Purpose
Help business owners find their unique market position by mapping the competitive landscape and identifying differentiation opportunities. Stop competing on price and start competing on value.
When to Use
Use this Skill when someone needs to:
- Differentiate from competitors
- Develop or refine their positioning
- Enter a crowded market
- Respond to new competitive threats
- Justify premium pricing
- Clarify their unique value proposition
Step-by-Step Process
Step 1: Competitor Inventory
List their main competitors:
- Direct competitors - Same product/service, same market
- Indirect competitors - Different solution, same problem
- Aspirational competitors - Where they'd like to be
For each, capture: Name, positioning, target customer, price point, key strengths.
Step 2: Identify Key Dimensions
Determine the 2-3 most important factors customers use to choose:
Common dimensions:
- Price (Low ↔ Premium)
- Quality (Basic ↔ Best-in-class)
- Speed (Slow ↔ Fast)
- Service (Self-serve ↔ High-touch)
- Specialization (Generalist ↔ Specialist)
- Innovation (Traditional ↔ Cutting-edge)
- Scale (Enterprise ↔ SMB)
Ask: "When your ideal customers choose a provider, what 2-3 factors matter most?"
Step 3: Create the Positioning Map
Draw a 2x2 matrix with the two most important dimensions. Plot all competitors including the client's current position.
Look for:
- Crowded zones - Where everyone is competing
- Empty zones - Potential differentiation opportunities
- Desirable zones - Where ideal customers want to be
Step 4: Identify White Space
Analyze the map for positioning opportunities:
- Is there an underserved segment?
- Can you own a dimension competitors ignore?
- Is there a "best of both worlds" position available?
- Can you create a new dimension entirely?
Step 5: Craft Positioning Statement
Use this format: > For [target customer] who [has this need/problem], [Company] is the [category] that [key differentiation] because [proof/reason to believe].
Test the positioning:
- Is it specific enough to guide decisions?
- Does it resonate with target customers?
- Can you actually deliver on the promise?
- Is it defensible against competitors?
Step 6: Create Output Document
Generate a "Competitive Positioning Map" document containing:
- Competitor Overview Table
- Visual Positioning Map (2x2 matrix)
- White Space Analysis
- Recommended Position
- Positioning Statement
- Key Messages (3-5 proof points)
- What This Means for Operations
Voice Guidelines
- Be analytically rigorous - this is strategic work
- Challenge positioning that's too generic
- Push for specificity: "everyone" is not a target customer
- Validate that positioning is executable
- Warn against positions they can't actually own
Example
Input: SaaS founder competing with Salesforce and HubSpot for SMB CRM market
Output: Positioning Map showing:
- Crowded zone: Full-featured, premium price (Salesforce)
- Crowded zone: Easy to use, mid-price (HubSpot)
- White space: Industry-specific, mid-price (e.g., CRM for real estate agents)
- Positioning: "For real estate agents who waste hours on generic CRM, [Company] is the only CRM built specifically for real estate workflows, with templates and automations designed for how agents actually work."