The competitive landscape within the Software as a Service (SaaS) industry is characterized by rapid innovation and a constant influx of new entrants. This dynamic environment necessitates that businesses possess robust and efficient methods for gathering and analyzing competitive intelligence. The sheer volume of online data available today, encompassing competitor websites, marketing materials, social media activity, and customer feedback, presents both an opportunity and a challenge for competitive researchers. Generative Artificial Intelligence (GenAI) tools have emerged as powerful solutions for processing and extracting valuable insights from this vast ocean of information. However, the effectiveness of these tools in providing actionable competitive intelligence is intrinsically linked to the quality and specificity of the instructions they receive. This report will serve as a guide for SaaS competitive researchers seeking to master the art of writing expert-level prompts that unlock the full potential of GenAI for in-depth competitor analysis. The principles and techniques outlined herein will empower researchers to move beyond surface-level observations and derive strategic understandings that can inform critical business decisions.

2. Core Principles of Effective Prompting for Large Language Models in Research

The foundation of successful interaction with large language models (LLMs) lies in the ability to craft prompts that are clear, specific, and contextually relevant. Even minor errors or ambiguities in a prompt can lead to outputs that deviate significantly from the researcher’s intended goal 1. Therefore, it is paramount to employ precise and unambiguous language when formulating instructions for GenAI tools 2. A well-defined objective is the starting point; without a clear understanding of the desired information, the LLM will struggle to provide relevant results 1. Researchers should strive to be as specific as possible in their requests, including all pertinent details without overwhelming the AI with extraneous information 3. Providing sufficient context and background information relevant to the task is also crucial. Explaining the ‘why’ behind the request allows the AI to better understand the nuances of the competitive landscape and generate more insightful responses 1. These models operate by identifying patterns in their training data, and vague prompts offer numerous potential interpretations, leading to less focused and relevant outputs. Clear and specific instructions narrow down these possibilities, effectively guiding the AI toward the desired competitive intelligence. Supplying the AI with background details, such as the industry, the specific competitors of interest, and the overarching research goals, equips it with the necessary framework to interpret web data accurately within the competitive context 3.

Clearly defining the overall goal of the prompt is essential for focused analysis. Researchers must articulate the specific information or understandings they are seeking from the GenAI tool 1. Furthermore, specifying the desired format of the output significantly enhances the usability of the extracted information 2. Whether the research requires a structured list, a comprehensive report, a comparative table, or a concise summary will dictate how the prompt should be constructed. Indicating the desired length and level of detail for the response ensures that the output aligns with the researcher’s analytical needs 3. Clearly defined objectives ensure that the GenAI analysis remains targeted and directly addresses the researcher’s information needs. Without a clear goal, the AI might produce a large volume of data that lacks direct relevance to the competitive research question. Defining the objective upfront helps to narrow the scope of the analysis and ensures that the output is actionable. Specifying the output format makes the extracted information more readily usable and facilitates direct comparison across different competitors. Different research tasks may necessitate different output formats; for instance, a table might be optimal for comparing pricing structures, while a report might be more suitable for summarizing a competitor’s overarching strategy. Providing the desired format in the prompt ensures that the information is presented in the most effective manner for subsequent analysis and decision-making.

Prompt engineering is rarely a linear process; rather, it often involves iterative refinement to achieve the desired level of detail and accuracy 2. Initial prompts may not always yield perfect results, and researchers should be prepared to refine their instructions based on the AI’s initial responses 9. This might involve adjusting the clarity or specificity of the prompt, experimenting with different phrasings, or even trying different types of prompts, ranging from open-ended exploratory questions to more goal-oriented instructions 5. Treating AI interactions as ongoing dialogues, where each response serves as a stepping stone, can lead to richer and more nuanced insights 2. Asking follow-up questions to clarify or expand on specific points raised by the AI can also be a valuable technique for drilling down into key areas of competitive interest 7. This continuous process of experimentation and optimization allows researchers to progressively guide the AI towards extracting more precise and insightful competitive intelligence.

3. Tailoring Prompts for Web Data Analysis in Competitive Intelligence

For SaaS competitive researchers, effective prompting involves specifically directing GenAI tools to the online presence of their competitors. This begins with clearly indicating the exact URLs or domains of the competitor websites that require analysis 2. Furthermore, prompts should specify the particular data points of interest, such as pricing models, product features, identified target audiences, explicitly stated mission statements, or recent company announcements 11. Utilizing delimiters, such as triple backticks or angle brackets, can help to clearly delineate different parts of the input, for example, separating the instructions from the specific website content to be analyzed 8. Focusing the AI on specific websites and data points ensures that the analysis is targeted and efficient, preventing the processing of irrelevant information. The internet contains an immense amount of data, and without clearly defined targets, the AI might retrieve and analyze content that does not contribute to the specific competitive research goals. By narrowing the scope, researchers can significantly enhance the accuracy and relevance of the competitive intelligence gathered.

Different types of data found on competitor websites necessitate different prompting strategies for effective extraction and analysis. For structured data, such as pricing tables or lists of product features, prompts should instruct the AI to extract the information in a specific, organized format like a table or a JSON object 6. For unstructured data, which includes content like blog posts, news articles, or “about us” pages, researchers can ask the AI to summarize key information, identify recurring themes, or analyze the overall sentiment expressed 1. Techniques such as “template filling” can be particularly useful for ensuring consistent extraction of similar information across multiple competitor websites 7. Different data types require tailored approaches; structured data lends itself to direct extraction into organized formats, while unstructured data necessitates more sophisticated prompting to identify key understandings and patterns. Recognizing the nature of the data allows the researcher to adapt their prompts accordingly.

Incorporating relevant keywords that align with the intended research goals is a critical aspect of effective web data analysis using GenAI 1. These keywords should be specific to the competitor’s industry, their products or services, and their identified target audience 9. While keyword matching is important, framing questions that encourage semantic understanding, where the AI grasps the meaning behind the query, can yield more nuanced and insightful results. Strategic use of keywords helps the AI identify and prioritize information that is most likely to be relevant to the research question from the vast amount of web content. Keywords act as signposts for the AI, guiding it towards the information that holds the most significance for the research objective. By including precise and targeted keywords, researchers can improve the accuracy of their web data analysis.

Researchers must also be cognizant of the fact that competitor websites will exhibit varying structures and content types. Prompts may need to be adjusted to accommodate these differences. For websites with intricate navigation, providing specific paths or sections to analyze can be beneficial. When dealing with dynamic content or content that is behind login walls, it is important to either direct GenAI tools with the appropriate access capabilities or acknowledge these limitations in the research scope. The diverse nature of website structures requires flexibility in prompting strategies to ensure comprehensive data extraction. Competitor websites are designed uniquely, which can influence the AI’s ability to navigate and extract information. Researchers should be prepared to modify their prompts based on the specific layout and content of each website to guarantee a thorough analysis.

4. Advanced Prompt Engineering Techniques for Competitive Insights

To gain deeper and more nuanced competitive insights, SaaS researchers can leverage several advanced prompt engineering techniques. One such technique involves asking the GenAI model to adopt a specific persona, such as a market analyst specializing in the SaaS industry, a potential customer evaluating different solutions, or even an executive within the competitor’s organization 3. This role-playing approach can elicit unique perspectives and understandings that might not surface from a neutral prompt 4. Instructing the AI to analyze a competitor’s strategy from the viewpoint of their Chief Technology Officer, for example, could provide a more informed perspective on their technological priorities and future innovations. Similarly, prompting the AI to evaluate a competitor’s website from the perspective of a small business owner seeking a specific SaaS solution could reveal insights into the clarity and effectiveness of their messaging for that particular target audience.

For complex analytical tasks, Chain-of-Thought (CoT) prompting is a powerful technique. This involves breaking down the analysis into a series of smaller, logical steps within the prompt, guiding the AI through a reasoning process that mimics human thought 1. For even more intricate scenarios, researchers can employ Tree-of-Thought (ToT) prompting, which extends the CoT approach by allowing the AI to explore multiple reasoning paths before converging on a final answer 7. When analyzing a competitor’s complex pricing structure, for instance, a CoT prompt could instruct the AI to first identify the different pricing tiers, then list the features included in each tier, analyze any discounts offered, and finally summarize the overall value proposition. ToT could be used to explore various potential future pricing strategies the competitor might adopt based on different market conditions or competitive pressures.

Depending on the complexity of the information sought, researchers can also utilize few-shot or zero-shot prompting. Zero-shot prompting is suitable for straightforward information extraction tasks where the AI can rely on its general knowledge without needing specific examples 7. For more complex or nuanced requests, providing a few examples (few-shot prompting) within the prompt can guide the AI towards the desired type of output 4. For a simple query like “What is the cancellation policy of [competitor]?,” zero-shot prompting might suffice. However, for a more subjective task like “Analyze the tone and messaging used by [competitor] in their email marketing campaigns and categorize them by the primary goal of each campaign,” providing a few examples of categorized email campaigns could significantly improve the accuracy and relevance of the AI’s analysis.

Finally, the consistent use of clear delimiters and explicit formatting instructions within prompts can significantly enhance the precision and usability of the results 1. Using delimiters like “` or <> helps the AI to clearly distinguish between the instructions, the context (e.g., “Analyze the following website text:”), and the actual web data to be analyzed. Specifying the desired output format, such as “Return the answer as a bulleted list of key differentiators” or “Summarize the competitor’s value proposition in three concise paragraphs,” ensures that the information is presented in a structured and easily digestible manner. Requesting specific formatting for tables or lists further improves the organization and clarity of the output.

Table 1: Summary of Key Prompt Engineering Techniques for SaaS Competitive Research

TechniqueDescriptionPrimary Benefit for Competitive IntelligenceExample Use Case in SaaS Competitive ResearchRelevant Snippet IDs
Role-PlayingInstructing the AI to adopt a specific persona (e.g., market analyst, customer).Uncovers unique and nuanced insights from different perspectives.Analyze a competitor’s website as a potential customer seeking a specific feature.4, 8, 3, 7
Chain-of-Thought (CoT)Breaking down complex analysis into a sequence of smaller, logical steps within the prompt.Enables in-depth reasoning and more accurate analysis of intricate competitive scenarios.Analyze a competitor’s pricing strategy by identifying tiers, features, and discounts step-by-step.1, 4, 12, 13, 10, 14
Tree-of-Thought (ToT)Extending CoT by allowing the AI to explore multiple reasoning paths before selecting the best solution.Facilitates the exploration of various potential outcomes and strategic options for competitors.Analyze potential future product development directions a competitor might take based on different market trends.12, 10, 7
Few-Shot PromptingProviding a few examples of the desired output format or content within the prompt.Guides the AI towards specific types of information or styles of analysis.Provide examples of categorized social media posts to guide sentiment analysis of a competitor’s social media activity.4, 13, 10, 7, 10
Zero-Shot PromptingAsking the AI directly for information without providing any examples.Efficient for straightforward information retrieval based on the AI’s general knowledge.Ask for the mission statement of a competitor.13, 10, 7, 10
Delimiters & FormattingUsing clear delimiters to separate instructions, context, and data, and specifying the desired output format.Improves the AI’s ability to parse the prompt and structure the output for clarity and usability.Request a competitor’s feature list in a bulleted format, clearly separating the website URL from the instructions.1, 8, 6, 3, 3

5. Applying Generative AI for Market Research and Competitor Analysis

Generative AI offers significant advantages for SaaS competitive researchers in identifying emerging trends and market shifts. By prompting GenAI to analyze competitor websites, industry news sources, and social media discussions, researchers can uncover patterns in language, product offerings, and marketing strategies that may indicate new directions within the SaaS landscape 15. This capability allows for the early detection of potential market shifts, enabling proactive strategic adjustments.

Analyzing competitor strategies and product positioning becomes more efficient with GenAI. By examining the content on competitor websites, including “about us” pages, mission statements, product descriptions, and marketing materials, researchers can gain a comprehensive understanding of their overall strategy and how they position their products within the market 15. Prompts can be designed to compare and contrast the positioning of various competitors, revealing key differentiators and market segmentation strategies.

Extracting customer sentiment and feedback related to competitors is another valuable application of GenAI. By analyzing customer reviews on platforms like G2 or Capterra, social media comments, and forum discussions, researchers can gauge overall customer sentiment and identify key areas of satisfaction and dissatisfaction 15. Prompts can instruct the AI to categorize feedback by specific topics, such as product features, usability, customer support, or pricing, providing a granular view of customer perceptions.

Benchmarking and identifying competitive advantages are crucial for SaaS businesses. GenAI can facilitate this process by comparing a company’s offerings and strategies against those of its competitors based on the information extracted from their online presence 16. Researchers can prompt the AI to identify potential competitive advantages that competitors may possess, such as unique features, superior pricing models, or stronger brand reputation.

6. Practical Examples and Use Cases for SaaS Competitive Research

To illustrate the practical application of prompt engineering in SaaS competitive research, consider the following examples:

  • Analyzing Competitor Pricing Pages: A researcher could use the prompt: “Analyze the pricing page of. Extract the names of each pricing tier, the monthly cost for each tier, and a concise list of the 3-5 most prominent features included in each tier. Present this information in a markdown table.” This prompt clearly specifies the target URL, the desired data points (tier name, monthly cost, key features), and the preferred output format (markdown table), enabling easy comparison of pricing models.
  • Identifying New Product Features and Roadmaps: A prompt like: “Review the blog section and product update pages of for the last six months. Identify any announcements of new product features or indications of their future product roadmap. For each identified feature or roadmap item, provide a brief summary and the date of the announcement if available.” This prompt focuses the AI on specific sections of the competitor’s website and a specific timeframe, aiming to extract timely information about product development.
  • Monitoring Competitor Marketing Campaigns and Content Strategies: A researcher might use the prompt: “Analyze the homepage and the last 10 blog posts on. Describe their primary marketing message and identify the main topics or themes covered in their recent blog content. What types of content (e.g., blog posts, case studies, white papers) do they primarily produce?” This prompt directs the AI to key marketing and content sections of the website, seeking to understand the competitor’s communication strategy and content focus.
  • Analyzing Competitor Job Postings for Strategic Insights: A prompt such as: “Examine the job openings listed on the careers page of. Identify any job titles that include keywords like ‘AI,’ ‘machine learning,’ ‘data science,’ or any roles that indicate expansion into new geographic markets (e.g., ‘Director of Sales – EMEA’). List these job titles and briefly explain what strategic priority each might suggest for the competitor.” This prompt guides the AI to look for specific keywords and roles within job postings that can provide clues about the competitor’s strategic direction.

7. Conclusion: Elevating SaaS Competitive Research Through Expert Prompt Engineering

In conclusion, the strategic application of GenAI tools holds immense potential for transforming how SaaS competitive research is conducted. However, realizing this potential hinges on the ability of researchers to master the art of prompt engineering. By adhering to the core principles of clarity, specificity, and contextual relevance, and by leveraging advanced techniques such as role-playing, chain-of-thought prompting, and targeted formatting, SaaS competitive researchers can unlock deeper, faster, and more comprehensive insights into their competitive landscape. The continuous evolution of AI technology necessitates an ongoing commitment to learning and experimentation with prompting strategies. As GenAI capabilities advance, so too will the sophistication of the competitive intelligence that can be derived, ultimately empowering SaaS businesses to make more informed decisions and maintain a crucial edge in a dynamic marketplace. The transformative power of GenAI in competitive analysis is undeniable, and proficiency in prompt engineering will be a defining skill for successful SaaS competitive researchers in the years to come.

Works cited

  1. How to Craft Prompts for Different Large Language Models Tasks – phData, accessed March 29, 2025, https://www.phdata.io/blog/how-to-craft-prompts-for-different-large-language-models-tasks/
  2. How to Write AI Prompts: Prompt Engineering for Smarter Results, accessed March 29, 2025, https://www.webfx.com/blog/marketing/how-to-write-ai-prompts/
  3. Prompt Engineering Best Practices: Tips, Tricks, and Tools …, accessed March 29, 2025, https://www.digitalocean.com/resources/articles/prompt-engineering-best-practices
  4. How to write effective prompts for Large Language Models | Digital Connect, accessed March 29, 2025, https://digitaconnect.com/how-to-prompt-llms-to-generate-content/
  5. Learn How to Use AI for Data Analysis: Prompt Engineering for Analytics Cheatsheet, accessed March 29, 2025, https://www.codecademy.com/learn/prompt-engineering-for-analytics/modules/prompt-engineering-for-analytics/cheatsheet
  6. Creating Effective Prompts: Best Practices, Prompt Engineering, and How to Get the Most Out of Your LLM – Visible Thread, accessed March 29, 2025, https://www.visiblethread.com/blog/creating-effective-prompts-best-practices-prompt-engineering-and-how-to-get-the-most-out-of-your-llm/
  7. Prompt engineering: techniques for effective AI prompting – Hostinger, accessed March 29, 2025, https://www.hostinger.com/tutorials/ai-prompt-engineering
  8. Prompt engineering – OpenAI API, accessed March 29, 2025, https://platform.openai.com/docs/guides/prompt-engineering
  9. The Ultimate Guide to Writing AI Prompts: Examples & Best Practices – Kipwise, accessed March 29, 2025, https://kipwise.com/blog/ai-prompts
  10. Advanced Prompt Engineering Techniques – saasguru, accessed March 29, 2025, https://www.saasguru.co/advanced-prompt-engineering-techniques/
  11. AI Prompting (7/10): Data Analysis — Methods, Frameworks & Best Practices Everyone Should Know – Reddit, accessed March 29, 2025, https://www.reddit.com/r/PromptEngineering/comments/1iiye3s/ai_prompting_710_data_analysis_methods_frameworks/
  12. What is Prompt Engineering? – Generative AI – AWS, accessed March 29, 2025, https://aws.amazon.com/what-is/prompt-engineering/
  13. Prompt Engineering Techniques: Top 5 for 2025 – K2view, accessed March 29, 2025, https://www.k2view.com/blog/prompt-engineering-techniques/
  14. Advanced Prompt Engineering Techniques – Mercity AI, accessed March 29, 2025, https://www.mercity.ai/blog-post/advanced-prompt-engineering-techniques
  15. Advanced Analysis: Elevating Market Research with Generative AI – Discuss.io, accessed March 29, 2025, https://www.discuss.io/blog/advanced-analysis-elevating-market-research-with-generative-ai/
  16. How Generative AI Enhances Competitive Analysis and Strategy | by Jesse – Medium, accessed March 29, 2025, https://medium.com/@jesse.henson/how-generative-ai-enhances-competitive-analysis-and-strategy-3e5947a502f4
  17. Gen AI in competitive intelligence is advancing rapidly | Market Logic, accessed March 29, 2025, https://marketlogicsoftware.com/blog/gen-ai-in-competitive-intelligence-is-advancing-rapidly/

Generative AI for market research and intelligence: Use cases, benefits and future outlook, accessed March 29, 2025, https://www.leewayhertz.com/generative-ai-for-market-research-and-intelligence/


Also published on Medium.

By John Mecke

John is a 25 year veteran of the enterprise technology market. He has led six global product management organizations for three public companies and three private equity-backed firms. He played a key role in delivering a $115 million dividend for his private equity backers – a 2.8x return in less than three years. He has led five acquisitions for a total consideration of over $175 million. He has led eight divestitures for a total consideration of $24.5 million in cash. John regularly blogs about product management and mergers/acquisitions.