Franchise Euphoria Tapping into Category Growth with Eddie Yoon
Eddie Yoon is the founder of EDDIEWOULDGROW, a think tank and advisory firm on growth strategy. Prior to that he was a partner at The Cambridge Group where he worked for 18 years, a strategy consulting firm founded in 1975 that specializes in helping CEOs and senior leadership teams within Fortune 1000 corporations drive growth by understanding how to unlock new sources of consumer demand. In the last 5 years, he has helped double numerous businesses-cable media company, food brand, beverage company, pet food brand, consumer robotics, standby generators-from several hundred million to close to a billion dollars.
Key Takeaways:
[3:40] Regardless of if you are a large company or an up and coming one, many people enter into “growth” with the mindset that it’s a competition, but that strategy rarely has long-term success.
[5:19] Why only 1% of companies capture 80% of category growth.
[7:34] For category minded growth, a great exercise is to pose a question for yourself within your industry, for example in a market where there is a steady stream of people purchasing fried chicken, how do you double the amount of consumers purchasing fried chicken?
[8:13] There’s only three ways to grow your category: grow the number of people who consume your category, increase the number of units per person, or increase the price per unit.
[10:05] Ask yourself, what are you famous for? And never forget that’s what you are famous for and that you will never lose that distinction.
[14:47] Morbid or not, never underestimate the laziness of the American consumer. Making people’s lives easier to give you money is always a good thing.
[17:37] In order to grow, you must first identify and target where your category might “spike” and recognize the potential that it could fail if you make a miscalculation on where the demand actually is.
[21:37] Oftentimes, data scientists are unable to connect demand in ways that make logical sense. Typically, the answer does not like within the data, but within the consumer context.
[23:20] For every Super Consumer out there, there are two to three people who would like to be like them but don’t know how.
[26:34] People are not born Super Consumers. They evolve that way based on a series of life-triggering events.
[28:23] Find the origin stories of your Super Consumers, and target your growth based on those demographics.
[32:47] The magic of marketing is found in these outlier consumers. If you hear a reference to a place or for a service from three different, credible sources, you’re gonna go.
Mentioned in this Episode:
www.FranchiseEuphoria.com/Franchise5