What does “Category” mean?  A category is defined as a distinct, manageable group of    products and services that consume...
What is Category Growth all about?       ‘A’                          ‘B’  Growing Market Share          Growing the CakeM...
What is ``Category Growth’’ all about?Motivating    more consumers    to consume more    more oftenMotivating    more shop...
Sources of category growth are expressed in a                   “Category Growth Equation”           Population         Pe...
Growth Equation: Category Example        Exercise        Australian men on average        change their toothbrush only    ...
Growth Equation: Category Example                                                        Average                Penetratio...
Defining the category                                          Ice cubes                                 Fruit            ...
Category Definition Exercise - Tea                                                                     Herbal TeaEveryday ...
Category Definition Exercise - Tea               Hot cup                of tea            First choice            Substitu...
Thank You
Intro to category
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Intro to category

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Intro to category

  1. 1. What does “Category” mean? A category is defined as a distinct, manageable group of products and services that consumers perceive to be interrelated in meeting a consumer need
  2. 2. What is Category Growth all about? ‘A’ ‘B’ Growing Market Share Growing the CakeMoving from business model ‘A’ to ‘B’
  3. 3. What is ``Category Growth’’ all about?Motivating more consumers to consume more more oftenMotivating more shoppers to buy more more often
  4. 4. Sources of category growth are expressed in a “Category Growth Equation” Population Penetration Frequency Weight Number of Number of X % shoppers X occasions X How much = Category available purchasing they they spend size shoppers the category purchase per occasionShoppers (value (x millions) (x%) (x times) ($ AWOP) purchased)
  5. 5. Growth Equation: Category Example Exercise Australian men on average change their toothbrush only twice a year, not 4x as advised. Which lever would you pull? Average Penetration Purchase, Total weights of MARKET 98% X Frequency Twice a year X purchase 1 brush
  6. 6. Growth Equation: Category Example Average Penetration Purchase, Total weights of MARKET 98% X Frequency Twice a year X purchase 1 brush
  7. 7. Defining the category Ice cubes Fruit Water bottleStraws Flavoured Ice tea water (Thirst Tap Quenching) water Ice lollly Pure HealthyGlass Hydration Bottled Sparkling water water First choice For which products is “the dominant Substitutes use” meeting the identified consumer need Associated
  8. 8. Category Definition Exercise - Tea Herbal TeaEveryday Tea bags Tap Biscuits Cake water Bottled Coffee Water Tea pot Tea cup Hot Sugar Chocolate Kettle Ice Tea Premium Tea Loose Tea
  9. 9. Category Definition Exercise - Tea Hot cup of tea First choice Substitutes Associated
  10. 10. Thank You
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