The Beauty of Category ManagementMay 30, 2017
As I was walking through stores recently in Japan, I ran across one particular display that caught my attention. “Beauty Foods.” The foods pictured here are intended to make you beautiful. At first, I thought something was just lost in translation. After looking a little closer, these food products really are meant to help improve your physical appearance.
And this got me thinking about category definitions. When we look at categories as static and pre-determined, we’re stifling innovation and doing consumers a disservice.
At Daymon, we constantly review every category in the store to assess questions like what’s the hierarchy, what are the brands, what are the roles and how does the private label fit. And, through our exhaustive reviews, we’ve come to some conclusions.
- You simply cannot understate the importance of the consumer. Seek to understand current trends and anticipate where the consumer is headed. We’ve done some amazing work on this front with our Global Trendwheel – ask your Daymon rep about it.
- Then, build brands and marketing programs in store around groups of categories that best serve the most important consumer trends.
- A category plan must reflect clearly how it will help the retailer achieve their overall objectives and how it will support their current Private Brand strategy.
- Execute, execute, execute! The worst category plans are those that are relegated to a 3-ring binder on the shelf.
- We surveyed 40 retailers recently and found that 83% are not doing the things I listed above. What are you waiting for?
In the meantime, I’ll keep my eye out for more custom categories like “Beauty Foods,” and might have to adjust my diet accordingly!
I’d love to hear your thoughts! E-mail me anytime at JimH@daymon.com.