How to Analyze SaaS Competitors: Find Gaps & Opportunities

Learn how to analyze SaaS competitors to identify gaps, pricing opportunities, and features worth building before launching your product.

Introduction

Competitor analysis isn’t about copying ideas — it’s about understanding what already exists and finding what’s missing. Almost every successful SaaS product entered a market with competitors, but won by doing something simpler, faster, or more focused.

So in this guide, I will show you how to analyze SaaS competitors in a practical, beginner-friendly way.

saas competitor analysis overview

Why Competitor Analysis Matters in SaaS

Competitors help you validate three important things:

  • There is real demand for the problem

  • People are willing to pay for solutions

  • The market has room for improvement

No competitors usually means no market. Too many competitors just means you need better positioning. So it is very important to find SaaS problems worth solving.

Step 1: Identify Direct and Indirect CompetitorsStart by listing:

  • Direct competitors (solve the same problem)

  • Indirect competitors (solve it differently)

Example:

  • Direct: SaaS tools with the same core function

  • Indirect: Spreadsheets, manual workflows, or generic tools

Search Google using:

  • “best [problem] software”

  • “[problem] tool for [user type]”

Step 2: Study Their Core Features

Visit competitor websites and note:

  • Main features highlighted on the homepage

  • Features locked behind paid plans

  • Features users complain about missing

Ask yourself:

  • Are they solving too many problems at once?

  • Is the product overcomplicated?

This helps you design a simpler MVP.

saas feature comparison checklist

Step 3: Analyze Pricing & Positioning

Pricing reveals a lot about the market.

Look at:

  • Free plans vs paid plans

  • Monthly vs annual pricing

  • Entry-level pricing

Key insight:
If pricing is high and complex, there may be space for a low-cost or niche alternative.

Step 4: Read Reviews and User Complaints

User reviews are gold.

Where to look:

  • Review platforms

  • Reddit discussions

  • Community forums

  • Blog comments

Pay attention to:

  • Repeated complaints

  • Missing features

  • Poor onboarding or support

These frustrations often become your SaaS differentiators.

Step 5: Evaluate Their Marketing Strategy

Analyze:

  • Blog content topics

  • SEO keywords they target

  • Social proof and case studies

  • Onboarding flows

If competitors rely heavily on content, SEO, or ads, you can learn:

  • What keywords convert

  • What messaging resonates

  • What channels work best


Step 6: Find Gaps and Opportunities

saas marketing strategy analysis

After analyzing competitors, ask:

  • Who are they not targeting?

  • What is unnecessarily complex?

  • What features could be optional instead of mandatory?

Your opportunity usually lies in:

  • A specific user group

  • A simpler workflow

  • Better UX

  • Lower pricing

Final Thoughts & Practical Advice

Competitor analysis isn’t about beating others — it’s about learning from them. The best SaaS ideas improve existing solutions rather than inventing entirely new markets.

Final advice: study competitors deeply, then build something narrower, simpler, and more user-focused. That’s how most successful SaaS products are born.

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