Conduct Competitor Analysis: Analyze the competition to identify its strengths and weaknesses. Tools like SEMrush and Ahrefs can help you analyze your competitor's keywords and ad performance.

Keyword Research: Use keyword research tools to find the best keywords to target for your ads. Monitor your competitor's ads and see what keywords they are targeting. This can help you discover new keyword opportunities.

Ad Copy Analysis: Analyze your competitor's ad copy to see what types of language and calls-to-action they use. This can help you improve your own ad copy and create more effective ads.

Bid Strategy: Monitor your competitor's bid strategies and adjust your own bids accordingly. If your competitor is bidding on the same keywords as you, you may need to increase your bid to remain competitive.

Landing Page Analysis: Look at your competitor's landing pages to see how they are structured and what types of content they include. This can help you improve your own landing pages and make them more effective.

Campaign Optimization: Continuously monitor and optimize your ad campaigns based on your competitor's performance. Identify areas where you can improve and adjust your campaigns accordingly.

Differentiate Yourself: Try to differentiate yourself from your competitors by offering unique value propositions, using different ad formats, or targeting different audiences. This can help you stand out and attract more customers.

Remember, while observing your competitors is important, you should also focus on delivering value to your customers and improving your own ad performance.