“It's better to be first in the customer's mind than to be better - humans create mental categories for new information, and once those categories are full, it's hard to add new things.”
About category creation
A positioning strategy in which a company defines and dominates a new market category rather than competing in an existing one — establishing the criteria customers use to evaluate the space.
Relevant Clips20
- Teaching▶ 8:22
Better to Be First in the Customer's Mind Than Best
It's better to be first in the customer's mind than to be better - humans create mental categories for new information, and once those categories are full, it's hard to add new things.
- Teaching▶ 13:14
Narrow Your Category to Own It
Create specific enough categories to be first - instead of general 'health' coaching, narrow down to something like 'natural weight loss for women' to find a category you can own.
- Teaching▶ 1:15
Southwest Airlines Model: Constancy of Purpose in Action
Southwest Airlines exemplifies proper constancy of purpose by never changing their low-cost strategy while continuously improving the customer experience within that framework
- Teaching▶ 5:47
BlackBerry Won on Repetitive Sound; Palm Lost When Shortened
BlackBerry became the universal name for handheld devices because of its memorable repetitive sounds, while Palm lost market share when they shortened Palm Pilot to just Palm
- Teaching▶ 32:40
Ask What Customers Want That They Can't Find Anywhere
There's always a huge opportunity to create a new category you can completely own by asking what customers are looking for that they can't find in existing products
- Teaching▶ 1:47
Seven Plus or Minus Two — How Mental Categories Fill Up
Human minds can only remember about seven plus or minus two pieces of information in any category - once a mental category is full, no new items get added
- Teaching▶ 4:31
Create a Category and Position Yourself as the Originator
Don't just create a product or service - create an entire category and position yourself as the originator to attract premium partnerships and clients
- Teaching
Make Each Product Its Own Category to Block Competitors
Create competitive barriers by making each product its own category so competitors must compete with entire categories rather than individual products
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First in Category Beats Better Product Every Time
It's better to be first in a category than to have a better product - people choose the first thing they remember, not necessarily the better option
- Teaching▶ 6:52
Neutrogena's Narrow Niche That Won a Category
Neutrogena became #1 in their categories by starting with the narrow message of 'use every couple weeks to wash off residue from other soaps'
- Teaching▶ 7:26
Differentiation Requires Doing Something Fundamentally Different
Differentiation in the market requires doing something fundamentally different from what everyone else is doing, not just minor improvements
- Teaching▶ 4:29
Creating the Dating Advice for Men Category from Scratch
Eben created the "dating advice for men" category by focusing on getting dates rather than relationships, generating millions in revenue
Show 8 more
- Teaching
Creating Each Product as Its Own Defensible Category
Transform your product strategy from a product line to a product curriculum by creating each product as its own defensible category
- Teaching
Start Different by Addressing Unmet Needs Rather Than Fighting Competitors
Instead of trying to differentiate yourself from competitors, focus on starting different by addressing unmet customer needs
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Drill Into Sub-Niches to Dominate a Category
Drill down to find sub-niches where your specific knowledge creates unique solutions and allows you to dominate a category
- Teaching▶ 14:46
Any Two Skills Combined Create Unique Positioning
Any two skills can be combined for unique positioning - even seemingly unrelated ones like cooking and productivity
- Teaching▶ 2:37
Packaging Your Offer as a Proven System
Transform your offering from a product or service into a proven system or method that delivers specific results
- Teaching▶ 2:53
Being First in the Customer's Mind Creates Automatic Differentiation
Being first to deliver a specific result or outcome in the customer's mind creates automatic differentiation
- Teaching
Narrow Focus to Create Category Leadership
Narrow your focus to create category leadership rather than expanding to serve everyone
- Teaching▶ 2:30
Position Your Product as the Original Leader in Your Niche
Position your product and company as the original and the leader in your niche