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SEODigital MarketingUpdated October 19, 2026

SEO Competitor Analysis: A Step-by-Step Process for Local Businesses

How to run an SEO competitor analysis: choose competitors, find keyword gaps, compare pages, links, local and AI visibility, and rank the fixes.

Dr. Salman Sabir, PTPublished October 19, 202622 min read
SEO Competitor Analysis: A Step-by-Step Process for Local Businesses

An SEO competitor analysis compares your website with the sites that win the searches you want, so you can see which keywords, pages, links and local or AI mentions explain the gap. Most guides suggest comparing yourself with three to five true search competitors, and a useful review covers five areas: who actually ranks, which keywords they hold that you do not, how their best pages are built, where their links come from, and how visible they are in local results and AI answers. The main variables are your market, how many pages and links each site has, and whether you sell in one city or nationally. If you want a team to run the research alongside a full plan, 2Marketing’s SEO services in Toronto include keyword and competitor research, and the steps below show what that work involves so you can do it yourself or judge someone else’s.

SEO competitor analysis at a glance

  • Competitors to compare: 3 to 5 true search competitors is a common recommendation, and it is easier to act on than a list of 20
  • Core areas to review: 5 (rankings, keyword gaps, page quality, backlinks, local and AI visibility)
  • Canadian search interest: about 140 searches a month for “seo competitor analysis”, with a 12 month range of 20 to 590 (DataForSEO estimate, national figure)
  • Keyword difficulty for that phrase: 51 on DataForSEO’s scale, so the topic is fairly contested
  • Google Search Console’s Performance report defaults to the past 3 months of your own site’s data
  • Google says appearing in its AI features needs no special markup or AI text file, only an indexed page that is eligible to show with a snippet

Terms used in this guide

  • Search competitor: a website that ranks for the searches you want, even if it sells something different from you.
  • Business competitor: a company that sells to the same customers, whether or not it ranks well.
  • Keyword gap: a search term a competitor ranks for that your site does not.
  • Backlink gap: a website that links to a competitor but not to you.
  • Referring domain: a separate website that links to a page. Ten links from one site count as one referring domain.
  • Authority score: a third-party metric from tools such as Moz, Ahrefs or Semrush. It is not a Google metric and Google does not use it.
  • Share of voice: the portion of tracked searches or AI answers in which a brand appears, compared with competitors.

How deep to go depends on the business. A dentist in one neighbourhood mainly needs to understand the local pack, reviews and a handful of service pages. An online store competes with large marketplaces and needs a product and category view. A software company may care most about comparison pages and link sources. The keyword figures here are tool estimates for Canada rather than city level numbers, they are not a traffic forecast, and a third party tool will never show you a competitor’s real analytics. Treat every number as a pointer to investigate, and check the live search results yourself before acting on it.

Key takeaways

  • Start with the searches that bring customers, then work out who ranks for them. Your fiercest business rival may not appear in the results at all, while a directory or a blog might.
  • A keyword gap is only a lead. Check the intent of the search and whether your site could realistically offer a better answer before you plan a page.
  • Compare pages, not only domains. A competitor with a strong site can still have a weak page for the exact search you care about.
  • Backlink data is useful for spotting where credible sites mention your category. It does not justify buying links, which Google lists as a link spam practice.
  • Local businesses should compare Google Business Profile completeness, review volume and review replies as well as website content.
  • AI answers vary from one run to the next, so one screenshot proves little. Repeat prompts and record patterns.
  • Finish with a ranked action list. An analysis that produces a 60 page spreadsheet and no decisions has not done its job.

What is an SEO competitor analysis?

It is a structured comparison between your site and the sites that currently appear for the searches you want. The output is a short list of decisions: pages to write or improve, links worth pursuing, local profile fixes and technical issues that put you behind. It answers a practical question, which is why somebody else is getting the click you were hoping for.

The word competitor causes most of the confusion. In SEO there are two lists, and they rarely match.

Type of competitorHow to recognise themWhy they matter for SEOExample for a Toronto renovation company
Business competitorSells a similar service to your customersShapes pricing, offers and positioningAnother renovation firm serving the GTA
Search competitorAppears in results for your target searchesDecides who gets the visit before your site is consideredA home improvement blog, a directory or a city guide
Local pack competitorAppears in the map results for a nearby searchCompetes for calls, directions and reviewsBusinesses with a Google Business Profile close to the searcher
AI answer competitorIs cited or named in AI generated answersInfluences what people read before they clickReview sites, forums and agencies that AI tools quote

A useful analysis looks at all four groups, but starts with search competitors, because that is where rankings are decided. If you only study the firms you see at trade shows, you will miss the pages that are actually taking your traffic.

When is a competitor analysis worth doing?

It pays for itself when you have to make a decision and lack the evidence. Typical moments include planning a new site, entering a new service or city, losing rankings for a page that used to perform, building a content calendar and choosing between an agency proposal and doing the work in house. It is less useful as a monthly ritual with no question attached.

Question you are trying to answerWhat the analysis looks atDecision it supports
Why are we not on page one for our main service?The pages that rank, their intent and depth, links and local signalsRewrite the page, add supporting pages or fix a technical issue
Which new pages are worth writing?Keyword gaps filtered by intent and difficultyA content plan with a sensible order
Are competitors getting links we could earn?Referring domains and the type of site that links to themOutreach, digital PR or partnership ideas
Why do others get the calls from Google Maps?Profile categories, photos, reviews, replies and service areasProfile and review improvements
Do AI tools mention us at all?Repeated prompts across assistants, and which sources get citedContent and mention strategy
Is an agency proposal realistic?How many pages and links the leaders haveBudget and timeline expectations
Light wooden meeting table with a closed laptop, blank index cards and a pad of sticky notes
An illustrative scene generated with AI, not a photo of a real office or project. A competitor review works best when you write the questions down before you open any tool.

How do you choose which competitors to study?

Choose the sites that stand between you and the click. Open a private browser window and search the ten to fifteen phrases that customers would plausibly type, including service plus city searches, problem searches and comparison searches. Note which domains appear repeatedly. Semrush’s own guide recommends aiming for three to five competitors, and that range is sensible because it keeps the later steps manageable.

Where can you find search competitors?

  • The results pages themselves, noting repeated domains across your target searches.
  • The competitor or organic competitor reports in tools such as Semrush, Ahrefs, Moz, SE Ranking or SpyFu, which estimate overlap in ranking keywords. Google does not publish this for sites you do not own.
  • The map results for local searches, which often show a different set of businesses from the organic list.
  • People Also Ask boxes, forums and review sites that appear for your category, since these may belong in the analysis even though they are not rivals.
  • AI assistants. Ask them for recommendations in your category and note which sources they cite. Treat the answers as a sample, not a ranking.

Who should you leave out?

Large marketplaces and national publishers may rank for everything, but you cannot copy their position, so use them to understand intent and format rather than as targets. It is also reasonable to exclude a competitor that has a different business model or serves a market you do not. A short list of comparable sites teaches you more than a long list of unrealistic ones.

Competitor candidateKeep or drop?Reasoning
A local firm of similar size ranking just above youKeepClosest to a realistic target
A national brand with thousands of pagesUse for format ideas onlyIts authority is not reproducible in the short term
A directory or marketplaceKeep for intent, not for tacticsYou may need a listing there rather than a competing page
A blog ranking for informational searchesKeep for content analysisShows what searchers want to read
A business that does not serve your areaDropRankings reflect a different market

Which tools can you use?

You can do a useful first pass with free resources, and paid tools mainly save time and add estimated data about other people’s sites. None of them show a competitor’s real traffic or conversions. Estimates differ between vendors, so pick one tool for trend tracking and avoid mixing numbers from several. Tool features and prices change often, so check each vendor’s own pages before buying.

ResourceTypically used forLimits to remember
Google search results (private window)Seeing who really ranks, which formats win and which features appearResults vary by location and personalisation, so repeat from a clean browser
Google Search ConsoleYour own queries, pages, clicks and impressionsShows your site only, not competitors
Google Business ProfileYour own profile data, plus public view of competitors’ profilesCompetitors’ internal performance data is private
Semrush, Ahrefs, Moz, SE Ranking, SpyFuEstimated competitor keywords, traffic, links and gapsEstimates, different databases and refresh cycles, paid plans for full data
Screaming Frog or a similar crawlerCrawling a competitor’s public pages to compare titles, headings and structureOnly the public site, and large crawls take time
SpreadsheetCollecting findings and ranking actionsOnly as good as the notes you put in
AI assistantsSampling how brands and sources appear in answersAnswers change between runs and between accounts

Your own data is the other half of the comparison. The Search Console Performance report defines clicks as the number of times a user clicked your site from Google Search results, impressions as how often your site appeared, click through rate as clicks divided by impressions, and average position as the position of the topmost result from your site. Keep your own numbers beside the competitors’ estimates so you can see where you are already doing better than the tools assume.

How do you do an SEO competitor analysis step by step?

The sequence below works for most small and mid-sized sites. Each step has a purpose and a deliverable, so you can stop at any point and still have something useful.

StepPurposeDeliverable
1. Set the questionAvoid collecting data with no useOne sentence goal and a list of target searches
2. Choose competitorsNarrow to realistic comparisons3 to 5 domains
3. Review live resultsSee intent and format first-handNotes per search
4. Find keyword gapsIdentify missing topicsFiltered keyword list
5. Study the winning pagesLearn what a better page needsPage comparison grid
6. Compare links and mentionsSpot credible sourcesShort list of link ideas
7. Compare local and AI visibilityCover map and answer resultsProfile gaps and prompt samples
8. Check technical basicsFind avoidable weaknessesIssue list
9. Rank the actionsTurn findings into decisionsPrioritised plan
10. Re-check on a scheduleTrack change without constant noiseQuarterly review

Step 1: Set the question and the target searches

Write the goal in one sentence, such as finding out why a service page stalls on page two or deciding which three articles to publish next quarter. Then list the searches that matter. Include the money phrases (service plus city), the problem phrases, and a few comparison phrases. Ten to twenty is plenty.

Step 2: Build the competitor shortlist

Use the method in the previous section and record each domain, why it belongs on the list and which target searches it appears for. If a domain appears for only one search, it is probably not a core competitor.

Step 3: Read the live results before you open a tool

Search each target phrase and write down what you see. Is the top result a service page, a guide or a comparison? Do map results appear? Is there a video pack, a forum thread or an AI overview? This step can change the plan. If every page one result is a long guide and you only have a short service page, the issue is intent and depth, not authority.

Step 4: Find the keyword gaps

A keyword gap report lists terms where competitors rank and you do not. Export it, then filter before you get excited. Remove brand names, searches that do not match your services, and anything outside your service area. Group what is left into topics, because ranking for a topic usually needs one strong page, not ten thin ones.

Gap typeWhat it looks likeTypical response
Missing pageCompetitors have a page for a service or question you never coveredCreate a page that fits your services
Weak pageYou have a page, but it is shallower or less relevantRewrite and expand it
Wrong intentYour page is a service page and the results are guides, or the reverseCreate the format searchers expect
Local gapCompetitors have pages for areas or services you serve but never mentionAdd genuine local content where you really work
Not worth chasingHigh difficulty, unrelated or low value to your businessIgnore it

Here is a hypothetical example, with no real numbers. A Toronto bathroom renovation firm finds that two competitors rank for a search about bathroom renovation permits, and it has no page on the subject. It checks the live results, sees that the top pages are practical guides, and decides a guide fits its services and could help customers who are early in the process. The gap became a page because the intent matched the business, not because a tool flagged it.

Step 5: Study the winning pages

For each important search, open the top two or three results and compare them with your page. You are looking for what a searcher gets from them that they would not get from you.

What to compareQuestions to ask
Intent and angleIs the page selling, teaching or comparing? Does yours match?
CoverageWhich subtopics does it answer that you skip?
StructureHeadings, tables, step lists, FAQs and summaries
EvidenceOriginal examples, named sources, dates, first-party data
Trust signalsAuthor details, reviews, certifications, contact information
FreshnessLast updated date and whether the details are still current
Internal linksDoes the site link to related pages that support it?
ExperienceSpeed, mobile layout, readability and a clear next step

Word counts mislead. Google’s guidance on helpful content asks whether a page provides substantial value compared with other pages in search results and offers original information or analysis. Length alone does not answer either question, and a long page that repeats itself will not help a reader. Read the people-first content guidance from Google and use its questions as a checklist for your own page.

Step 6: Compare backlinks and mentions

Links help search engines discover pages and are one of many signals, so understanding where competitors earn them is useful. Look at the number of referring domains, the type of sites that link, which pages attract the links, and whether links are earned through content, local relationships, press or partnerships. Run a backlink gap report to find sites that link to two or more competitors but not to you.

Use this data to find legitimate opportunities such as local associations, supplier pages, case study mentions, events and trade publications. Do not treat it as a shopping list for paid links. Google’s spam policies list buying or selling links for ranking purposes and excessive link exchanges as link spam, and say paid links that are properly qualified with rel=”nofollow” or rel=”sponsored” are not a policy violation. A competitor’s links may include practices that carry risk, so a large link count is not proof of a good strategy. For the work involved in earning links, see our guide to planning a link building campaign and our link building services page.

Step 7: Compare local and AI visibility

If you serve a local area, look at the businesses that appear in the map results. Google Business Profile Help says local results are based mainly on relevance, distance and prominence, so compare the factors you can influence: categories, services, photos, reviews and how owners reply. Our Google Business Profile optimization checklist walks through those items, and the local SEO services page covers how 2Marketing approaches Google Maps ranking.

For AI answers, run the same set of questions several times across the assistants your customers might use, then record which brands and sources appear. Because answers change between runs, look for patterns across many runs. Google states that its AI features need no special markup or AI text file and that pages simply need to be indexed and eligible to show with a snippet, as described in its AI features documentation. That means the comparison should focus on the same fundamentals: useful pages, clear information and credible mentions. Our post on SEO versus GEO explains how the two overlap, and the AI visibility tracking page describes the monthly tracking service 2Marketing offers.

Step 8: Check the technical basics

You rarely need a full audit of a competitor, but you can compare visible basics: page speed on mobile, whether the site uses HTTPS, how deep important pages sit, and whether the site uses clear titles and descriptions. If your own site has indexing, speed or crawl issues, fixing those may matter more than anything you learn from a rival. Our guide to SEO audit services explains what a proper audit covers, and the technical SEO and schema services page describes the technical work 2Marketing offers.

Step 9: Turn the findings into a ranked action list

Score each finding by likely impact, effort and risk, and then pick the top five. The matrix below is a simple way to do it. It uses judgement, so write your reasoning in a note beside each score.

ActionImpactEffortPriority
Fix a page that is close to page one and has the wrong intentHighLowDo first
Create a new service page for a clear gapHighMediumPlan next
Build a guide to capture early stage searchesMediumMediumSchedule
Pursue links from a relevant local associationMediumMediumSchedule
Rebuild the whole site structureHighHighOnly with evidence
Chase a high difficulty head termUnclearHighDefer

Step 10: Re-check on a schedule

Repeat the analysis every quarter, or after a major change such as a redesign or a competitor launching a large section. Keep a dated copy of each review so you can see what changed. If you already receive a monthly report, add a short competitor section rather than a separate document. Our post on what a useful SEO report includes explains how to structure it.

How should you read competitor data without being misled?

Most mistakes come from reading estimates as facts. A tool’s traffic number is a model built from keyword rankings and click assumptions. It can be useful for comparing sites in the same tool, and it is a poor guide to a competitor’s real visits, leads or revenue.

MetricWhat it really isCommon misreading
Estimated organic trafficA modelled estimate from ranking positions and search volumeTreated as actual visits
Keyword difficultyA vendor score, different in every toolTreated as a promise a page will or will not rank
Authority scoreA third-party link based score, not a Google metricTreated as a Google ranking factor
Search volumeAn estimate of monthly searches, often a rounded rangeTreated as traffic you would receive
Ranking positionVaries by location, device and personalisationTreated as a single fixed number
Referring domainsA count of linking sites, quality varies widelyAssumed that more always means better

Correlation is the other trap. If every top result has a table, a table may help, or it may simply be what the topic needs. Test an idea on one page, measure it over a reasonable period, and keep a record of what else changed. Treat a single competitor’s tactic as a hypothesis for your site and test it before copying it.

How much of this can a small business do alone?

Steps 1 to 5 need only a browser, a spreadsheet and some patience. A short list of searches keeps them manageable. Steps 6 to 8 are easier with a paid tool and more experience, and step 9 benefits from someone who has seen how similar sites responded to similar changes. If you do not have the time, a part-time consultant or an agency can run it. Our guides to hiring an SEO consultant in Canada and finding a successful SEO company cover how to choose.

ApproachBest forWatch out for
Do it yourself with free resourcesOne location, a small search list, limited budgetTime cost, and tool estimates may be missing
Do it yourself with one paid toolOwners comfortable with spreadsheets and dataSubscription cost, and the temptation to collect too much
Freelance consultantA one-off review or second opinionScope, who owns the data and what follow-up is included
Agency as part of ongoing SEOBusinesses that want analysis tied to executionReports with no decisions, or a generic template

What does 2Marketing offer for competitor research?

2Marketing is a Toronto-based digital marketing agency. Its SEO services page lists keyword and competitor research among the work, and describes a five-step process that begins with an audit covering technical, content and competitor factors and a review of Search Console and analytics data. The page says every engagement starts with a free audit of your site, rankings and competitors, with a fixed monthly quote sent afterwards. It also says a free AI visibility check is available, which looks at whether ChatGPT, Gemini or Perplexity mention your business, and a free 30 minute call can be booked.

On pricing, the same page states ranges of $1,500 to $5,000 per month for small and mid-sized businesses and $1,000 to $3,000 per month for local SEO at one location, with competitive or multi-city work quoted after an audit. The page does not state a currency or what each range includes, so confirm both before you compare it with another proposal. Its timelines are framed as expectations and not guarantees: foundation work in months 1 to 2, growth in months 3 to 6, and competitive terms moving over months 6 to 12 and beyond.

For a local business, the local SEO page describes a free local SEO audit that includes a geo-grid map of current rankings across the service area, and the free local AI SEO report is another way to start. For broader measurement, marketing analytics and call tracking covers GA4 and dashboards. If you are comparing costs, our older SEO pricing guide is dated, so treat its figures as background and use the service page for current statements.

If you would like a second opinion on a competitor review you have already run, you can request a free SEO audit or book a free consultation.

What should you ask a provider about competitor analysis?

  • Which competitors will you analyse, and how will you choose them?
  • Which data sources and tools will you use, and what do their estimates miss?
  • Will I receive the raw data as well as a summary?
  • How will you separate keywords worth targeting from ones that only look attractive?
  • How will the findings be turned into a scheduled plan?
  • Do you use link tactics that Google’s spam policies warn against?
  • What is the timeline, and which parts are estimates?

What mistakes make a competitor analysis useless?

MistakeWhy it hurtsBetter habit
Studying only business rivalsMisses the pages that actually take the clicksStart from the search results
Copying a competitor’s pageAdds nothing new and risks duplicationWrite a more complete, original answer
Chasing every keyword gapWastes effort on irrelevant termsFilter by intent, service and location
Trusting traffic estimatesLeads to wrong expectationsUse estimates for direction only
Ignoring your own dataYou may already rank for terms you think are gapsCheck Search Console first
Buying links because a competitor has themPolicy and quality riskEarn mentions that would exist without search engines
Producing a report and stoppingNo change to the siteEnd with five ranked actions and owners
Running it onceCompetitors keep changingReview quarterly

A 30 day competitor analysis plan

WeekFocusOutput
Week 1Goal, target searches, competitor shortlist, live results notesOne page brief
Week 2Keyword gaps and page comparisons for the top five searchesFiltered gap list and page grid
Week 3Backlinks, local profile and AI answer samplingLink ideas, profile fixes, prompt log
Week 4Technical comparison, prioritisation and first fixesRanked action list and the first change live

What should you do this week?

Pick five target searches, run them in a private window, and write down who ranks and what format they use. That alone gives you a first-hand view of the results your customers see. Then decide whether the gap is a missing page, a weak page or something outside your control, and start with the one that is closest to page one.

Frequently asked questions

What is an SEO competitor analysis?
It is a comparison of your website with the sites that rank for the searches you want. It looks at keywords, page quality, backlinks, local profiles and AI mentions, then turns the gaps into a prioritised action list.

How do I do an SEO competitor analysis?
Set a goal and a list of target searches, choose three to five search competitors, review the live results, find keyword gaps, compare the winning pages, check links, review local and AI visibility, and rank the actions. Repeat it each quarter.

How do I find my SEO competitors?
Search your target phrases in a private browser window and note the domains that appear repeatedly. Paid tools such as Semrush, Ahrefs, Moz, SE Ranking and SpyFu also estimate competitors by keyword overlap. Remember that search competitors can differ from your business competitors.

How many competitors should I analyse?
Three to five is a common recommendation and keeps the review manageable. A longer list adds data without adding decisions. Use extra domains only for a specific purpose, such as understanding the format of a large directory.

What is a keyword gap analysis?
It lists search terms that competitors rank for and your site does not. The list needs filtering for relevance, intent and difficulty, since many gaps are unrelated to your services or are not worth the effort.

What is a backlink gap analysis?
It lists websites that link to your competitors but not to you. Use it to find genuine opportunities such as associations, suppliers and publications. It should not be used to justify buying links, which Google’s spam policies list as link spam when done for ranking purposes.

Is there a free tool for SEO competitor analysis?
You can do a useful analysis with Google results in a private window, Search Console for your own data, public Google Business Profile listings and a spreadsheet. Some paid tools advertise free tiers or trials, but terms change, so check each vendor’s current page.

Can Google Search Console show my competitors’ data?
No. The Performance report covers your own property: your clicks, impressions, click through rate and average position. Competitor numbers come from third-party tools, and those are estimates.

What is the best SEO competitor analysis tool?
There is no single best tool. Semrush, Ahrefs, Moz, SE Ranking and SpyFu all estimate competitor keywords and links with different databases. Choose based on your market, budget and how easily you can export the data, and use one tool consistently for trends.

Is an authority score the same as a Google ranking factor?
No. Scores such as Domain Authority, Domain Rating or Authority Score are third-party metrics. They can help compare sites inside one tool, but Google has not said it uses them.

Can I copy what my competitors do?
Copying content is a weak strategy because it adds nothing new and may breach copyright. Learn from their structure and coverage, then write something more useful and original. Google’s guidance asks whether a page offers substantial value compared with other results.

How long does an SEO competitor analysis take?
It depends on scope. A short search list for one service and one city takes far less time than a large site or several markets. The time spent matters less than whether the review ends in decisions.

How often should I repeat it?
Quarterly is a sensible rhythm for most businesses. Also repeat it after a redesign, a major ranking change, or when a new competitor appears in your results.

How do I analyze competitors for local SEO?
Compare the businesses in the map results: categories, services, photos, reviews, review replies, and the quality of their local pages. Google Business Profile Help says local results rely mainly on relevance, distance and prominence, so focus on what you can influence.

How do I check competitors in AI search results?
Run the same set of customer questions several times across the assistants your audience uses, and record which brands and sources appear. AI answers change from run to run, so look for repeated patterns instead of relying on one result.

Does Google need special markup to show my page in AI features?
Google says no special schema, markup or AI text file is needed. The page needs to be indexed and eligible to appear in Search with a snippet. Appearing is never guaranteed.

Can a competitor analysis guarantee higher rankings?
No. It informs your plan by showing gaps and opportunities. Rankings depend on many factors, including competition, content quality, links, technical health and time, and nobody can promise a position.

Does 2Marketing offer SEO competitor analysis?
Its SEO services page lists keyword and competitor research and says every engagement begins with a free audit of your site, rankings and competitors. Confirm the scope, currency and deliverables when you request a quote.