Two broad areas of growth – the market itself and market share
The opportunity for growth in unit sales is underpinned by two aspects:
- The level of growth in the marketplace – that is, the growth phase of the product
Prepared by a marketing lecturer, designed for university-level students
The opportunity for growth in unit sales is underpinned by two aspects:
The market share metric is relevant in the following circumstances:
Here you can download the free Excel template to calculate market shares
Remember to check out all the free Excel templates available on Market Share Calculations
The market share spreadsheet should look like this when you open it…
There are three free Excel templates available for download on this site. Please go to their download pages on the site, as follows:
Template for market shares and price premium
There are numerous hierarchy of effects models that are covered in marketing literature. Probably the most common one was developed in 1961 and is a six stage model … Read more...
When calculating relative market shares, a decision needs to be made of whether to monitor relative market shares based upon unit sales or based upon revenue share? Most firms would utilize and … Read more...
Not all firms are interested in bench-marking themselves against the market leader – which is the more common calculation of relative market shares.
Indeed, for many small firms, this may … Read more...
Relative market share is a marketing metric that is essentially used as a benchmark against the market leader. Market shares will move around for many reasons and underlying factors, but this metric allows … Read more...
Here is the download link for the Free Excel template for relative market shares
Please check out all the free Excel spreadsheets available for download on Market Share Calculations.
The relative market shares template should look like this…
The Herfindahl index is a variation of the market concentration marketing metric. Instead of a simple sum of the market shares of the larger brands in the marketplace, the Herfindahl index applies a multiple (squared) … Read more...
Here you can download the free Excel template for market concentration
This template also calculates theHerfindahl-Hirschman index.
Please check out the other free Excel templates on this website.
The spreadsheet should look like this…
The market concentration marketing metric uses unit market shares to determine the extent of dominance by the large players in the marketplace. It is a key metric to measure the intensity of competition within a … Read more...
For those people familiar with the BCG matrix, you should recall that the horizontal axis measures relative market share.
This is the more important of the two dimensions. A high or low … Read more...
Important Note: There are lots of ways of looking at market share – see list below.
It would be a mistake for a firm to rely upon one market share measure only. Assuming that the firm has access to competitive … Read more...
Market share is a generally easy metric to calculate provided you have access to unit and revenue sales. This is relatively common in a retail setting where the sales information is captured by a point-of-sale terminal on an industry basis.… Read more...
Price premium refers to the brand’s price to the consumer relative to a key competitors price or relative to the average price charged in the marketplace.
This particular marketing metric is often of interest … Read more...
As we know the market share formula is as shown in the following diagram:
It is possible to decompose market share into three components, namely
Let’s … Read more...
Market share is a measure of how the brand/firm is performing relative to its competition.
The measurement of market share is a relatively common marketing metric. There are two main types of market share metrics, namely unit market share and … Read more...