The Law of Category


The Law of Category – #2 Law under the 22 Immutable Laws of Marketing

SAVAS Lead or Follow

“If you can’t be the first in a category, set up a new category you can be first in”. ‘Everyone is interested in what’s new. Few people are interested in what’s better.

f it is easy to become a first in the market by thinking different, it is even easier to create a category of your own. It is today’s mantra of business across the globe. Do the same but we do it differently and therefore cannot be called the same. Just by adding a twist in the tale the composition changes and hence the identity. If the leader in your intended category is doing something unique, all you need to do is search for how could you make it a little different. Under this law, if one is interested in starting something on their own and can afford to stay afloat for more than 12 months with minimum or zero earnings, the best bet is to get into the most happening business, no matter how crowded it is. The more crowded it is, the better for you since you already know that this business has customer base and all you have to do is find one thing that will make you different and stand out among the lot.

You call e-retailing / e-tailing an industry, then selling garments online can be a category that is different from selling electronics online. Take Myntra and Zivame for example. Myntra is purely into selling garments online whereas Zivame is purely into selling lingerie only. Both are leaders in their own categories.

If both of you are selling the same goods, then having a local distribution centre can make you a neighbourhood e-commerce portal. Amazon, in what’s a first in India, started piloting the concept of enlisting kiranas (small neighbourhood retail store present in almost all corners of the streets) as delivery points.

All that is needed is the difference between you and the first and you make the difference as your identity and start getting identified as the first in your own category. Call it a ‘cup half full’ of a ‘cup half empty’, all that matters is if it matters for the audience who you are after. Again, as mentioned under the ‘Law of Leadership, maintaining a healthy gap between you and your immediate follower is very critical. Thinking ahead and closing down on all possible variations in your business upfront can save you time and effort in advance and not to mention save you a lot of heartburn later. Going back to the example of Myntra and Zivame. Had Myntra also sold lingerie as one of their prominent segment under their brand, Zivame would probably not even think of getting into the exclusive business of selling Lingerie. Whereas now Myntra has also added Lingerie as one of their offerings but will always stay behind Zivame until unless Zivame gives them as chance by making a mistake somewhere someday.


Prrashanth SAVAS author

About the Author

Prrashanth H Nagaraj is the Founder and Managing Director of SAVASInc. He comes with around 16 years of professional experience across multiple industries such as Engineering, Banking, Insurance, IT, ITES and Digital Media. He is graduated in B. Eng. from University of Mysore and has a MBA degree, specialized in International Business from the University of the West of England, UK.