Here's our Category lineup from yesterday.
Categories 6/7/11 dominate this brand, with Category 11 consuming more than half of all sales. This Category is the "Sun" in the Category Solar System, isn't it?
Among the "Big 3", only Category 11 grew in the past year ... both 6/7 contracted. That's not a good sign. In fact, nearly every category contracted in the past year.
Ok, let's look at a handful of interesting and unique metrics.
"Oth Mrch Gain" tells us how much customers who bought from the category also purchased across all other categories in the past year. We care deeply about categories 6/7/11.
- Category 6 contracted by 5.3%. However, customers buying from Category 6 spent 8.8% more last year on all other Categories. Customers were a success, the Category was not a success.
- Category 7 contracted by 9.9% last year. However, customers buying from Category 7 spent 9.6% more on all other categories last year. Customers were a success, the Category was not a success.
- Category 11 GREW by 11.9% last year. However, customers buying from Category 11 spent 4.5% LESS on all other categories last year.
This tells us that it is very likely that Category 11 cannibalized other categories, taking market share from other categories.
We'll deal with the rest of the table tomorrow.
But for today, think about your business. Do you have any Categories that grew in the past year at the expense of other Categories? Is it a good thing if a Category grows at the expense of other Categories?
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