Competitive Positioning

When to Activate

• Entering a new market and need to understand the competitive landscape
• A new competitor has emerged and is taking market share
• Sales team is losing deals to specific competitors and needs better positioning
• Refreshing competitive intelligence for annual planning
• Building sales enablement materials (battlecards, objection handling)
• Pricing decisions that require competitive context
• Evaluating potential partnerships or acquisitions in the competitive space

First Questions

1. Who do your customers consider as alternatives? (Not who you think — who they actually compare you to.)
2. Why do you win deals, and why do you lose them?
3. What do customers say about competitors in reviews, forums, and sales calls?
4. Which competitors are growing fastest, and why?
5. Where do you overlap with competitors, and where are you genuinely different?
6. Are there non-obvious competitors (spreadsheets, manual processes, "do nothing")?
7. What competitive intelligence do you already have, and how current is it?

Competitive Landscape Mapping

Step 1: Identify Competitors

Map competitors in three tiers:

Direct competitors — Same product category, same target customer. They solve the same problem the same way.

Indirect competitors — Different product category, same customer need. They solve the same problem a different way.

Substitute competitors — What customers use instead of any purpose-built solution. Often the real competition (spreadsheets, email, manual processes, hiring an intern).

Step 2: Build Competitor Profiles

For each significant competitor, document:

Company: [Name]
Website: [URL]
Founded: [Year]
Funding/Revenue: [If available]
Headcount: [Approximate]
Target Market: [Who they sell to]
Core Product: [What they sell]
Positioning: [How they describe themselves — use their own words]
Key Strengths: [What they do well]
Key Weaknesses: [Where they fall short]
Pricing Model: [How they charge]
Recent Moves: [Product launches, funding, pivots, hires in last 12 months]
Win Rate Against: [% of deals won/lost vs this competitor, if known]
Common Objections: [What customers say when considering them over you]

Step 3: Competitive Matrix

Create a feature/capability comparison matrix, but go beyond feature checkmarks:

Capability	Your Brand	Competitor A	Competitor B	Competitor C
[Capability 1]	Strong. [Detail]	Partial. [Detail]	None	Strong. [Detail]
[Capability 2]	Planned Q3	Strong. [Detail]	Basic	None
Pricing	$$, per seat	$$$, per seat	$, flat rate	$$, usage-based
Best for	[Segment]	[Segment]	[Segment]	[Segment]

Rules for honest competitive matrices:

• Never misrepresent competitors. Sales teams will lose credibility.
• Acknowledge where competitors are genuinely strong.
• Focus on capabilities that matter to buyers, not every feature.
• Update quarterly — competitive landscapes shift fast.

Positioning Against Competitors

Against a Market Leader

Do not compete head-to-head on their strength. Instead:

• Specialize. "We do X for [specific segment] better than anyone, because we are purpose-built for them."
• Simplify. "They have everything. We have exactly what you need — without the complexity."
• Modernize. "They built their platform ten years ago. We built ours for how teams work today."
• Service gap. "Same capability, but we actually support you." (Only if true.)

Against a Low-Cost Competitor

• Reframe the cost conversation. Total cost of ownership, not sticker price.
• Quantify the gap. "You save $X/month but lose $Y in [productivity/quality/risk]."
• Sell to value-driven buyers. Do not try to win price-sensitive buyers — that is their segment.

Against a Direct Competitor

• Find the wedge. Identify the one dimension where you are clearly superior and make every conversation about that dimension.
• Own a use case. Even if products overlap 80%, own the narrative for a specific workflow or scenario.
• Customer proof. Switcher stories are the most powerful weapon. "They used [Competitor] for two years, switched to us, and saw [Result]."

Against "Do Nothing" / Status Quo

Often the hardest competitor. The customer's current process is free and familiar.

• Quantify the pain. "You're spending 12 hours/week on this manually. That's $X/year."
• Show the risk. "Manual processes break at scale. What happens when you 3x?"
• Reduce friction. Make switching so easy that inertia is not a valid excuse.

Blue Ocean Strategy Basics

When the competitive landscape is crowded, consider creating uncontested market space:

Four Actions Framework

1. Eliminate. Which factors that the industry competes on should be eliminated?
2. Reduce. Which factors should be reduced well below the industry standard?
3. Raise. Which factors should be raised well above the industry standard?
4. Create. Which factors should be created that the industry has never offered?

Example — Cirque du Soleil:

• Eliminated: animal acts, star performers, multiple show arenas
• Reduced: fun and humor, thrill and danger
• Raised: artistic music and dance, venue environment
• Created: theme, refined watching environment, multiple productions

The goal is not to beat competitors but to make competition irrelevant by redefining value.

Competitive Response Playbook

When a Competitor Launches a New Feature You Have

• Do not react publicly unless customers are confused
• Arm sales with talking points that differentiate your implementation
• Consider whether to accelerate your own roadmap communication

When a Competitor Launches Something You Lack

• Assess real customer demand (is this a differentiator or a checkbox?)
• If critical: prioritize on roadmap and communicate timeline to at-risk customers
• If non-critical: prepare a positioning response ("We intentionally don't do X because...")
• Never badmouth — acknowledge and redirect

When a Competitor Cuts Price

• Do not match unless you can sustain it profitably
• Reframe the conversation around value and TCO
• If you lose price-sensitive deals, let them go — they were not your ideal customer
• Watch for quality or service degradation from the competitor that you can address

When a Competitor Gets Acquired

• Assess the impact on their product, team, and customers
• Watch for customer uncertainty — acquisitions create switching windows
• Prepare targeted messaging for their customers who may be evaluating alternatives

Battlecard Creation

Battlecards are one-page competitive reference documents for sales teams.

Battlecard Template

# Battlecard: [Your Brand] vs [Competitor Name]
## Last Updated: [Date]

### Quick Summary
[2-3 sentences: who they are, where they compete with us, our key advantage]

### Their Positioning (In Their Own Words)
[Quote from their website or marketing]

### Where They Win
- [Honest strength 1]
- [Honest strength 2]

### Where We Win
- [Our advantage 1 + proof point]
- [Our advantage 2 + proof point]
- [Our advantage 3 + proof point]

### Common Objections & Responses
| Objection | Response |
|---|---|
| "They're cheaper" | "[Value reframe with data]" |
| "They have [Feature X]" | "[Our approach + why it's better for the customer]" |
| "They're the market leader" | "[Why that may not serve this customer's specific needs]" |

### Landmines to Set
Questions to ask prospects that expose competitor weaknesses:
- "Have you asked them about [known weakness area]?"
- "What happens when you need [thing they can't do]?"
- "Can you talk to a customer in your industry who uses them?"

### Switcher Story
[Brief case study of a customer who switched from this competitor to you]

### Trap to Avoid
[One thing NOT to say or do when competing against this player]

Battlecard Maintenance

• Update quarterly at minimum
• Source input from sales (win/loss), product (feature parity), marketing (messaging), and customer success (switcher feedback)
• Keep to one page — if sales will not read it, it is useless
• Make them searchable and accessible (CRM integration, Slack bot, shared drive)

Quality Gate

Before finalizing competitive positioning:

• Competitor profiles are built for all direct competitors and top indirect competitors
• Competitive matrix covers capabilities that matter to buyers, not just features
• Positioning against each key competitor is documented with specific talk tracks
• Battlecards exist for the top three to five competitors
• Win/loss data has been incorporated (not just opinions)
• Positioning is honest — does not misrepresent competitors
• Sales team has reviewed and validated the competitive materials
• A refresh cadence is established (quarterly review at minimum)
• Competitive monitoring is in place (product changes, pricing, messaging, hiring signals)