Big data analytics services on cloud are becoming mainstream technology allowing cost-effective fast deployment of customer's Big Data applications giving quicker insights from their data. It is, therefore, even more important that we have a high performance platform base and application at a fair cost. This is only achievable if we make a transition from the usual approach to execute and measure performance by using new AI methods such as Machine Learning (ML) & predictive approach to performance benchmarking for each application domain.

When evaluating the outcomes of marketing and PR efforts, it’s vital to analyze two perspectives: what is the trend of outcomes and how do your results relate to your closest opponents?

What is performance benchmarking?

How does your business stack up against your competitors? A benchmarking process matches your brand with best-in-class models, so you can update across the board. Ensure your business runs efficiently and cost-effectively. 

Performance benchmarking tool is a great instrument, if you’re looking for constant improvements in your business processes. But, you’ll be spending your time if you only benchmark upon yourself. 

First up, you need to discover the processes in your company that keep it running efficiently, from your internal messaging mechanism to your product’s time to market. Then, pit them upon other companies and business standards. 

Benchmarking definition

Benchmarking is a method of estimating the performance of a company’s goods, services, operations, methods against other companies - known as best-in-class - or the broader marketplace. 

The most popular metrics for benchmarking include cost per unit, time to create, product/service quality, effectiveness, time to market, customer happiness and loyalty, brand perception.

Benchmarking upon leading companies will find insights to help you understand how your brand matches, even if they’re in a different production or have a different audience.

Why is benchmarking important?

Performing a benchmarking process will benefit your business and get stronger. Operations will be more effective. Quality increased. You’ll save money while growing revenue. Studying best-in-class organizations, identifying why their methods work so well, will enable constant improvement within your company. 

Competitive analysis

By analyzing your performance with that of your opponents - what they’re doing right and what they’re doing wrong -, you’ll recognize areas in your business that can be changed. Gaining the competing edge.

Goals

No doubt you’ve already chosen your business goals, but benchmarking goals are another. They’re about enhanced performance of your company methods. They’re competing. But, as with your business objects, they must be possible. 

Benchmarking basics

Benchmarking is a method to measure the performance of your company’s results, services, processes, operations. The data gathered should then be related to an industry-standard - a benchmark.

It’s all about improving how your business works—making it run easily and efficiently. Ensuring you’re not losing money. You are grabbing a bigger portion of your industry. 

• Recognize where other brands are performing more qualified than you, and how
• Match your competitors’ processes with yours
• Examine the data collected and perform changes to improve your processes, products, services.

Benchmarking classifications

There are many forms of benchmarking. 

Internal benchmarking

Collect information on your performance at different periods - days, weeks, months, or during different situations- through a PR crisis, product launch, event - and find the most vulnerable areas. Processes that can be increased, such as turning leads to customers, onboarding new team members, etc.

The benefits of internal benchmarking are that you have entrance to all the data you require, and it’s a quicker process. 

Competitive benchmarking

How do your opponents’ methods and operations role? 

Unlike competitor study, where a brand tries to gain the competitive edge by shifting into areas missed - new innovations, countries to target, etc. Competitive benchmarking includes finding insights to show how their processes work related to yours. And, will know industry performance standards.

Strategic benchmarking

Strategic benchmarking is when you analyze your performance with best-in-class players. Your data collection shouldn’t be restricted to your own business. You’ll be looking at brands that have established success in a particular manner.

This benchmarking will support the overall appearance of your business. It seems to be your long-term plans compared to other brands. Suggested changes that result from strategic benchmarking are not fast fixes. You’ll be considering your core competencies, new product growth, etc. 

Performance benchmarking method

The benchmarking method doesn’t have to be complicated. I’m going to share the key steps involved, which work across all businesses.

Strong benchmarking is quantitative and qualitative. You’ll be matching your business with competitors, and with organizations outside your industry. 

The plan

You’ll be required to get top management onboard and provide allot time, workforce, money. You’ll also need their involvement to support any major differences resulting from your benchmarking, such as new product construction, training, and buying new tools.

Choose methods that are essential to your company’s progress. Those that provide you the competitive edge. They require to be measurable, so you can manage the metrics to be compared. 

The collection of data

You’ll be collecting data from several sources. From the company you wish to benchmark against, and data that’s publicly available - websites, press releases, publications. When researching, consider market research, surveys, questionnaires, onsite/telephone interviews, etc. 

Using social media analytics, you’ll also be able to gather information from online conversations, blogs, forums, review sites. Information that will reveal sentiment towards a brand, consumer feedback on products, services, and processes. 

Benchmarking example - customer service

Wanting to improve customer service, a brand should compare its processes with those of its top competitors. The successful ones. Identify what they’re doing that’s working. 

Online or brick and mortar business, identify how are they talking to customers? What language are they using? Do they use ‘how to’ videos to help customers? 

Many offline industries - restaurants, bars, etc. - will use mystery customers as part of their benchmarking process. For example, a person going to a bar, ordering a drink, food. Checking the standard of cleanliness, customer service, upselling offers. 

The analysis

All important data collected, it’s time to analyze. 

Data visualization instruments are going to help your process. It’s way more comfortable for people to get images, than pages of numbers.

Classify the gaps in your methods - compared to the company your benchmarking against - where your production is letting you down. 

Time to implement

You’re going to need a plan of activity. 

You’ve got the gaps, and you understand how to fill them. It’s going to mean possibly big changes, and you’ll need your managers and your team onside. Guarantee you have the resources you need to complete the improvements. 

Once everything is in point, you’re on your way to a winning benchmarking method.

Ongoing evaluation

For your benchmarking to be prosperous, you have to monitor periodically. What process has been done? How have the differences affected your business processes? Do you need to make changes to improve extra? 

Benchmarking marketing

Benchmarking your marketing plans enables you to evaluate whether they’re as great as they can be. You’ll need to begin by reviewing your existing projects and tracking the frequency of operations. Engagement rates. Results they bring - changes, new customers, open-rates, etc. 

Having gathered all your data, you’ll be able to make changes and increase ROI.

Product performance

High-performance organizations look to find the methods, operations, offerings that are important to their business. They test their power and effectiveness against best-in-class companies. 

Benchmarking your marketing methods allows you to monitor the influence of your campaigns. This will lead to an enhanced marketing strategy and an improvement in leads.