Tech
How Businesses Use Proxies for Competitive Intelligence
The latest competitor report has arrived from your pricing manager, but something instinctually and immediately feels… off. You’ve been trying to track a new product launch that your rival is making in Germany, but the data on the report looks identical to the information you’re seeing from your office in the United States. Then, the penny drops: you’re not seeing local prices or stock levels, but rather a cached, generic version of their site – or even worse, you’re being intentionally misled with incorrect pricing information.
Competitor intelligence is only useful if you are scraping accurate data from each location directly. It’s a necessity to use the best proxy server and break down these digital borders, getting the same view of the market that your competitor currently has.
The Challenge: The Blind Spot in Global Pricing
Many websites operate using elements of geoblocking. This means displaying different prices, inventory, or promotional offers based on the user’s location, but it can stretch to only listing the relevant products and product information in each territory. For example, if a brand uses a different recipe in their soda for the United States and the EU, they’ll need to block visitors from the website that doesn’t contain the accurate product information.
If your team is analyzing pricing for your competitor’s new product launch, but only able to check it from your home office IP address, it is more likely than not that you will be seeing a skewed version of reality. Pricing intelligence, therefore, is meaningless if it’s biased. To fully understand what your rivals are doing across the globe, you must view their website as a local customer in each market they operate in, or at the very least the ones you want to be tracking.
To do this, most businesses use a proxy service to ensure that they see more than just the general 10% of the competitive landscape that browsing from the office IP address shows you. But how does your business know which service is right for its needs?
The Approach: Choosing the Right Kind of Access
Essentially, proxy services can provide infrastructural parity, ensuring your business can see the same localised webpages that your competitors operate across the world. But selecting an IP address isn’t just as simple as finding the biggest data center in each target country, as different levels of IP addresses are treated differently by target websites.
For competitive intelligence, it is always recommended to only use high-reputation IP addresses. Scraping this data means not just hitting one webpage, but often tens or hundreds of product pages depending on the size of your competitor’s business. To manage so many page access requests, you need to make sure you look like an actual human being to the competitor’s website, rather than a bot. If your proxy IP address gets blocked, you will lose the competitive advantage for the day, so using a residential or an ISP proxy that rotates through addresses based in the target’s country is the only way to ensure as much uptime as possible. If you end up using a shared, low-quality IP pool, it will lead to you encountering CAPTCHAs or being softlocked out of a website due to previous activity from bad actors.
At the end of the day, you need the best proxy server to ensure that the data you are collecting is both as fast and reliable as a real user’s browsing session, regardless of which country’s data you need to monitor for your own business to have the upper hand.
Implementation: Getting Granular and Reliable Data
Ensuring that your data is as precise as possible is the reason businesses choose to use a proxy server. However, scraping at scale for competitive intelligence means handling high concurrency (i.e., many requests at once) without getting blocked.
You also need a regular schedule: data must be captured at the same time every day for you to be able to analyze and understand meaningful trends. Finally, every scraping system fails from time to time, so you must have a reliable automatic error handling process: if a proxy node fails, you need the proxy server system to seamlessly switch to another one in the same target country to maintain that consistency in your data collection.
These three elements all together demonstrate that only using a good residential or ISP proxy will guarantee that you have consistent, high-quality, and granular data for your sales team to consider when making their next move. A shaky setup will surely yield shaky insights instead.
Results: From Guesswork to a 20% Sales Uplift
So now you have the knowledge and the tools to supercharge your business’ competitive intelligence, but how do you get a return on investment (ROI) from the costs of running a web scraping campaign through a high-quality proxy server? To understand how to turn your data into sales uplift, we’ll use a simple before-and-after scenario.
Before using a proxy server to view every competitor’s website in each region they operate within, your sales team set prices based on intuition or quarterly adjustments, often relying on regularly scheduled business meetings with the team based in each country, reacting more slowly to market changes than is financially beneficial.
After you set up a web scraping project for competitive intelligence, your sales team has access to automated data that updates daily, providing market-specific pricing insights from afar, and allowing you to jump at the same time that any of your competitors reduce the price of their product or start running a new promotional campaign.
With this upgrade, the insights allow your business to run dynamic pricing. If you know a competitor is running a flash sale in a specific region or territory, you can adjust your ads and pricing accordingly in real-time. Competitive intelligence now directly translates to sales revenue and ensures that you are on parity with your rivals.
What Actually Matters for Your Team
At the end of the day, your team should regard using a proxy server as an essential service, the same way that other departments view their Adobe Photoshop or Xero software subscriptions. Competitive intelligence is a continuous process. It is not a one-scrape-and-done type of job; you have to monitor it regularly to have the right information to make the best business decisions.
Your proxy provider, therefore, has to be a trusted partner in this project. If they fail, your competitor reporting also fails. This is why choosing the best proxy server is an important decision, one that offers the stability, high-quality nodes, and global footprint that your team needs to stay ahead of the curve. Permanently, not just temporarily. Beat your competition by having all the information your sales and product marketing teams need at their fingertips.