What characteristic defines a category killer?

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A category killer is characterized by its dominant market share in a specialized category, which allows it to effectively outcompete other retailers in that space. This dominance typically comes from offering a vast selection of products at competitive prices, along with high levels of expertise in that specific category. Because of their significant size and market power, category killers can often leverage economies of scale to drive costs down and attract a larger customer base.

In contrast, a small selection of products would not support the definition of a category killer, as the term implies a wide variety of offerings. High prices would also contradict the competitive edge that a category killer usually has; they are known for low prices that attract customers. Additionally, poor customer service does not align with the category killer concept, as successful retailers in this category often provide a good shopping experience to maintain and grow their customer base.

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