Strategic Product Management - Product Category Analysis

1. A publication of
Dr. Rajesh K Satpathy
Strategic
Product
Management
Product Category Analysis
/PGDM/KIAMS/2021

2. What is Product Category Analysis?
Category analysis refers to the process of having an in-depth
knowledge of the demand and supply market for a particular category.
This does not only help in managing category in an efficient manner but
also matures the understanding of a stakeholder in a holistic manner.
Category analysis comprises category overview, drilling into the
category and finally deep analysis.

3. Product category analysis provides
deep insights into customer
experiences, emerging trends in the
market, information about competitors
and their marketing activities – these
will enable you to make timely
business decisions that will lead you
ahead of your competitors.
Competitor analysis and customer
experience analysis form part of
product category analysis.
Product Category Analysis

4. Why is Product Category Analysis Important?
A lot of times, the Customer Experience Officers
and Brand Managers and other top management
executives have several questions such as…
• Which product categories contribute
significantly to the total sales?
• Which product categories are not
performing well?
• How is our product compared to other
products in the market?
• What are the trends in this product
category?
• Which geographic regions have more margins?
Eg.: Analysis of consumer
conversations /feedback of a Telecom
Company.

5. Category analysis brings
clarity and answers
important questions such
as…
1. What is the range of products
offered by the category?
2. Who are your main
competitors?
3. What are the products sold by
your competitors?
4. What are the emerging
trends?
5. What do customers believe?

6. What are the goals of an
exhaustive Category Analysis?
1. Identify Product Category Drivers
Identify drivers that make customers
adopt the product/services of your
brand.
The objective of performing category
analysis is to understand thoroughly
what prompts consumers to use your
products (drivers) and what are the
crucial barriers which prevent them
from further embracing your offerings.

7. What are the goals of an
exhaustive Category Analysis?
2. Customer Beliefs that Influence
Consumer Behavior
When it comes to convincing
consumers, the secret is to understand
the consumer beliefs and their
behavior.
This will eventually lead you to know
what a buyer wants from your business.
A customer has a deep understanding
of what they want from a product.

8. What are the goals of an exhaustive
Category Analysis?
3. Discover Category Trends
Customer intelligence – driven by category
analytics – provides companies with rich
data on buyer behavior, emerging trends and
customer expectations – which can be used
to deliver better interactions.
Customers are craving for new, customized,
personalized and pleasant experiences, and
companies want to deliver them at any cost.

9. What are the goals of an exhaustive
Category Analysis?
4. Measure Brand Equity
Brand equity is an indicator of the company’s
strength and performance, specifically in the
public markets. It is the additional value that
a product receives due to its ‘well known’
status or also called as brand awareness.
Brand equity eventually leads to competitive
advantage that results in higher sales, higher
revenues, and lower costs.

10. Why is Competitor
Analysis Important?
Competitor analysis is like a
mirror!
It displays your strengths and
weakness within the market. And
not just that, it can be of great use
to exploit the weakness of your
competitors. Competitor analysis
has a great influence in shaping
the company’s strategies.
Why competitor analysis is important
for a company:
1. Identify Strengths and weakness of
your competition
2. Formulate effective marketing
strategies
3. Learn the best practices from a
large segment of competitors
4. Forecast key assets and skills
needed to beat your competition
5. Spot gaps and trends in the market
6. Discover new products and services

11. Thank You !!