Market concentration

What is market concentration?

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...

BCG Matrix Formulas

There are relatively few calculations required in order to construct effective BCG matrix. Probably the most difficult decision is to define the market – as there are often numerous ways of defining the market, as is further discussed below.

In …

Price premium metric

What is the price premium metric?

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...

Decomposing Market Share

As we know the market share formula is as shown in the following diagram:

market share formulaThe three components of market share

It is possible to decompose market share into three components, namely

  1. Share of customer
  2. Penetration share and
  3. Usage index

Let’s