Six Angles of Competition

As information is gathered for a competitive assessment, it is most helpful to structure it in a meaningful way. A good methodology to use is the Six Angles of Competition as shown in the figure. In this figure the various competitive angles include: (1) Direct competitors: solve the same buyer problems the same way your company does. (2) Alternative use competitors: solve different buyer problems the same way your company does. (3) Substitute competitors: solve the same problems in a different way than your company does. (4) Economic competitors: solve different problems for buyers in different ways to compete for the same budgets that your company does. (5) Complementary competitors: work together with your company to solve a problem but then compete for the larger share of the combined revenue. (6) Buyers: have a propensity and the ability to solve for themselves a problem they would otherwise pay your company to self. These six angles of competition facilitate the organization of the information that the competitive intelligence data collection uncovers.