People say "don't care about competition, focus on your users," but that doesn't apply to every market.
Especially not when your market is well-networked, well-connected, and -- most crucially -- your product category is front-facing (think, for instance, a live-chat widget where you can instantly identify which company the majority of customers in a market are using).
When your customers see others are using another company in droves, people like to follow the crowd and see what the hype is all about, and ultimately they churn.
With other product categories, it's a bit more contained/hidden (say, accounting software or email marketing software), so you can exploit the arbitrage a little more, but not with front-facing products.
Admittedly I take responsibility for my product not being up to par with the competition -- this is the reality of the free market. And I understand that.
It just feels like they'll always have more resources: more dollars to throw at product development, more brains to squeeze for a particular problem, more man hours to spare, so even if I work at my best pace (as a solo founder), I'll still lose market share and fall behind no matter what.
I might have sadly picked a "winner takes most" market where social proof is pretty much equivalent to product merit.