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The Direct Care
Category Journey
Dave Peterson
@playbigger
#categorydesign
Hi, I’m Dave.
I design categories for a living.
In the next 25 minutes, I hope you will see that
you are category designers too.
Let’s get started.
Every product, service and company we
love exists because…
a legendary entrepreneur designed a product, a
company and a category.
Four
Category Design
Insights
11
Category Design Research
Quantitative
•  8,640 tech companies founded since 2000
•  862 M&A transactions
•  75 IPO’s
Qualitative
•  100+ in depth interviews and reviews
•  CEO’s and founders
•  Implicit behavior & decisions
Category Design
Playbook
1 It’s a winner take all game.
76%
https://playbigger.com/time-to-market-cap
Market cap achieved by category kings.
2 Categories have a natural lifecycle.
15
Category Lifecycle Model
16
If money raised doesn’t predict
long-term value creation, what
does? The research points to two
interesting correlations. The first is
the age of the company at IPO.
“Companies that go public
between the ages of six and 10
years generate 95% of all value
created post-IPO.”
Source:
Harvard Business Review Jan/Feb 2016 Issue
3 Categories are not static and the
long-term value is immense.
Irony of Apple and Microsoft
1985 1995 1996 2002 2007 2010
PC
OS
Office
Automation
Back
Office
Digital
Music
Smartphone Tablet
Shout out to Mike Maples from Floodgate
4 Categories are a result of how our
brains work.
Companies and products live within containers
in a consumer, customer, and a person’s mind.
These containers are called categories.
Categories are the way we all discover and
relate to companies and products.
Our brains create categories to cope with this
over stimulated, crazy-ass world we live in…
Our brains turn to…
more than 50 cognitive biases that push us to
decisions not based on facts and logic, but on
instincts.
1.  Anchoring Effect: early information effects all information
that comes after.
2.  Groupthink: We believe things because other people do.
3.  Choice Supportive: Once people choose a king they
always tend to believe its better, even if its not.
4.  Conformity: behave similar to the others in a group, even
if doing so goes against your own judgment.
Four Important Biases
Category Designers use these brain “shortcuts” to
change user behavior and purchase decisions.
A few hints for your
Direct Care
category journey.
33
Be a problem solver.
Hint One
34
All categories start from an
unsolved problem.
Our friend Ann-Mira Ko from
Floodgate calls this a technology
or market insight.
I need to make a louder guitar…
I want to surf in cold water longer…
These pics need to disappear…
Taxi’s stink…
We need a unique delivery service in India…
The end of software…
Some famous category problems…
36
“Just because I am tired, doesn’t mean
I am thirsty.”
37
38
39
What problem are we
solving?
Save the world from s***** healthcare.
40
Language matters.
Hint Two
41
Category designers use language to condition the
market to adopt something new and different.
42
43
Sea Panda Killer Whale
44
Are you doctors?
Or providers?
45
Are they patients?
Or people?
46
Are they panels?
Or families?
47
Aka - “help me”.
48
Be different. Not better.
Hint Three
49
Category designers always lead with different,
not better.
“iPad creates and defines
an entirely new category
of devices that will
connect users with their
apps and content in a
much more intimate,
intuitive and fun way than
ever before.”
51
52
Is Direct Care
different
or better than health care?
When two people say they are better than each other, one must be lying.
53
Know your Frotos.
Hint Four
54
Category designers lead the entire ecosystem
FROM the old way TO the new way.
55
“Facebook's 10-year roadmap emphasizes its overall ecosystem in the first three years, products such
as video, Messenger, WhatsApp, Instagram, Groups and Search through year five, and technologies
including connectivity (drones, satellites, etc.), A.I. and VR and AR through year 10.”
57
Position yourself or be
positioned.
Hint Five
58
Category designers know you have two choices.
1)  You can position yourself.
2)  Or you can be positioned.
POV Framework
Direct Care Difference
Frame
the Problem
Vision for
the Future
Health
Outcomes
Problem
Ramifications
Lack	of	trust	
Lack	of	rela.onship	
Lack	of	context…	
Old	experience	is	bad.	
-  Long	waits	
-  No	rela.onship	
-  Ca>le	care	
Bring	back	the	old				
			school	experience	
Re-connect	doctors,	
and	pa.ents,	and					
family	trust	
Life	long	and		
prosper
60
61
Who controls your
position?
So, you all have a job to do.
And, it’s not to be the best administrators and
paper pushers in the world.
64
The direct care category is not going to design itself.
65
It requires a bunch of category designers, just like you,
to fix this problem and change the world.
66
Thank you.
Those that
design the category
are best positioned
to dominate it.
Dave@playbigger.com
@playbigger
#categorydesign
www.playbigger.com

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