Category market intelligence refers to all actionable information that helps companies to take better procurement decisions.
Any enterprise that deals in the purchase or sale of goods at any level – whether as a manufacturer or dealer or retailer – must be fully aware of the items they have to procure. A detailed knowledge of the product category, vendors, key trends, national regulations, regional, socio-economic geo-political news,etc. is essential for the Chief Procurement Officer (CPO) to take effective decisions.
This market information is a key requirement for businesses to place orders for and trade in the correct products. For instance, knowing what to order today to sell tomorrow means the CPO and his team have to predict market trends and find the OEM businesses that sell the product and are willing and able to send it to the region where the item will be sold without any unnecessary inventory build-ups.
Sounds complicated, right?
Unlike other market data that often look complex but seldom are, category market intelligence is quite complicated. Knowing how to interpret the information generated from a variety of sources is perhaps as important as using it to run the business. Though most large corporations have employed in-house teams to derive actionable intelligence, smaller firms have opted for experts who have extensive knowledge of markets and are able to provide this practical data.
Here are a few benefits that indicate why category market intelligence has become so critical today:
• Filtered actionable insights: As highlighted, the amount of information that companies have to wade through to order products is overwhelming to say the least. It helps to have a small amount of filtered data that focuses on the key points and gives practical, actionable insights.
• Identify trends: Market trends are an important aspect of being able to sell products. Knowing what will be acceptable to buyers will make it easier to sell the products. Lack of such data will result in an inventory of outdated goods and will obviously increase costs.
• Plan the future better: Companies can plan their operations much better with category market intelligence. Having detailed information on vendors, product delivery timelines, distributors, etc. help businesses to keep a track of future operations. Moreover, data on future delivery flows helps the management to strategize better with targeted procurement strategies.
• Respond quickly: More often than not, reacting rapidly to market demands is necessary to run a profitable enterprise. Category market intelligence proves invaluable here as businesses can take advantage of emerging opportunities and react swiftly to fill a demand gap.
• Reliable supply-line planning: Finding the right vendor is as important as selling the product. A supplier who can provide the required quality of product within the necessary timeframe is invaluable to running a profitable enterprise. Category market intelligence helps identify such vendors and allows businesses to benefit from the resulting efficiencies.
Any enterprise that deals in the purchase or sale of goods at any level – whether as a manufacturer or dealer or retailer – must be fully aware of the items they have to procure. A detailed knowledge of the product category, vendors, key trends, national regulations, regional, socio-economic geo-political news,etc. is essential for the Chief Procurement Officer (CPO) to take effective decisions.
This market information is a key requirement for businesses to place orders for and trade in the correct products. For instance, knowing what to order today to sell tomorrow means the CPO and his team have to predict market trends and find the OEM businesses that sell the product and are willing and able to send it to the region where the item will be sold without any unnecessary inventory build-ups.
Sounds complicated, right?
Unlike other market data that often look complex but seldom are, category market intelligence is quite complicated. Knowing how to interpret the information generated from a variety of sources is perhaps as important as using it to run the business. Though most large corporations have employed in-house teams to derive actionable intelligence, smaller firms have opted for experts who have extensive knowledge of markets and are able to provide this practical data.
Here are a few benefits that indicate why category market intelligence has become so critical today:
• Filtered actionable insights: As highlighted, the amount of information that companies have to wade through to order products is overwhelming to say the least. It helps to have a small amount of filtered data that focuses on the key points and gives practical, actionable insights.
• Identify trends: Market trends are an important aspect of being able to sell products. Knowing what will be acceptable to buyers will make it easier to sell the products. Lack of such data will result in an inventory of outdated goods and will obviously increase costs.
• Plan the future better: Companies can plan their operations much better with category market intelligence. Having detailed information on vendors, product delivery timelines, distributors, etc. help businesses to keep a track of future operations. Moreover, data on future delivery flows helps the management to strategize better with targeted procurement strategies.
• Respond quickly: More often than not, reacting rapidly to market demands is necessary to run a profitable enterprise. Category market intelligence proves invaluable here as businesses can take advantage of emerging opportunities and react swiftly to fill a demand gap.
• Reliable supply-line planning: Finding the right vendor is as important as selling the product. A supplier who can provide the required quality of product within the necessary timeframe is invaluable to running a profitable enterprise. Category market intelligence helps identify such vendors and allows businesses to benefit from the resulting efficiencies.
