Category roles give a retailer a clear focus and guidelines for what we to do and what not do with their total assortment. Especially in the unlimited possibilities of online retailing, it is important to make the right decisions on this .
Only then can you give strength to the brand, you act according to the needs of the customer and make it possible to reach maximum revenue.
An important question we need to ask ourselves :
Which category is a traffic builder and which category is a basket filler?
And which category are we famous for?
This determines which choices we make and gives the answer to the questions:
- What we do with the the number of sku’s per category, how far do we go on that? What is the right mix assortment between the categories?
- What is the investment in a category and what level of innovation is needed?
- What is our promotion strategy? which items we promote and what is the discount we offer?
- What is your sales price level in relation to the others in the market?
In other words, what “total game” we play with our mix of categories, how do we strengthen our brand values and how do we achieve maximum revenue?