According to Wall Street** on October 12**, in an uncertain economic environment, the growth of various industries has been greatly impacted. Affected by the changes in the business environment and the first environment, the practice of enterprises has also encountered great challenges. In the field of consulting, where traditional concepts and approaches are being questioned in a rapidly changing environment, there is one consulting firm that stands out and has made a name for itself in the business world, and many brands have benefited from this strategic framework, Reece Consulting, which has created a top 10 category champion in the past five years.
Wall Street**" commented that the key to the success of this consulting firm lies in its innovative business strategy - category innovation theory, which is hailed"The father of category innovation theory"Through this new direction, Zhang Yun, the global chairman, has elevated the concept of traditional positioning theory to a new level, and category innovation theory has become the ultimate strategy for enterprise growth.
Many companies are in an industry that has declined as a whole, but this category has bucked the trend and grown to become a champion. The tank brand in the automotive industry has sprung up in the context of the overall shrinkage of the fuel vehicle market, the building materials field has been hit in recent years, and the ceramic tile brand Bighorn Deer is still maintaining rapid growth, which are the representative results of category innovation practice.
In the case of tanks, Reese saw an opportunity in the automotive market that had yet to capture the minds of consumers. Through exhaustive research and research, Reese Consulting's team discovered the limitations of new energy vehicles in the off-road market. The "Tank", a luxury off-road SUV, perfectly combines functionality and style. "The tank has strategically created an off-road SUV with a mix of fashion, color and smart technology elements in its design. After the launch of the new product, the supply exceeds the demand, so that customers can wait in line for up to three to six months", mentioned Mr. Zhang Yun.
Looking back on the development of positioning theory, Zhang Yun believes that since its introduction to China in the 90s of the 20th century, positioning theory has had a huge impact in China and has become one of the most influential business ideas among local entrepreneurs. However, strategic consulting is increasingly challenged to apply this theory. Looking back on the 60-year history of positioning theory since its birth, Zhang Yun said, "Positioning theory urgently needs to keep pace with the times in order to adapt to the ever-changing external environment. However, many people in the industry still have a good understanding of positioning theory in the last century. Some consulting firms simply copy the 'high-end, leader' positioning and apply it to all categories and brandsSome refer to each positioning as a "big battle", encouraging customers to spend a lot of money and gamble on the results of marketing, which undoubtedly increases the risk of business operation and has a negative impact on the reputation of positioning theory. ”
Compared with the 60s of the last century, when positioning theory was born, the drastic changes in the environment such as super technology and consumption iteration have brought unprecedented historical opportunities for the explosion of new categories. As early as the beginning of the 20th century, the founders of Reese Consulting Al Rees and Laura Rees put forward the concept of category innovation, on the basis of which Zhang Yun systematically summarized and launched the theoretical ideas of category innovation based on the consulting practice of Rees after entering the Chinese market in 2007. "Wall Street**" pointed out in the report that the theory of category innovation"adopted"Infinite Gaming"provides an opportunity to open up new market space.
The Category Innovation Theory incorporates the essence of cognitive psychology, "The mind starts with classification.""with"The ladders are limited and the categories are infinite"Daniel Kahneman, a well-known psychologist and Nobel laureate in economics, endorsed the idea, demonstrating the scientific rigor and practicality of the theory.
The theory of category innovation is concise but far-reaching. "Category innovation is about finding a category gap in people's minds and then launching a new brand to occupy that gap. Mr. Zhang Yun commented in a recent interview. Wall Street** highly affirmed the revolutionary nature of the category innovation theory, "which provides actionable guidance that is precisely lacking in other innovation theories." While pioneers such as political economist Joseph Schumpeter and business consultant Clayton Christensen laid an important foundation, they did not provide step-by-step, concrete guidelines for how to implement the specific operations of innovation. The Category Innovation Theory fills this gap by providing businesses with a strategic map that is both actionable and insightful with the 4N model – New Category, New Brand, New Positioning, New Worthiness.
Here's a report from Wall Street: