How to Do a Digital Marketing Competitive Analysis in (with a bit of sparkle)

How to Do a Digital Marketing Competitive Analysis in (with a bit of sparkle)

Imagine us, coffees in hand, leaning over a laptop as we get ready to run a digital marketing competitive analysis, figuring out how we can get ahead of the competition, experiment with new potential ideas and review what we’re doing (and what’s working, or not). It’s the one time you get to snoop (ethically!) at your competitors, see what’s working for others, discover new brands and ideas and figure out where your magic fits in.

Why Bother with Competitive Analysis?

Sometimes as marketers, or small-biz owners, it feels like you’re shouting into the void. You publish blog posts, run ads, post on social media, but it doesn’t always land. A proper digital marketing competitive analysis helps you avoid wild guessing. It gives you a map of your landscape, who else is playing your game, how they play it, and where you might carve a niche.

• You can see what works for others (and maybe why).
• You spot gaps or areas that competitors ignore, or do poorly.
• You learn about audience behaviours: what attracts them, what turns them off.
• You get smarter about where to invest your time and budget (SEO, social media, content, ads, whatever).
• You stop for a moment to actually look at the work you’ve done (or not done).

As one agency puts it, ‘competitive analysis turns into smart positioning and strategic advantage’.

Step-by-Step: How to Do It Properly

Here’s how I’d walk you through it… But preparation is key, so first set yourself up with a decent Google Sheet doc so you can track and note WHAT you need to look at for each step.

1. Identify your “real” competitors – direct and indirect

Don’t just list the obvious players. Think wider. Direct competitors are those offering the same type of service/product to a similar audience. Indirect competitors meet the same customer needs, but maybe with a different offer or format.

Tools to use: Google Search, SimilarWeb, SEMrush, Ahrefs.

For example: if you sell online coaching for wellness, your direct competitors are other wellness-coaches; but indirect ones might include fitness apps, self-help blogs, or even local gyms.

2. Gather data: peek at what they do

Once you know who you’re “competing” with – start with a little snooping. But in good faith, with curiosity:

• Visit their websites: what pages do they have, what’s their structure, what tone of voice do they use, what’s their user journey like? Are they using lots of blog posts, ebooks, gated content, or free downloads?
• Explore their content: blog topics, social media feeds, videos, newsletters, frequency of posting, formats (long-form, video, infographics, etc). What kind of engagement do they get (comments, shares, likes)?
• Check their SEO footprint: What keywords are they ranking for? Which pages seem to bring traffic? Which content types seem to work for them?
• If relevant: peek at their ads, paid campaigns, and offers. What platforms are they using? What messages, CTAs, pricing, or incentives?

3. Compare: what they do vs what you do (or want to do)

This is where things get interesting. Once you have the data, line it up against your brand’s current efforts or plans. What are they doing better? Where are they missing the mark? Where do you have a chance to do something different? Maybe more authentic, more niche, more bold.

This is about understanding patterns: what resonates, what converts, what feels like noise. Digital marketing competitive analysis isn’t just about charts or leaderboards; it’s about uncovering why specific strategies work and finding the smarter opportunities for you to move in.

4. Wrap it up with a framework: use SWOT (or more)

To bring clarity, it’s handy to use a framework. A popular one is SWOT analysis! That is, evaluating Strengths, Weaknesses, Opportunities, Threats.

• Strengths: What you (or they) do well (strong SEO, loyal audience, awesome content, great user experience, niche positioning).
• Weaknesses: Where things fall short (weak social presence, poor mobile user experience, inconsistent posting, lack of engagement, outdated site, slow loading times).
• Opportunities: Gaps in the market. Unmet needs, underserved niches, content they’re not covering, new channels, shifting trends.
• Threats: What could challenge you e.g. rising competitors, algorithm changes, saturated keywords, shifting consumer tastes, aggressive ad spend by others.

You can even do SWOT for yourself and for 2–3 main competitors side by side, to compare more clearly – pull out the Google Sheet doc again.

What Comes After the Analysis? Turning Insight Into Action!

Let’s be honest, data on its own is pretty boring. The real value shows up when you take what you’ve learned and actually do something with it.

Use your insights to guide your content strategy.

Spot the topics your competitors skip or the formats they never touch. That’s your chance to create something fresh and genuinely useful.

Fine-tune your SEO and keywords.

Focus on long-tail or overlooked search intent. These are often much easier to rank for than the big, crowded keywords everyone is fighting over.

Pick your marketing channels with intention.

Maybe your competitors nail their blog content but barely touch video. That might be your cue to explore YouTube, Reels, or other channels they haven’t tapped into.

Shape your tone of voice.

If everyone else sounds “professional and polished,” try leaning into something more friendly, human, and approachable. A small shift can make you instantly stand out.

Keep monitoring and revisiting your analysis.

This shouldn’t be a one-off exercise. Markets change, competitors evolve, and new opportunities pop up. Check back in every few months to stay ahead of the curve.

A Quick-Faux Example (to Illustrate)

Imagine you run a small online shop selling eco-friendly candles. You map out 3 competitors – one sells premium candles, one sells budget ones, one sells candle-making kits.

You notice Competitor A dominates Instagram, posting beautifully styled images + reels twice a week; Competitor B posts erratically; Competitor C focuses on long blog-posts teaching candle-making.

Their SEO shows high ranking on generic keywords like “natural candles UK,” but a few long-tail terms like “soy candle for sensitive skin” have lower competition.

In your SWOT you realise:

• Your strength = sustainable sourcing + storytelling
• Weakness = small audience, low content volume
• Opportunity = long-tail niche keywords + behind-the-scenes content
• Threat = premium competition with bigger budgets + potential new market entrants.

So you decide: commit to consistent content (blog + reels), use long-tail SEO terms, lean on sustainability stories, and try community-building (user testimonials, UGC).

See? Suddenly you’ve got a plan that’s not guessing – it’s informed.

What I’d Do If I Were You, Starting From Scratch

If I were you, I would sit down with that blank digital marketing competitive analysis Google Sheet doc:

• List down 5-10 potential competitors (direct and indirect).
• Open a spreadsheet with columns like Website / Content Style / SEO Keywords / Social Presence / Ads / Comments.
• Over a week or two, gather data – visit, screenshot, and note-taking.
• Do a SWOT for each, and one for yourself.
• Pick 2-3 key learnings and treat them as “experiments” or “test ideas.” Try them. See what works.

Digital marketing competitive analysis is detective work with a purpose. It’s about understanding the environment, knowing who else is playing in your sandbox, and figuring out how you can play better or differently.

If you do it with empathy, curiosity and honesty, you’ll learn a lot about yourself as a brand. And maybe, just maybe, you’ll uncover the exact spark that sets you apart.

I hope this little blog-style guide helps you feel confident to dig into your competitors, snoop with care, and walk away with fresh ideas! If you would like more guidance on this then please feel free to reach out anytime and let’s chat!