Most SMEs fall into the same trap: they look at what competitors are doing and copy it. The logic feels sound — if it works for them, it’ll work for us. But here’s the reality: chasing competitor tactics is a race to the bottom.

Business’s don’t win by being a weaker version of someone else. It wins by knowing its own levers for growth — and pulling them with clarity and focus.

Here’s Why Why Copying Competitors Fails

Benchmarking has its place. But copying competitor tactics outright is usually a mistake.

  • You don’t know their numbers. That Facebook ad or discount strategy may be unprofitable for them.
  • It ignores your own context. Different customer bases, brand positioning, and margins mean what works for them may sink you.
  • It creates sameness. If every SME in your sector runs identical campaigns, customers stop noticing.

This is what I call the grey area in digital strategy — the confusion that comes from watching competitors instead of your own data.

Clearing the Grey: Where to Focus Instead

A growth strategy that fits your business isn’t about imitation — it’s about clarity. Here’s where SMEs should focus:

1. Data, Not Guesswork

Don’t copy campaigns because they look good. Track your own performance. CRO tests, CRM data, and channel analytics reveal where your actual growth opportunities lie.

Learn more about our Data & Analytics services.

2. Customer Value Over Competitor Noise

Ask: “What do our customers value most? ” Fast delivery? Trusted advice? Price certainty? Build growth around the answers that matter to them, not your competitors’ vanity metrics.

3. Differentiation Is the Real Advantage

Competing on the same terms as others forces you into discount wars and wasted ad spend. Differentiation — through experience, product, or positioning — gives you pricing power and loyalty.

Sometimes, the best growth lever is adding expertise through Fractional eCommerce Leadership or improving visibility with Local SEO.

Explore our Conversion Optimisation services.

Common Digital Strategy Mistakes SMEs Make

  • Confusing “competitor research” with “strategy”
  • Chasing short term tactics without clarity on ROI
  • Measuring success by activity, not outcome
  • Ignoring customer lifetime value in favour of new acquisition

These mistakes cloud decision making and trap businesses in cycles of reactive moves.

FAQ


Why is copying competitors a bad growth strategy?
Because you only ever match what’s already public. You’ll always be a step behind, and their goals, margins, or audience may not match yours.

What should SMEs focus on instead?
Clarity. Define your customer, problem, and differentiator first—then build offers and campaigns that express that advantage.

How do I benchmark competitors without copying them?
Analyse positioning, pricing, and messaging to spot gaps. Use the data for direction, not duplication.

What’s the risk of chasing every tactic competitors use?
You end up with fragmented efforts, wasted spend, and confused messaging. Strategy should dictate tactics—not the other way around.

How can SMEs build a unique growth plan?
Start from customer insight and business model, not marketing trends. Define your KPIs, test one change at a time, and measure results weekly.

The Takeaway

Competitor benchmarking is useful, but it’s not strategy. If you want growth that lasts, stop copying competitors and start clearing the grey: use your own data, double down on customer value, and build differentiation into every part of your digital strategy.

Ready to bring clarity to your growth? Book a discovery call.