Segments or Category Entry Points (CEPs)

A Bamboozled Guide to Category Entry Points

Common practice in marketing is to segment the market into distinct groups of people based on their attitudes, behaviours and/or demographics to enable effective targeting, positioning and execution – we prefer Category Entry Points…

Common practice in marketing is to segment the market into distinct groups of people based on their attitudes, behaviours and/or demographics to enable effective targeting, positioning and execution. An alternative is Category Entry Points

But what if there’s a better way?

 

Introducing Category Entry Points (CEPs)

CEPs are an alternative approach that builds off the back of the laws of growth focuses on the situations or contexts in which people buy and use products or services.   

An alternative approach is to assume that there’s more discrimination in what people do based on the context they’re in e.g. where they are, how they’re feeling, what their needs are at a point in time (Category Entry Points)

Think about it: you’re the same person when you’re grabbing a quick coffee on your way to work as you are when you’re relaxing at home with a cup of tea.

Why Situations Trump Segments

There are a few key reasons why we believe situations are a better framework for most brands:

  • Situations are uniting. Rather than looking for differences between people, CEPs look for the things that unite us all. This allows brands to reach more people with a single, relevant message.   
  • Situations are adaptable. Needs and situations can change over time. CEPs can adapt to these changes, while segments can quickly become outdated.
  • Situations are broad-reaching. CEPs allow brands to target a wider range of people, as they don’t exclude anyone based on arbitrary segment definitions.

An Example: Coffee

Let’s say you’re a coffee brand. A traditional segmentation might divide the market into groups like “functional fuelers” (people who need a quick caffeine fix) and “discerning drinkers” (people who appreciate a high-quality cup of coffee).

An example framework in the coffee category entry points
An example framework in the coffee category

But a CEP-based framework would look at the situations in which people drink coffee, such as:

  • Mornings, before work/school   
  • At home
  • On the go/traveling
  • At work/office
  • Relaxing and unwinding

This allows you to target people with messages that are relevant to their specific needs and motivations at that moment.

Less Bumph, More Ooomph

At Bamboozled, we help brands unlock explosive growth through CEP research. We’ll help you identify the most valuable situations for your brand and develop marketing strategies that resonate with your target audience.   

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