Comments on: The Marketing Trap http://www.newavenue.com/2009/06/11/the-marketing-trap/ Marketing Insights for Business Leaders Mon, 26 Jul 2010 20:37:56 +0000 http://wordpress.org/?v=2.9 hourly 1 By: Greg Head http://www.newavenue.com/2009/06/11/the-marketing-trap/comment-page-1/#comment-111 Greg Head Sat, 13 Jun 2009 21:36:34 +0000 http://www.newavenue.com/?p=457#comment-111 Good question. Remember, first is not just the first to try ("first mover"), but first to be recognized as a leader by the market. The first one to be recognized as the leader has the top position and will get disproportionate attention and market share. If you are not the leader in your category, you can "draft" off the exposure the leader builds, but you have to clearly communicate your unique benefit compared to the leader. You also should be realistic about your market position. Too many startups declare they are leaders of a new category before they have proven a new market exists. It's important to know that the vendors do not validate a category -- the market does. It's as if the crowd says, "OK, enough people are doing it that it isn't going away. So let's call it "smartphones," for example. Lastly, if you have a significant difference from competition in an existing category, it may in fact be a new subcategory, as in "smartphones with QWERTY keyboards" vs "smartpones with touchscreens." Categories subdivide when in makes sense. Entrepreneurs can do a lot to help this along. Good question. Remember, first is not just the first to try (“first mover”), but first to be recognized as a leader by the market. The first one to be recognized as the leader has the top position and will get disproportionate attention and market share. If you are not the leader in your category, you can “draft” off the exposure the leader builds, but you have to clearly communicate your unique benefit compared to the leader. You also should be realistic about your market position.

Too many startups declare they are leaders of a new category before they have proven a new market exists. It’s important to know that the vendors do not validate a category — the market does. It’s as if the crowd says, “OK, enough people are doing it that it isn’t going away. So let’s call it “smartphones,” for example.

Lastly, if you have a significant difference from competition in an existing category, it may in fact be a new subcategory, as in “smartphones with QWERTY keyboards” vs “smartpones with touchscreens.” Categories subdivide when in makes sense. Entrepreneurs can do a lot to help this along.

]]> By: Vincent Serpico http://www.newavenue.com/2009/06/11/the-marketing-trap/comment-page-1/#comment-104 Vincent Serpico Fri, 12 Jun 2009 23:00:29 +0000 http://www.newavenue.com/?p=457#comment-104 I'm familiar with the law that "first in category" is usually who is first remembered (e.g., Who was the first person to fly solo across the Atlantic? Who was the second?) ... but creating a new category for the sake of being first can cause Category Proliferation and saturate a vertical. So (and this might be too much for a blog comment) what advice do you give to those who are not first in a category, but have a significant value proposition over their competitors in that category? I’m familiar with the law that “first in category” is usually who is first remembered (e.g., Who was the first person to fly solo across the Atlantic? Who was the second?) … but creating a new category for the sake of being first can cause Category Proliferation and saturate a vertical. So (and this might be too much for a blog comment) what advice do you give to those who are not first in a category, but have a significant value proposition over their competitors in that category?

]]> By: Greg Head http://www.newavenue.com/2009/06/11/the-marketing-trap/comment-page-1/#comment-101 Greg Head Fri, 12 Jun 2009 05:03:50 +0000 http://www.newavenue.com/?p=457#comment-101 You're a serious marketer and you are obviously going for the big prize - change the world and build a big, defensible company. Maybe it's so rare because it sounds crazy or risky to go out and "create a category." Having done it several times and seen it happen for hundreds of successful entrepreneurs, it's hard for me to imagine any other way. Why would you put it in all that effort just be a 2nd or 3rd player and let someone else have all the glory? You’re a serious marketer and you are obviously going for the big prize – change the world and build a big, defensible company.

Maybe it’s so rare because it sounds crazy or risky to go out and “create a category.” Having done it several times and seen it happen for hundreds of successful entrepreneurs, it’s hard for me to imagine any other way. Why would you put it in all that effort just be a 2nd or 3rd player and let someone else have all the glory?

]]> By: Chris Drake http://www.newavenue.com/2009/06/11/the-marketing-trap/comment-page-1/#comment-99 Chris Drake Fri, 12 Jun 2009 03:33:52 +0000 http://www.newavenue.com/?p=457#comment-99 Great post Greg. I'd personally would rather create a category than try to compete in an existing category any day of the week. Great post Greg. I’d personally would rather create a category than try to compete in an existing category any day of the week.

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