The company's product range management system has a number of tasks. If the strategy is developed to achieve the greatest efficiency of the product category, then the goal in this case is to increase the number of satisfied customers. The development should be carried out by highly qualified specialists, only their knowledge will enable the company to consistently make a profit.
The development of this long-term policy largely depends on the analysis of the strategic characteristics of the product included in a particular category. The information obtained can become the basis for the strategy and an assistant in calculating its effectiveness. This approach makes it possible to optimize the category structure as effectively as possible and do this exactly when necessary.
Developing a Product Category Strategy
Step 5: Develop a Product Category Tactic
A product group must necessarily botim database have its own specific tactics. This opportunistic activity should be understood as defining the product range, setting prices, understanding the optimal promotion, as well as deciding how the product will be located on store shelves. Forming an order and delivery plan also relates to the tactics of a product category.
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Stage 6: Implementation of the plan for the product group
So, the enterprise designates projects for each of the product categories, the implementation of which will increase efficiency within the framework of strategic actions. Here it is necessary to perform an analysis of the indicators that are characteristics of the profitability of the group of products offered for sale. Systematic calculation is also performed at this stage.
To make the task as simple as possible and speed up its solution, it makes sense to resort to using a summary matrix , since it includes extensive information about the effectiveness of the category.
How long this work will be carried out and how often is decided individually. General recommendations from experts say that the plan should be implemented every 3 months. Clear frequency plays an important role here, it makes it possible to determine whether there is an effect from the management decisions taken.
Step 7: Making adjustments to the product category
This stage is necessary only when the efficiency assessment activities have not yielded the most favorable results. Obviously, if the chosen strategy significantly increases the enterprise's profitability, and the positive dynamics are stable, then there is no need for adjustment.
Do not forget that the product range and its structure need to be updated periodically; improvement should be influenced by such factors as market c