Many founders and early hires are afraid of newcomers. However, competition is a reality, especially in the tech industry. Let's make it a source of motivation.
This is not a competitor
Keep positive
First, I believe entrepreneurship is about enthusiasm. Keep positive. Don’t tell you each time you discover a new competitor how tough the game is. It will influence your efficiency at work. Keep calm, this is not a competitor, this is just a newcomer in your business.
This is an opportunity
A new competitor means three things:
1. You are no more the only one to defend the benefice of your service. Your competitor takes part in the education of your market. For instance, while Facebook introduced Places in August 2010, 500 million people suddenly get aware of check-ins and geolocation. This is precisely this day when Foursquare has its highest rate of new members.
2. You now can compare with it. You have this opportunity to analyze its position, its customer approach and take advantage of its eventual mistakes.
3. This should comfort yourself in the fact that there is an actual market. Your competitor made research and analysis, it found a high potential business opportunity. You should appreciate discovering newcomers it means you are in the right place at the right time so why don’t you say ‘hello’ to your competitor?
Enjoy competition
To be a founder means to be a competitor. Competition is motivation. As soon as a new actor comes, it has to be another reason for you to develop the best product ever.
Wrapping up
Keep in mind that the end user is the game. The end user has the final decision, so no matter how long you spent time on your market study, there is a moment where you have to stop to work and to do it well. Your success depends on the user experience of your service.