Generic Benchmarking Definition

Generic benchmarking is the process of comparing the performance of one company or product against another company or product in the same industry. This comparison can be in terms of market share, profitability, customer satisfaction, or any other metric that is important to the business.

The purpose of generic benchmarking is to identify areas where the company or product being studied can improve its performance. For example, if a company has a lower market share than its competitors, it may need to invest more in marketing and research and development (R&D) in order to increase its share.

Similarly, if a company has lower profitability than its competitors, it may need to focus on reducing costs or increasing revenues. And if a company has lower customer satisfaction than its competitors, it may need to focus on improving its products or services.

Generic benchmarking can be used to compare companies or products across different industries. However, it is more commonly used within the same industry, as this allows for a more apples-to-apples comparison.