By BGprod Strategy · 2025-11-13

The difference between explaining a product and creating a category

Should we position against competitors or create a new category?

Short answer

Create a category only when the buyer has no budget line for what you sell. Category creation is slow and expensive; it is worth it when the alternative is competing inside a frame that structurally favours the incumbent.

The budget-line test

Outline: where the money would come from if the buyer said yes today.

What category creation actually costs

Outline: education spend, sales cycle length, and the risk of building a market a competitor harvests.

What are you trying to move?

A reputation, a pipeline, a market position, a launch. Pick a way in.