categorization class notes Flashcards
structure of prodict categories
taxonomic and goal based
taxonomic
Attributes that are used to classify
Mental categories based on common attributes → these categories are organized hierarchically (ie. general categories to specific cub categories )
Ex: classifying different attributes of a car like size, engine capacity, fuel efficiency, price, family transport , city commute, hauling goods
Decide which car you want, then you are offered brands
Ex: desert market→ can categorize desserts as fattening (pie) vs non fattening (yogurt), these attributes are used to categorize the deserts section
Retailers should also use taxonomic categories which is what we see in stores. Stores will follow this format
Theres not one taxonomic category
My brand can sometimes fit into more than one taxonomic category→ fruit juice that is carbonated.
goal based
Mental categories based on common goals
Like back to school
Not taxonomic
Based on common goals or objectives (summer bbq, back to school)
When consumers have a very important purchase goal in mind
Specific goals or broad objectic
Think are they important fpr consumers and are there complementary products → consumers search for items with goals
When consumers have an important goal in mind they find it easy to seach product displays organized in a goal based manner
Easy to do this in online stores→ e commerce can easily offer both taxonomic and goal based categorization of products
LESS COMMON BUT USEUFL FOR MARKETERS
cereal are organized this wa
Looking across multiple product categories
COMPETITION
NEW PRODCUTS
Are tehre multiple categories to market properly
Marketers think of one category bc you might have cross competition
Ex: movies compete with other forms of audio visual entertainment → are you cpmeptitng against other movies or even in a broader category of entertainment options
Broad category: video games, music concert., stage shows, escape rooms, amusement parks
Design the movie experience uniquely so you separate yourself from the other options
Movies can offer a sensory experience to try and differentiate themselves
Marketer should be thinking about competition and put themselves in the shoes of the consumers like what are they debating between
Ex: imax, 3d, surround sound date night, costume party, popcorn, etc
Reposition in a different category
You can put your brand in another category
Ex: red bull: its an energy drink but maybe preposition as a mixer drink ( less competition) its a crowded category
Ex: sports drinks→ limited category can reposition to increase demand as a health drink (larger market) not everyone is a sports person but maybe people are interested in health (more demand)
Create a new category
Less competition= increased sales
Be the first mover
Top of mind recall
Create new product category or sub category
New product category is hard to do bc of innovation
Sub category: minivan in the 1990s chrysler
Ex of new category: air fryer, from ninja
Combine multiple categories
CrossCcategory new products
E:x: phone and cameras coming together
Ex: combining fruit
One shortcut you can use is to combine categories into one product ex: iphone is a mix of camera and phone
Ex: Watches can be used for making calls now
Best of both worlds when categories are close/ moderately close to each other in the mind
Consumers feel that the benefits of one category can be easily transferred into an adjacent category by the firm (i.e., firm has technical capability in the different categories eing combined)
Lots of research on combination of categories, should put together categories that are not that far from each other (phone and camera) vs toaster and radio are quite different
Want to pyt your brand in categories that have a positive association
Product category: meat
There are brands for meat
Red meat is associated with unhealthy negative associations like you will have higher blood pressure and thus sales of red meat have gone down
Chicken has been getting a good rep, doenst have fat. Even with chicken, people have doubts → is the chicken atually healthy for us and for the environment and are the animals healthy? Now chicken sales have flattened
Think about what consumers think about the prodict and when thoughts change, move into a new product category
New sub category of meat
There are meat substitutes
There are positive healthier associations because they are made with vegetables And good for the environment so they are being offered more
How are the sections changing in grocery stores? Ex: gluton free has increased in grocery markets, product sections are larger because now there is more demand
The next step→ insect protein
Insect protein → crickets, meal worms
Pros: its better for the environment bc less water and grassland, less methane, less animal cruelty
Even though insect protein is better for you, we negatively associate it
What can marketers do to try and get rid of associations and try and market insect food
Trial
Illustrate the benefits
Aim it towards children as dares
Aim toward different segments→ Aim it toward body builders and gym buffs
Category associations
Positive vs negative associations
How dp we counter those neg associations → can be done by changing the category label
Ex; prunes got a bad rep so change the name to dried plums
Ex: canola oil used to be called rapeseed
Ex: fish. There are different types that have gross names but if you change the names might become more attractive
Use a price higher bc it mean higher quality and no pictures so lack of availability
country of origin
Part of category associations
Ex: wine, there are different countries that produce wine and each country has its own association. France would be seen as elegant
Cna create a new category of wine → less competition and create positive associations
Mostly set up in wine stores by country of origin, but also some categories are made up by vineyards who market it certain ways
Misleading country of origin
bavaria—> germany has a good reputation for beer due to their laws, the beer is actually from holland
Lawsuit against Barilla→ they claimed it was from italy even though it was made it montreal because they wanted consumers to associate the pasta with authenticity and the “land of pasta”
Attribute associations
Price is very important
If they look at price, what inferences do they make ? price quality association
