Creating a Competitive Set Analysis

It was first suggested to my by one of my Praxis advisers (Amanda Grimmett) that I conduct a competitive set analysis during the last few weeks of January, so now I’m doing it!

What is a Competitive Set Analysis?

A competitive set analysis is a study of a select group of businesses and how they compare to one another.

I know.  That definition wasn’t super simple.  Here, I’ll explain it by telling you what I have done so far and what I hope to achieve with this project.

Hope’s Competitive Set Analysis – Week 1

I decided beforehand that I wanted to do my study on local bakeries – specifically the wedding cake department because it was specific enough and I assumed that all cake shops would at least offer that option.

Monday, February 5th, 2018:

I visited each bakery’s website and either found their email address, or found a form to fill out online.  I emailed each of them and timed how long it would take me to get through their “funnel.”  To me, I counted that as how long it would take me for them to give me a price estimate.

Tuesday, February 6th, 2018:

I visited each bakery’s website again to test how many clicks it took me to get to their page about wedding cakes, how easy their site was to navigate, and how much information was presented. 

Wednesday, February 7th, 2018:

I visited Bakery C, D, and E and compared them based on cleanliness, atmosphere, and their costumer service.  This part felt kind of weird because I had to tell everyone who asked that I was “just looking” and then I ended up leaving without buying anything and they probably thought I was weird.  Oh well 🙂

Thursday, February 8th, 2018:

I visited the remaining bakeries – Bakery A and B.  Bakery B was tragically closed by the time I arrived there (my fault for not checking hours!), so I will have to combine my study of their store with when I go taste their cake (yes, I get to taste all the cake, and you should be jealous).

Friday, February 9th, 2018 (TODAY!):

Today I am analyzing my results thus far and sharing them with you all 🙂

This is my chart that I am using to keep track of all my stats:

 

Below are my full thoughts on each bakery (I give each category a score from 0-5 and the point totals are added accordingly):

BAKERY A:

I have not even gotten through their funnel yet.  Their response time for my initial email was about 19 hours (3 points), and they have not responded to my second email and it’s been 3 days (1 point).  The email I DID receive was somewhat helpful, but the person emailing me didn’t seem particularly pleased that I emailed, which gave me the impression that they don’t really want my business (2 points).

I searched “wedding cake bakeries” in google, and Bakery A shows up as #2 in the local snippet, even though the person who emailed me said that they only do small wedding cakes….weird (2 bonus points).  In addition, it only took me 2-3 clicks to find the information I was looking for (4 points), so that was easy and convenient, except they have this weird navigation page to get to their actual home page…I think it’s because they’re kind of two stores in one.  But they give a lot of information on their contact page, and they list prices as well! (4 points)

The in store service was very nice! (3 points)  The lady behind the counter answered my questions promptly and engaged in conversation easily.  The store was kind of inviting, but it was very small and didn’t have much space to move around.  It looked more like a cafe than a bakery.  No one was there to greet me upon entering either, though she did wish me good day when I left.  AND – it was SUPER hard to find a place to park!  Very frustrating 🙁 (2 points)

On the scale of “do you want to buy a cake from us?” I give Bakery A 4 points because the cross sections of their cake were on display and they looked SO DELICIOUS!

Total score for Bakery A so far: 25

BAKERY B:

The response time for the first email was a little less than 2 days (2 points), and it only took me 3 more hours after that to get through their funnel (2 points), which isn’t bad!  And their email was very cordial and useful!  I was able to receive a price minimum on wedding cake orders, tasting info, and the process for the creation of wedding cakes was somewhat explained. (4 points)

When I search for “wedding cake bakeries,” they show up 3rd in the local snippet (1 bonus point).  When I search for “wedding cakes,” they show up 2nd (2 bonus points), and it only took me 1-2 clicks to find information about their wedding cakes (5 points).  It was very easy to navigate their website, I found information about ALL their flavors (pictures included!), and information about tastings as well! (5 points)

Unfortunately, Bakery B was closed when I went there to test in-store costumer service and such…but I will schedule a tasting and then I will be able to test all that and then I will assign them a score.  For now, I will give them a neutral 3 all around just for points’ purposes (this will more than likely change when I am able to visit the store).

Total (tentative) score for Bakery B so far: 30

BAKERY C:

I was through their funnel in a little less than 2 days (1 point) – they ended up calling me instead of ever emailing me (4 points), and the lady that called gave me ALL their pricing information and told me how their process works!  She was so nice on the phone, it almost made up for the fact that I hadn’t heard a single thing from them in 2 days (4 points).  Almost.

It was VERY hard to find information about their wedding cakes online (1 point), but once I did find it, all of my questions were pretty much answered.  It took me 5 clicks (1 point) to find the information.

I was not greeted upon entry of the store, but I was wished good day upon my exit.  I was not talked to very much and kind of ignored a bit, but I was answered promptly upon asking about full size cakes (2 points).  The store itself was kind of inviting – if you like a very modern feel.  It had a very upbeat atmosphere and modern decor.  However their store was very clean, even the bathrooms (3 points).

On the scale of “do you want to buy a cake from us?” I give Bakery C 2 points because they had so many BEAUTIFUL cupcakes on display, but limited full sized cakes to show in the store, and they were not out in the open (I thought at first that they didn’t have any to display at all).

Total score for Bakery C so far: 18

BAKERY D:

This bakery got back to my initial inquiry in about an hour (5 points)!  Granted it seemed like an automated reply, but it was still nice.  I was through their funnel in about 2 days (2 points), and their costumer service via email was pretty cordial, but not super exciting. They gave me times for their tasting events without me asking; however, they were not able to give me a price estimate at all which was disappointing (3 points).

When I searched for “wedding cakes,” they showed up 3rd in the local snippet (1 bonus point), and I was able to find their information on wedding cakes in 1 click (5 points)!  The information was clearly laid out with all their options – very quick and easy (5 points)!

Their store was very nice!  I was greeted upon entry and the smells were WONDERFUL (4 points)!  The atmosphere of the place was inviting because of the delicious smells, beautiful displays, rustic charm, and comfortable feeling.  It was the most spacious store of the 5 as well.  There was some dirt on the floor, but other than that, it was very clean (5 points).

On the scale of “do you want to buy a cake from us?” I give Bakery D 5 points because of the amazing displays of wedding cakes that were available for viewing, and because the store smelled so delicious 🙂

Total score for Bakery D so far: 35

BAKERY E:

My initial email was answered within 5 hours, which was the second fastest time (4 points).  However, they had the FASTEST TOTAL FUNNEL TIME!  I was through in less than 24 hours (5 points)!  Their responses were super useful, and they even sent me a brochure explaining pricing and everything else I needed to know as well!  The emails were very polite too – I felt like I was talking to a real person the whole time (5 points).

Their website….I sadly couldn’t find any information on wedding cakes AT ALL (0 points).  The number of clicks is therefore irrelevant, but I put down 10 clicks (0 points).

Being in their store was very pleasant, and it wasn’t awkward at all (I didn’t feel like I was being watched). (5 points).  It was also very pretty!  Kind of a mix between modern and classic bakery, but more on the classic side so it was rather charming.  And although the store is small, they make good use of their space so it doesn’t feel super small!  It was very clean and charming (5 points)!  If I had to use one word, I would use “cute.” 🙂

On the scale of “do you want to buy a cake from us?” I give Bakery E 3 points, mainly because I would LIKE to buy a cake from them, but not a wedding cake….

Total score for Bakery E so far: 27

What I Learned So Far:

Well, there you have it!  Sorry this post was so long!  I have learned that each bakery is super unique (including their strengths and weaknesses!) and I have a feeling that I’m going to continue to have that impression for the remaining weeks of this project!

Why am I doing this?  Because I thought it would be interesting and fun!  But more importantly, I wanted to get a better grasp of operations (I am going to create a SWOT analysis in week 4), and sales (knowing your competition!).

Here are the ranks so far:

• Bakery D – 35 points
• Bakery B – 30 points
• Bakery E – 27 points
• Bakery A – 25 points
• Bakery C – 18 points

I am excited to continue with this project, and if any of y’all are getting married soon, I will have a bakery pinned down for you by the end of the month 😉

 

Until next time,
Hope Frances