Evaluating Market Trends for Competitive Advantage

North Mondays Series: Episode 92

If you’ve ever turned your eyes away from your frying plantains only to return to burnt, barely recognizable pieces of plantains, this one’s for you.

One second, your plantains are golden and perfect; the next, they’re auditioning for the role of charcoal. Similar to plantains, if you’re not paying attention, you’ll wake up one day and wonder how your business went from thriving to barely surviving.

Staying ahead in business isn’t just about having a great product or service. It’s about understanding the market. The business space is dynamic, buzzing with innovation, disruptions, and “new normals” popping up every other day. Whether it’s fintech, food delivery, or content creation, one thing remains constant: the businesses that win are those that understand what’s happening right now and prepare for what’s next.

Following last week’s discussion about crafting a resonant brand story (Episode 91), this week, we’re diving into something every entrepreneur, business leader, or dreamer needs to master: evaluating market trends. And no, this isn’t some abstract, complicated process. It’s about using the right tools, asking the right questions, and keeping your eyes open. Ready? Let’s go!”

Why Evaluating Market Trends Matters

“Trends aren’t just ‘what’s popular.’ They’re signals. They’re telling you what your customers want, where the opportunities are, and even what risks you should watch out for.

Think about it—remember when Blackberry phones were everywhere? Then Apple and Samsung came in with touchscreens and apps, and Blackberry didn’t adapt fast enough. Now? It’s practically history.

Or closer to home—GTBank was once the go-to for young people. Then banks like Kuda came in with digital-first solutions, and suddenly the game changed. Kuda said, ‘Hey, what if we gave people banking without those annoying fees?’ and it worked. That’s the power of spotting trends early.

Even outside of tech, let’s talk about Spotify Wrapped. Every December, Spotify takes over social media feeds with personalized playlists and stats. It’s fun, engaging, and—most importantly—it keeps users loyal. Why? Because they tapped into the trend of personalization and made it theirs.

So why should you care about trends? Here’s deal:

1. Proactive Decision Making. When you know what’s coming, you can act before everyone else. If you noticed the sudden surge in alté music, you probably saw the brands that collaborated early with stars like Tems or Asake now raking in cultural capital. Trends give you the power to act before the market moves on.
2. Resource Optimization. Focus on what matters and ignore what’s fading away. No shade but have you seen brands pour millions into campaigns or products that fizzled out? Relieve yourself from the shackles of crying ‘had I known’ by aligning with relevant trends and avoiding costly missteps.
3. Customer-Centric Strategies.
   When you understand what your customers want and adapt to their needs, they’ll stick around.
4. Identifying Growth Opportunities
    Trends often point to untapped markets or new ideas. Remember how Paystack redefined payment solutions in Nigeria? They didn’t just build a platform; they saw the fintech boom coming and positioned themselves perfectly.
5. Mitigating Risks
   Spot risks early and pivot before it’s too late. The businesses that thrived during COVID-19 were the ones that quickly pivoted online. Whether it was Jumia increasing logistics offerings or small Instagram boutiques leveraging delivery services, reading the market early saved them.

The Challenges of Evaluating Trends

Analyzing market trends isn’t always easy. Here are some hurdles you might face in evaluating trends and how you can sidestep them:

1. Data Overload. There’s so much information out there that it can feel overwhelming. From social media chatter to market reports, and customer feedback. The trick? Use tools like Google Trends to filter out the noise and focus on what matters.
2. Bias in Interpretation. Sometimes, we see what we want to see, not what’s actually there. It’s easy to think a trend is big just because you like it. Collaborating with diverse teams (e.g., marketing, sales, and operations) keeps you objective.
3. Dynamic Market Conditions: In today’s world, trends can shift rapidly. One minute everyone’s on Twitter(X), the next it’s TikTok. You need to stay agile.
4. Over Reliance on History. Past success doesn’t guarantee future results. As a dominant player you need to combine it with real-time insights in order to adapt to ever-changing consumer needs.
5. Long vs. Short-Term Focus. It’s tempting to chase immediate wins, but don’t lose sight of long-term shifts. Knowing the difference between fleeting trends (tik tok challenges) and enduring shifts (like the rise of e-commerce) is crucial.
6. Skill Gaps in Trend Analysis. If you don’t have the right tools or know-how, you’ll struggle to keep up. Invest in upskilling yourself and  your team. Free online tools like Google Analytics or Udemy courses can make all the difference. Invest in what you need.”

Using Real-Time Data to Stay Ahead

Gone are the days when you had to wait for quarterly reports to make decisions. Real-time data is changing the game.

Think of brands like Jumia or Amazon—they’re using live data to predict what you’ll buy next. Or even Netflix, recommending shows based on your habits. This isn’t just cool; it’s essential.

And then there’s Spotify Wrapped—it’s not just a fun feature; it’s a data-powered marketing genius. They analyze how you listen throughout the year and turn it into a personalized experience people can’t wait to share. They’ve made ‘music data’ feel personal and exciting.

Here’s how real-time data gives you an edge:

1. You can adapt quickly. Real-time insights allow businesses to respond quickly to changes, whether it’s a new competitor, a supply chain issue, or a viral trend. Always be on the lookout andyou’ll know early enough to act.
2. You’ll offer better customer experiences. Real-time data helps you offer personalized solutions.For example, PiggyVest thrives because it uses customer feedback to tweak savings plans and offer features people actually want.
3. You can predict what’s next. Tools like AI can analyze patterns and tell you where things are headed. Thanks to real-time insights, brands like Flutterwave use AI to spot potential fraud before it happens.
4. You’ll stay ahead of competitors. Real-time data enables brands to identify opportunities and threats faster than competitors, giving them a significant strategic advantage in their industries. While others are playing catch-up, you’ll already be leading the charge.”

How to Evaluate Market Trends Like a Pro

“So, how do you actually do this? It’s not rocket science, I promise. Here’s a step-by-step:

1. Know what you’re looking for. Are you trying to enter a new market? Launch a product? Reduce risks? Be clear about your goals.
2. Gather data from everywhere. Use social media insights, customer feedback, competitor analysis, and industry reports. The more sources, the better.
3. Use the right tools. Whether it’s Google Trends, analytics software, or even customer surveys—find what works for you.
4. Collaborate Across Teams
   Your sales team knows what people are buying, while your marketing team understands why. A united front always wins.
5. Monitor Macro and Micro Trends
   For instance, while the fintech boom is a macro trend, rural adoption of mobile wallets like Opay is a micro-trend worth watching.
6. Test and Iterate
   Don’t go all in; test a trend with a small audience first before committing resources. When I kickstarted the BizDevWithNnanna Community, I ran a pilot study. While we’re continuously adopting new ways to serve you better, the pilot study helped us make an informed decision.
7. Stay flexible. Trends evolve. Keep revisiting and adjusting your strategies.”

Key Takeaways

“Here’s what I want you to remember:

• Trends matter. They help you stay relevant, proactive, and ahead of the game.
• Real-time data is your best friend. It’s how you stay agile and make better decisions.
• Don’t overthink it. Start small, stay consistent, and keep adapting.

The brands that succeed aren’t necessarily the biggest or the loudest—they’re the ones that know how to read the room and act accordingly.”

Call-to-Action

“So, what trends are you keeping an eye on? Maybe it’s the rise of AI, sustainable products, or even how Gen Z is shaping culture. Whatever it is, take a moment this week to dig a little deeper and brainstorm how it could impact your business.

Let’s talk—drop your thoughts in the comments.

 Until next Monday, keep evaluating, keep adapting, and keep winning.

#NorthMondays #BizDevWithNnanna #MarketTrends #RealTimeData #CompetitiveAdvantage