Category management: What are the challenges during a crisis?

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The preventive measures established by the government due to COVID-19 had a major impact on the market, affecting the shopper's perspective.

With social isolation, there were many changes within points of sale, which began to meet consumer needs, prioritizing essential products and services. 

Causing major changes in category management and brand positioning strategies at the POS. Time is experiencing many adaptations and, even in an environment like this, the measures aim to overcome the moment.

Thinking about these challenges in times of crisis, we have prepared special content. Continue reading and check out:  

    • What is category management?
    • What is GC for?
    • What are the challenges encountered in the short and long term? 
    • How to stimulate new knowledge?


    What is category management?

    GC is a management tool within points of sale. If you work in trade marketing, you've probably heard of category management. This strategic process aims to offer a good experience for the shopper.

    Helping to optimize expenses and indicating better opportunities within the point of sale, its function is to provide practicality in the purchasing routine and ensure a direct connection with the consumer.

    The concept of GC is related to the association ECR – Efficient Consumer Response, or Efficient Consumer Response in English, which aims to bring industry and retail together efficiently, meeting the needs of the shopper.

    After all, what is category management for?

    GC is the management of the location of products within points of sale. The secret to good category management lies in the supplier's partnership with retailers and how your product category will be defined.

    Therefore, it is about working together continuously so that the results are more effective. Defining the correct classification and a suitable location according to the product, derivatives and segment. Examples: 

    • Hygiene: Soap, toothpaste, shampoo;
    • Cleaning: Detergent, softener, disinfectant;
    • Drinks: Milk, juice, soda, water. 

    Among so many varieties, defining the location for your brand may seem like an easy process, but category management goes beyond classifying and organizing products at points of sale.

    It is necessary to establish strategies for attractive communication, presenting your product in an appropriate way for its category, proposing recognition for your brand. GC is a management that needs to be applied to any company or sector, regardless of size.

    What challenges do COVID-19 face in category management?

    Not all companies were prepared for these changes in the market. Since the beginning of this pandemic, we have been dealing with a crisis that has been growing as social isolation continues.

    This growth resulted in a major change in consumer behavior, who began to seek out purchases to meet their basic needs during this pandemic period. As a result, there was an increase in retail sales, which had a positive impact on essential categories, such as: commodities, cleaning and grocery.

    The new shopper behavior brought changes to strategies at points of sale, causing category management to evaluate consumer action, aiming to plan the current situation.

    What measures can your company take immediately?

    It is important to analyze your space to identify and make sure that your brand is offering the essentials according to the latest demands, making space and offering your products appropriately. If necessary:

    • Guarantee supply, to avoid possible rupture;
    • Focus on the right product within points of sale;
    • Evaluate your product mix by providing the essentials.

    How to plan for the long term?

    Obviously many things will change! As everything falls into place, it is important that your company's management analyzes and plans strategies for points of sale, preparing your team for this new future.

    Thinking about the next actions and highlighting the long-term scenario, we point out some measures:

    • Adapt new actions for your company, prioritizing the environment, health and well-being;
    • Analyze the shopper's basket, deciding what will be included and what will be removed, according to consumption priority;
    • Prioritize the concept of sustainability in your company and explore suppliers that suit the concept;
    • Reorganize the retail layout at points of sale.

    Thinking in the long term, many things will need to be analyzed and evaluated if social isolation continues.

    We have examples of other countries that have gone through this situation and are gradually reestablishing themselves, giving us the opportunity to observe what measures they are taking and what business models they use, creating new trends and changes in habits to offer the shopper a new environment. 

    How to stimulate new knowledge?

    The new awakens knowledge and gives us the opportunity to learn. With this in mind, Take5 developed the FlashSales, a fully customized system for personalized learning.

    Known as mobile learning, it is a teaching methodology that is developed with content strategically prepared in short videos and aims to transmit quick and efficient teaching. Through knowledge pills, you are able to disseminate more complex concepts, advanced functions and positioning messages.

    Focused on distributing content in a standardized way, it informs employees remotely and transmits the essentials quickly.

    FlashSales is an application with an interface completely customized to your brand's visual identity, with consumer information, offering a complete control panel, providing your employees with more autonomy at the time of sales!

    Do you want to know how to integrate FlashSales into your company? Talk to Take5:


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