# How to Use AI for Competitor Analysis and Market Intelligence
In the fast-moving Australian business landscape, staying ahead of your competitors isn't just about working harder—it’s about working smarter. AI has democratised market intelligence, allowing small business owners in Brisbane and beyond to access the kind of deep-dive data that used to cost thousands of dollars in agency fees.
By leveraging Large Language Models (LLMs) and AI-powered research tools, you can identify gaps in your competitors' offerings, predict market shifts, and refine your unique selling proposition (USP) with surgical precision.
Prerequisites: What You’ll Need
Before we begin, ensure you have the following ready:- A list of 3-5 direct competitors (local or national).
- Access to a high-quality AI tool (we recommend ChatGPT Plus for its data analysis capabilities or Perplexity AI for real-time web searching).
- Your business’s current value proposition or mission statement.
- A basic spreadsheet (Google Sheets or Excel) to record your findings.
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Step 1: Define Your Competitive Landscape
Start by being specific about who you are competing with. Don't just look at the shop down the road; look at "indirect" competitors who solve the same problem. Action: Open your AI tool and provide it with context. Prompt Example: "I run a boutique landscaping business in Brisbane's northern suburbs. List 5 direct competitors and 3 indirect competitors (like DIY hardware stores or garden maintenance franchises) that target the same demographic."Step 2: Conduct an AI-Powered SEO Audit
You don't need to be a technical whiz to see what keywords your competitors are ranking for. Action: If using a tool with web-browsing capabilities (like Perplexity or ChatGPT with Browse with Bing), ask it to analyse a competitor's homepage. Prompt Example: "Analyse [Competitor URL]. What are the primary keywords they are targeting in their headers and meta descriptions? What services do they seem to be prioritising?"Screenshot Description: You should see the AI outputting a bulleted list of keywords and a summary of the competitor's service hierarchy based on their site structure.
Step 3: Sentiment Analysis of Customer Reviews
This is where AI truly shines. Instead of reading 500 Google Reviews manually, let the AI find the patterns for you. Action: Copy and paste a selection of competitor reviews (or provide the link if the AI can browse) and ask for a sentiment summary. Prompt Example: "Here are 20 recent reviews for [Competitor]. Summarise the top 3 things customers love and the top 3 recurring complaints. Use this to identify a gap in the Brisbane market."Step 4: Analyse Pricing and Packages
Understanding the price floor and ceiling in your local market is vital for your margins. Action: Ask the AI to compare service tiers across your list of competitors. Prompt Example: "Create a table comparing the pricing structures of [Competitor A], [Competitor B], and [Competitor C] for 'Standard House Cleaning' services. If prices aren't listed, infer their market positioning (Budget, Mid-range, or Premium) based on their website copy."Step 5: Evaluate Content Strategy
What kind of 'voice' are your competitors using? Are they educational, authoritative, or discount-driven? Action: Provide the AI with a link to a competitor's blog or social media feed. Prompt Example: "Review the last 5 blog posts from [Competitor]. What pillars of content are they focusing on? Are they addressing specific pain points for Australian homeowners?"Step 6: Identify Technological Advantages
Sometimes a competitor wins because their 'tech stack' is better. AI can help you identify what tools they are using. Action: Ask the AI to look for 'footprints' of specific software on their site. Prompt Example: "Based on the features visible on [Competitor URL], what CRM, booking system, or chatbot software are they likely using?"Step 7: Perform a SWOT Analysis
Now, ask the AI to synthesise everything into a classic SWOT (Strengths, Weaknesses, Opportunities, Threats) framework, but with a focus on your business versus the market. Action: Prompt Example: "Based on the data we've gathered about Brisbane landscaping competitors, perform a SWOT analysis for my business. My strengths are [X] and [Y]. Identify an Opportunity based on the weaknesses we found in competitor reviews."Step 8: Predict Market Trends
Use AI to look at broader economic data (like ABS reports or industry news) to see where the market is heading. Action: Prompt Example: "Search for recent news regarding the Australian housing market in 2024/2025. How might these trends affect the demand for luxury renovations in Queensland?"Step 9: Refine Your Unique Selling Proposition (USP)
With all this intelligence, it's time to pivot or polish your messaging. Action: Ask the AI to draft 3 variations of a new USP that directly addresses the gaps found in Step 3. Prompt Example: "Write 3 punchy USPs for my business that highlight our 'no-mess guarantee,' specifically because competitors in our area are frequently criticised for leaving sites untidy."Step 10: Set Up an Automated Monitoring System
Don't let this be a one-time task. Use AI to stay updated. Action: Set up Google Alerts for your competitors' brand names, then use an AI tool like Zapier to summarise those alerts and email them to you weekly.---
Pro Tips for Success
- Be Specific with Location: Australia is a diverse market. Always include your city or suburb (e.g., "Fortitude Valley" or "Greater Brisbane") to ensure the AI doesn't give you generic US-based advice.
- Verify the Data: AI can occasionally 'hallucinate' (make things up). Always double-check critical data points like a competitor's ABN or specific pricing before making major financial decisions.
- Check the 'Cut-off' Date: If using the free version of ChatGPT, remember its internal knowledge has a cut-off date. Use a tool with live web access for the most accurate market intelligence.
Common Mistakes to Avoid
- Ignoring Indirect Competitors: Don't just look at people who do exactly what you do. Look at who else is taking your customer's money.
- Over-reliance on AI: AI provides the data, but you provide the 'local's intuition'. If the AI suggests a strategy that doesn't feel right for your Brisbane clientele, trust your gut.
Troubleshooting
- The AI says it can't visit the website: Some websites block AI crawlers. In this case, copy and paste the text from the website manually into the chat interface.
- The data feels too generic: You haven't provided enough 'context.' Tell the AI more about your specific business size, your ABN status, and your typical customer's age and interests.
- Conflicting Information: If two AI tools give different answers, check the source links provided (especially in Perplexity) to see which one is more recent.
Next Steps
Now that you have a clear picture of your competitive landscape, it’s time to take action:- Update your website copy to reflect your new USP.
- Adjust your Google Ads strategy to target keywords your competitors have missed.
- Reach out to the team at Local Marketing Group to help turn these insights into a high-converting digital strategy.
Ready to dominate your local market? Contact us today for a comprehensive digital audit.