Market Intelligence (MI) is the information relevant to a company's markets, gathered and analyzed specifically for the purpose of accurate and confident decision-making in determining market opportunity, market penetration strategy, and market development metrics. Market intelligence is necessary when entering a foreign market.
Organizationally, Market Intelligence can be the name of the department that performs both the market intelligence and competitor analysis roles. Competitive Intelligence describes the broader discipline of researching, analyzing and formulating data and information from the entire competitive environment of any organization. Business Intelligence of any kind may also be their responsibility, in tandem with (or solely performed by) the Finance department, for measuring market share and setting growth targets, the Mergers & Acquisition group for exploring acquisition opportunities, the Legal department to protect the organization's assets or R&D for cross-company comparison of innovation trends and the discovery of opportunities through innovative differentiation.
The importance of Market and Competitive Intelligence
If an organization wants to be close to the market it needs to fully understand it, including the roles that the competitors and customers play there.
An answer by clear benefits:
Market and customer orientation – promote external focus
Identification of new opportunities – e.g. identify new trends before our markets and competitors
Early warning of competitor moves – enable counter measures
Minimizing investment risks – detect threats and trends early on
Better customer interaction – inherit intensified customer market view
Better market selection & positioning – understand where your offer fits and discover untapped or under-served potential
Quicker, more efficient and cost-effective information – avoid duplication of report acquisitions and expensive consultant work