Introduction
As a clip from some actors’ latest interview pops up on your social media feed, you encounter the stark difference between British and American English all over again. The land where fries are actually chips, while chips are called crisps, where soccer is called football, and fans are “chuffed” instead of being thrilled. This can be so confusing. Imagine having to place an order at a store or a restaurant– half the time would be spent in deciding if cilantro and coriander mean the same thing or not!
A similar ordeal is faced by companies that deal with big data. Not only can it be riddled with duplicates, it can also be riddled with products that you might not even realize mean the same thing! Blankets could be termed “quilts” by one supplier, and simply as “blankets” by another, while a thick handkerchief could be listed as a “towel” in some cases. Filtering such products and collating them manually could occupy a considerable amount of time, not to mention, it could contain many errors too. This is where Functional Equivalents come into play.
What are Functional Equivalents?
Essentially, these mean something that performs the same function as the other, and can be a replacement for the same. In the above instances, both quilts and blankets perform the same functions (provided they are made of the same material, thickness, etc.), and can therefore be called functional equivalents of one another. However, a shower head and a bathtub cannot be called functional equivalents of each other, because even though both help attain similar results, their functions vary.
Why is it important?
- Functional Equivalents can change the trajectory of a company’s profit completely. They are a handy tool to have for one’s internal catalog, as well as competitors’ catalogs. If Company X sells bedspreads, while Company Y sells the same product under the name of ‘bed covers’, the use of functional equivalents can help Company X identify their competitors’ catalogs better, and adjust theirs accordingly.
- This tool can also aid companies to provide better options for their customers while maintaining the integrity and core of a product. For instance, single-use plastic packaging can be replaced with biodegradable packaging, since it serves the same purpose, but is much better for the environment.
We offer this tool with a range of other benefits-
- Internal Catalog Analysis: This can help our clients identify products that might be functional equivalents to each other, and result in a cleaner, more organized taxonomy.
- Competitor Catalog Analysis: This feature allows for our clients to identify products that serve a similar purpose as certain products in their taxonomy, and adjust pricing, sales, advertising, etc., accordingly.
- Attribute-based Matching: Our tool reduces chances of errors significantly by matching products based on their attributes (such as size, length, weight, and other specifications). This helps in finding accurate functional equivalents of products across categories, brands, and even non-standard product codes.
- Data-driven Insights: Based on the insights from the procedures mentioned above, companies are also able to formulate new and appropriate pricing strategies, product differentiation, and marketing initiatives.
