How Does Category Design Help in the Success of Your Business?

Lakshya Singh Lakshya Singh
Apr 17, 2022 5 min read
How Does Category Design Help in the Success of Your Business?

Surviving and thriving in the business world requires forward-thinking and innovation. Category design is a strategic approach that uses points of view to win customers and increase brand awareness. The traditional method of creating products followed by rigorous marketing doesn’t always guarantee results.

If you’re looking to establish yourself in a certain niche, the category design principle is the way to go. Even in specialized niches, there’s a possibility of crowding. Category design helps create a unique company powered by unique processes and a great brand—ultimately achieving the ‘Category King’ title.

The concept is premised on owning the market and tilting the thought process of your target clients in your favour. The mental shift in the appreciation of your brand is the end goal. In this article, we will talk about how category design helps businesses to achieve success.

Harmonized and Laser Focus of Marketing Campaigns
Discovering and Dominating New Category of Business
Creating Dominant Products
Tapping Into Existing and Working Systems
Create Loyal and New Customers
Impacting the Society Positively

Harmonized and Laser Focus of Marketing Campaigns

Marketing efforts and campaigns may contain different messages making it a trial and error method. The effectiveness of marketing efforts is a big success factor in a business. To dominate markets, a harmonized marketing campaign backed by a solid product can lead to ultimate success.

One of the key marketing originators is your staff. A clear understanding of the Point of View (POV) can be beneficial in a variety of ways. This includes: -

  • Campaigns in Media- This will create an overall standard angle of blogs, messages in the radio and TV ads, and other assets such as influencer marketers.
  • Employee Marketing- They'll have a harmonized way of tackling issues like customer service leading to brand authority.

Brands that command markets use a standard way of doing things. Harmonized marketing messages can help a lot in achieving this.

Discovering and Dominating New Category of Business

Popular brands like Twitter, Coca-Cola, Airbnb, Uber, and Apple have one thing in common. They take time to study the market, develop a product that answers the needs and create a winning and unique marketing campaign.

These companies don’t necessarily create new inventions. For instance, taxi services existed before, but Uber’s business model was created to meet a certain market need. This propelled them to become a global household brand.

Creating a mind shift and new demand is what revolutionizes markets. Airbnb for instance is a unique service that offers cheaper alternative accommodation for guests around the world. Since it was launched in 2008, it has hosted 400 million guests and is present in 191 countries.

The huge success of these unique companies is inspired by daily problems. These companies leverage existing technology, existing industries, and marketing platforms to monopolize these categories.

Creating Dominant Products

In a bid to make money in business, people tend to go with the flow. This leads to continued production of mediocre products, shrinking value to the customers, and, ultimately, poor response from the market.

Listed below are ways in which great and legendary products are created and established: -

  • Study Competitors- This is an old principle but it’s very important in any business for success. Look at the model of operation to spot areas of improvement. Sealing loopholes in a competitor’s product can be a springboard to a great product.
  • Customer Pain Points- Words on the street, online reviews, and professional reviewers can help discover product ideas. Category design aims at creating products that offer genuine and niche solutions.
  • Product Presentation- Packaging products to dominate markets involves branding messages and an overall presentation that seals the existing loopholes.

Using category design, your product can achieve the dominant player status. This is achieved through a thorough product development cycle.

Tapping Into Existing and Working Systems

One of the biggest reasons for creating businesses is making revenues, profits, and generating wealth. To shorten the journey to success, re-inventing an old principle doesn’t always translate into revenue. If a business can use the already existing models and systems, it’s much better.

Let’s look at two businesses that utilized this model to succeed.

  • Netflix- Netflix and other similar programs made watching movies and other TV programs very affordable. Instead of paying a huge cinema entry fee, Netflix offers a revolutionary service where a nominal monthly subscription can provide access to unlimited movies and programs. The model of business is an agency that sign-ups movie productions and brings them to the masses.
  • Amazon- This e-commerce company made a $3.3b net income in 2019. Amazon doesn’t manufacture any of the products it sells and doesn’t own the internet or the delivery channels. This is an example of a successful company that brings ideas into an existing ecosystem.

Leveraging existing business models helps eliminate huge capital expenditure. This lets you focus on solving customer pain points and popularizing your unique viewpoints.

Create Loyal and New Customers

Category design doesn’t bring big business to you, but loyal and new audiences do. People and the market get excited by new products, unique innovations, and ground-breaking ideas. This makes them reward you with continuous business and social applause.

Loyal customers give you positive reviews and recommend you to other clients. This, in turn, creates a spiral effect that brings new customers to you. Ultimately, you can use customer support and free endorsement from them to create new and better products.

Impacting the Society Positively

Apart from profits, social impact at the community and the global level is one of the major objectives of a business. Category design can help create products coupled with marketing messages that can drift people's mindsets.

Apple, for instance, uses the tagline ‘Think differently’. Its products and brands reinforce the message. This makes such a brand have a positive impact on future business leaders and innovators. This has propelled the success of multiple brands such as iPod, iPhone, Apple Store, and iTunes.

Conclusion

Category design is a unique way of improving your business and putting it on the path to success. The idea is founded on creating a highly specialized niche that can help you dominate markets. Forward and revolutionary thinking are the secrets of the success of big and wealthy brands. To fully tap into this strategy in business, investing in your innovation hub should be a top priority. This will help you research, develop, and tilt viewpoints so that your company can thrive.

FAQs

What is Category Design?

Category design is a strategy that helps a business develop its own classification of products and services.

When was Category Design proposed?

Category design was first proposed in a book called Play Bigger.

Who was the writer of Play Bigger?

Play bigger is written by Al Ramadan, Dave Peterson, Kevin Maney and Christopher Lochhead.

What is a Category blueprint?

A category Blueprint is a design of how a product or service will work in the future.

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