Addendum Form to Competitor Analysis
Business Name | Date Prepared | Prepared By |
1. Quick Definitions
Type | Definition | Example |
Direct Competitors | Restaurants offering the same cuisine type, price range, and service style to the same target audience in your trade area. | A wood-fired pizza place competing with another two blocks away. |
Indirect Competitors | Restaurants or food businesses offering a different cuisine or format but satisfying the same customer need (hunger, occasion, budget). | A pizza place competing with a taco shop or a fast-casual salad spot for the same lunch crowd. |
2. Define Your Trade Area
Area Type | Radius / Drive Time | Notes (parking, foot traffic, delivery zones) |
☐ Urban | 1 mile / 5-minute drive | |
☐ Suburban | 3 miles | |
☐ Other | ______ |
3. Direct Competitor Capture Grid
Same cuisine, same price tier, same service style, same trade area.
# | Competitor Name | Location / Distance | Price Tier | Why They'd Win a Customer From You | Your Counter-Strategy |
1 | |||||
2 | |||||
3 | |||||
4 | |||||
5 |
Common Direct Threat Patterns (for reference while filling out above):
Pattern | Example | Why It's a Threat |
Same concept, same street | Two Italian trattorias on the same block | Customers choose on small differences — ambiance, wait time, loyalty points |
Same cuisine, same price tier | Two mid-priced sushi spots within 1 mile | Customers compare fish quality, service speed, value directly |
Chain version of your concept | A local burger joint vs. Shake Shack or Five Guys | Chains have marketing budgets, loyalty apps, predictable quality |
Same niche + same vibe | Two plant-based cafés targeting the same audience | Limited core audience — every customer they win is one you lose |
Full-service vs. full-service | Two family-style diners with similar menus | Families choose on kids' menu, parking, wait time — not cuisine |
4. Indirect Competitor Capture Grid — Same Occasion, Different Cuisine
Different cuisine or craving, but satisfies the same meal occasion.
# | Competitor Name | Occasion (breakfast/lunch/dinner) | Why They'd Win a Customer From You | Your Counter-Strategy |
1 | ||||
2 | ||||
3 |
Reference — Occasion-Based Competition:
Occasion | Example | Why They Compete |
Casual dinner | BBQ joint vs. Mexican cantina vs. pizza place | "Relaxed dinner out for ~$20/person" — cuisine is secondary to mood/budget |
Lunch | Sandwich shop vs. ramen bar vs. salad chain vs. food truck | Office workers have 45 minutes and a set budget — line length and craving decide |
Breakfast/brunch | Pancake house vs. bagel shop vs. smoothie bowl café | Morning hunger is format-agnostic — speed and coffee quality drive the decision |
5. Indirect Competitor Capture Grid — Same Dollar, Different Format
Different format entirely, but competing for the same customer spend.
# | Competitor / Format | Type (delivery, grocery, meal kit, entertainment, home cooking) | Why They'd Win a Customer From You | Your Counter-Strategy |
1 | ||||
2 | ||||
3 |
Reference — Format-Based Competition:
Category | Example | Why They Compete |
Full-service vs. fast casual | Sit-down pasta place vs. Chipotle/Cava | Customer wants quick, affordable dinner without tipping |
Dine-in vs. ghost kitchen | Your restaurant vs. a delivery-only virtual brand | Customer never leaves home — they compare ETA, fees, packaging |
Restaurant vs. grocery prepared foods | Your hot bar vs. Whole Foods hot bar / frozen meals | For solo diners/busy parents, convenience and price win |
Restaurant vs. meal kit service | Your specials vs. HelloFresh or local meal prep | Customers seeking convenience/portion control may subscribe instead |
Restaurant vs. entertainment venue | Steakhouse vs. movie theater, bowling alley, comedy club | Disposable income is fixed — "experience" competes with "meal" |
Restaurant vs. delivery aggregators | Your dining room vs. Uber Eats (even from elsewhere) | Aggregators train customers to stay home — you compete for app attention |
Restaurant vs. home cooking | Any restaurant vs. "I'll just cook at home" | Rising costs make this competitor stronger every year |
Coffee shop with food | Café selling avocado toast/quiche vs. your breakfast spot | Captures the quick pastry + latte crowd |
Bar with kitchen | Craft beer taproom vs. your casual pub | Wins after-work drinks + snack if your food is too formal/expensive |
Hotel restaurant (non-guests) | Hotel lobby restaurant vs. your independent bistro | Captures office workers/travelers without needing to advertise |
6. Competitive Scoring Matrix
Rate each top competitor 1 (weak) to 5 (strong) per category.
Competitor | Price | Speed | Convenience | Experience | Loyalty / Repeat Business | Total |
Your Restaurant |
7. Leak Point Self-Audit
Answer honestly — these are the blind spots most owners miss.
Question | Yes | No | Notes |
Do we track sales by daypart (are we losing lunch specifically)? | ☐ | ☐ | |
Do we have a delivery-only / ghost kitchen presence? | ☐ | ☐ | |
Do we compete effectively on speed for the lunch window? | ☐ | ☐ | |
Do we know our answer to "I'll just cook at home" — value, convenience, or experience? | ☐ | ☐ | |
Do we monitor grocery / meal-kit alternatives in our area? | ☐ | ☐ | |
Do we track what % of orders come through delivery apps vs. direct? | ☐ | ☐ | |
Do we have a loyalty program that responds to competitors' programs? | ☐ | ☐ | |
Do we know our hours-of-operation gaps vs. late-night/early competitors? | ☐ | ☐ |
8. Why This Matters — Strategic Reminders
If you only track direct competitors… | You also need indirect competitors because… |
You copy their menu prices. | They capture your customers when you're closed (e.g., late-night taco truck) |
You match their portion sizes | They win on convenience (delivery speed, parking, app UX) |
You react to their loyalty program | They win on a different craving — customer mood changes daily |
You ignore fast-casual or grocery | Your weekday lunch sales erode without you noticing why |
9. Top 3 Threats & Action Plan
Rank | Competitor / Threat | Why They're a Risk | Action Item | Owner | Review Date |
1 | |||||
2 | |||||
3 |
10. Worked Example (Reference Only)
A mid-priced pizza restaurant (dine-in + takeout)
Direct Competitors | Indirect Competitors |
Domino's — same delivery speed, lower price | Chipotle — same lunch budget, different craving |
Local wood-fired pizzeria — same price, same street | Ramen shop — same casual dinner mood |
Pizza Hut — chain recognition, loyalty app | Grocery store frozen pizza — $6 vs. $22 |
Another local Italian place — pasta + pizza mix | Burger King drive-thru — speed + convenience |
Key takeaway: If you only watch Domino's, you miss that 20% of lost lunch sales went to Chipotle — because they have a mobile order pickup shelf and you don't.
Next Review Date: ____________________
Reviewed By: ____________________