Competitor Research in 2026: Guide to Finding Gaps and Growing Faster

When was the last time you took a peek at your competition? If you plan on 2026 being your stand-out year, you’ll want to for the sake of your strategy. To stand out, you must know what’s out there, hence why researching your competitors is just the tip of the iceberg.

The integration of competitor research, market positioning analysis and customer feedback is a trifecta that can guide your business toward strategic excellence. Competitor research isn’t just a “once a year” task — it’s the foundation of strategic decision-making and a way to uncover market opportunities, improve your positioning, and beat your competitors sustainably.

What is competitor research?

Competitor research is the process of identifying your direct and indirect competitors, understanding what they’re doing and how, and using those insights to inform your business strategy.

Direct competitors sell the same or similar products/services to your target audience. Indirect competitors may solve similar problems differently or sell alternatives that draw the same customers.

An example of this could be if you’re a specialty cake baker. Your direct competition is other bakers in your area; however, your indirect competition is the supermarkets in your area or even online dessert subscriptions that are trying to steal your customers’ sweet tooth from you.

A quick Google search can help identify these competitors, but you may find it helps to look into industry-specific reports and databases to get a bit more insight into up-and-coming businesses and any niche players. This is particularly important for service-based businesses that run online and essentially compete globally, like consultants, planners and software companies.

Identifying competitors is not just about listing out names and evaluating their aesthetics, but rather understanding them. What are their strategies and market positions, and how are they interacting with their customers? Now that we’ve covered the why, let’s get started showing you how you can conduct your own research.

Step-by-Step Small Business Competitor Research Strategy

1) Identify Your Competitors (and Categorize Them)

Start with simple searches and expand into tools:

• Search your product/service + location or niche
• Use SEO & market tools (like Semrush, Ahrefs, SimilarWeb)
• Ask customers who else they considered before choosing you

Categories to include:

• Direct competitors
• Indirect alternatives
• Emerging challengers
• Bigger brands you aspire to compete with

Pro Tip: Building a list of 10 competitors gives better signal than just 3.

2) Map Their Online Presence & Marketing Channels

Look at how competitors show up where customers discover them:

• Website: UX, conversion paths, pricing structures
• Social media: Engagement types, posting cadence
• Search & SEO presence: Keywords they rank for, content topics
• Paid ads: What offers are converting on Google or Meta platforms

Understanding how they show up online reveals what customers see first — and what you have to beat.

3) Benchmark Their Marketing Strategy

Go beyond surface observation and ask:

• How are they acquiring customers?
• Are they using email, retargeting, partnerships?
• What messaging resonates?

Tools like Facebook Ad Library and LinkedIn Campaign Insights can help uncover competitors’ actual advertising plays.

4) Analyze Audience & Customer Sentiment

Understanding who their customers are gives insight into market positioning, not just tactics.

• Pull demographics from social platforms
• Review customer reviews on Yelp, Trustpilot, industry sites
• Look at feedback on Reddit, community forums, Q&A sites

Knowing customer sentiment helps you uncover unmet needs and pain points that competitors aren’t addressing. 

5) Perform a SWOT Analysis for Each Key Competitor

Turn raw research into strategic insight with SWOT (Strengths, Weaknesses, Opportunities, Threats):

Strengths	Weaknesses
What they do well	Where they struggle
Brand loyalty	Service gaps
Opportunities	Threats
Market trends they’re missing	Trends that could disrupt them

This framework turns competitor data into a strategy playbook for your business. 

6) Check Operational & Growth Signals

Small businesses can benefit from looking beyond marketing:

• Hiring activity on LinkedIn or Indeed
• Job listings that suggest growth areas
• Funding announcements and scaling signals (if applicable)

These signals often precede strategic shifts your competitors will make.

7) Track & Re-Evaluate Continuously

Competitor research is not a one-time task:

• Set alerts (Google Alerts, SEMrush Position Tracking)
• Automate monitoring of price changes, new campaigns, updates
• Use tools to save time — tracking manually means insights are often stale.
  

In 2026, real-time monitoring keeps you proactive, not reactive.

Understanding Customer Feedback and Reviews

While researching your competitors is important, who better to get nuanced insight from than your clientele? Customer feedback and reviews serve as unfiltered testimonials, providing a direct line into your strengths and weaknesses, as well as those of your competitors.

Check in with customers to see how they view your services and better understand their pain points. Moreover, customer feedback often unveils trend shifts within your industry. By staying attuned to these sentiments, you proactively stay on top of customer expectations and ensure your offerings are competitive.

Tools That Make Research Easier (Especially for Small Businesses)

Goal	Recommended Tools	Where Thryv Fits
SEO & Keyword Research	Semrush, Ahrefs, Ubersuggest	Uses insights from SEO research to optimize listings, content, and local visibility
Website Traffic Insights	SimilarWeb	Helps businesses improve their own online presence once gaps are identified
Ad Monitoring	Facebook/Meta Ad Library	Enables faster follow-up campaigns once competitors’ offers are identified
Customer Review Aggregation	Trustpilot, G2	Centralizes review monitoring, responses, and trend tracking
Social Listening	Brandwatch, Sprout Social	Helps manage and respond to engagement after identifying competitor strengths

How To Turn Insights Into Action

Competitor research shouldn’t just collect information — it should move your business forward.

• Use gaps in competitor offerings to differentiate your messaging
• Build marketing campaigns around topics competitors aren’t covering
• Elevate products/services based on customer frustrations found in reviews
• Improve your SEO focusing on keywords competitors rank poorly for

While many tools help you observecompetitors, small businesses often struggle with turning insights into action. Platforms like Thryv help close that gap by centralizing customer communications, online presence, reviews, and marketing follow-through — making it easier to respond quickly when competitors change their strategy.

Implementing these findings into your 2026 strategy is paramount for staying relevant and meeting the evolving demands of the market. This holistic approach not only helps you learn about where your business can leverage opportunities but also allows you to navigate any potential threats.

FAQ

Q: What is competitor research and why is it important for small businesses in 2026?

A: Competitor research is the process of analyzing direct and indirect competitors to understand their strategies, positioning, and customer engagement. In 2026, it’s essential for small businesses because AI-driven search, local results, and customer reviews amplify competitive differences faster than ever. Ongoing competitor research helps small businesses identify gaps, adapt quickly, and grow sustainably.

Q: How often should small businesses conduct competitor research?

A: Small businesses should treat competitor research as a continuous process rather than a one-time task. In 2026, quarterly reviews combined with real-time monitoring — such as alerts for ranking changes, reviews, or new campaigns — enable businesses to stay proactive as competitors update their pricing, marketing strategies, and customer experiences more frequently.

Q: What tools are best for small business competitor research?

A: The best competitor research tools for small businesses include SEO platforms like Semrush and Ahrefs, traffic analysis tools like SimilarWeb, ad monitoring through Meta Ad Library, and review platforms such as Trustpilot or G2. These tools help businesses analyze search visibility, marketing strategies, customer sentiment, and emerging competitors efficiently.

Q: How can customer reviews be used in competitor research?

A: Customer reviews provide direct insight into what competitors do well and where they fall short. By analyzing reviews across platforms such as Yelp, Google, and industry-specific sites, small businesses can identify unmet needs, service gaps, and common customer frustrations. These insights help refine messaging, improve offerings, and create stronger differentiation.

Q: How do small businesses turn competitor research into growth opportunities?

A: Small businesses can turn competitor research into growth by identifying gaps in competitor offerings, targeting underperforming keywords, improving customer experience based on review insights, and launching marketing campaigns competitors haven’t addressed. In 2026, success comes from acting quickly on insights, not just collecting data.