Market signals and competition assessment
Prospecting 8 min
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Business problem
A market can look ideal on paper (large TAM) and be dead in practice: companies aren't hiring, aren't investing, and the competition eats every topic. Assessing market attractiveness from statistics alone is a gamble.
Proven method
Market signals to check before entering:
- Hiring — how many companies in the niche are hiring (economic activity),
- Growth — new companies, new branches, funding,
- Marketing activity — whether companies in the niche invest in acquiring customers (that's their pain),
- Competition — how many sell a similar solution and what they say in their offers (gaps to exploit),
- New pain points — regulatory, technological and market changes that open a need. The rule: you pick a market where companies ALREADY invest in what you sell (confirmed pain), and the competition talks about the same thing as you — but worse.
Market example
- BAD
- Unstructured prospecting without ICP filters and generic outreach to random accounts.
- GOOD
- You analyze the 'marketing agencies' niche: 40 of 200 companies are hiring salespeople (a growth signal), half advertise as 'performance' (they invest in acquisition), and 3 competing tools sell 'CRM for agencies', but their messaging is generic ('be organized'). Your opportunity: 'a CRM that does follow-ups for the salesperson' — pain confirmed, competition weak in messaging.
Ready-to-use prompt
You are a market analyst. Context: I'm considering entering the niche [NICHE]. I sell [PRODUCT]. Task: Assess this niche's market signals: 1. Hiring: what to expect from job posts of companies in the niche (3 example roles that would signal growth) 2. Growth: 3 signals that indicate active expansion of companies in the niche 3. Competition: which 5 competitors might sell a similar solution and what their messaging looks like (1 sentence each) 4. 2 new pain points that could open a need for my product Format: 4 sections.
Model rekomendowany: Claude 3.5 Sonnet / GPT-4o Copy and paste into ChatGPT, Claude or Perplexity
ALTERNATYWNE SCENARIUSZE
Variations & alternative scenarios
Competition analysis version: AI proposes queries to find competitors in the niche.
New trend version: describe a market change (regulation, technology), AI assesses its impact on demand.
Practical exercise
For your niche check 3 signals: how many competitors, how many job posts in niche companies, whether companies invest in marketing. Write a conclusion: a market 'with the wind' or 'dead'?
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