaps 11. Differentiation Opportunities 12. Competitive Advantages 13. Competitive Risks 14. Opportunity Matrix 15. Strategic Response 16. Validation Plan 17. Information Gaps 18. Final Assessment IMPORTANT: - Do not invent competitors, prices, reviews, features, market share or customer opinions. - Clearly distinguish verified facts from assumptions. - State when information is unavailable. - Flag information that may be outdated. - When current web research is available, prioritize official competitor information and recent credible sources. - Customer reviews may provide useful signals but should not automatically be treated as representative of all customers. - Do not automatically portray my business more positively than competitors. - Focus on evidence that can support an actual business decision.
Use the prompt effectively.
Start with the real competitors
Add the competitors you already know instead of relying on the AI to guess which businesses compete with you.
Define what matters to customers
Compare competitors using criteria customers actually care about, such as price, convenience, quality, service or specialization.
Look beyond direct competitors
Customers may solve the same problem using software, freelancers, spreadsheets, internal staff or simply doing nothing.
Turn gaps into tests
A competitor weakness is not automatically a business opportunity. Verify that customers actually care about the difference before investing.
Look beyond obvious competitors.
Business: Inventory-control setup service for small businesses.
Customers: Small retailers, distributors and e-commerce sellers.
Market: Local and remote small-business clients.
Offer: Inventory process review, spreadsheet tracker setup and stock-control procedures.
Goal: Understand what customers could use instead of this service.
Direct competition may include independent inventory consultants and small-business process specialists offering similar setup services.
Indirect competition may include inventory-management software providers and ERP implementation companies.
Alternative solutions include Excel templates, accounting software, internal staff and continuing with manual stock records.
Potential differentiation to validate: practical implementation for businesses that need better stock control but are not ready for a full ERP system.
Important research gap: Determine whether target customers are willing to pay for setup and process expertise rather than choosing inexpensive software or managing inventory internally.
Build a stronger competitor analysis.
Compare customer alternatives
Your biggest competitor may not be another company. It can be a spreadsheet, manual process, internal employee or the customer's decision to do nothing.
Verify current information
Competitor pricing, features and positioning can change quickly. Check current official sources before making important decisions.
Do not search only for weaknesses
Understanding what competitors do well can reveal the standards customers already expect and areas where competing directly may be difficult.