Market Size & Market Share Flashcards
Potential Market
Set of consumers who possess some interest in a product or to whom the product is potentially relevant
Available Market
Set of consumers who have interest in, income for, and market access to a particular product
Target Market
Part of the available market the company decides to pursue with marketing activities
Market Demand
Total volume that would be bought by a particular consumer group, in a particular time period, in a particular marketing environment, under a particular marketing program
Influencers on Market Demand
external marketing conditions & marketing activities
Market Forecast
Market demand corresponding to a certain level of marketing expenditures
Primary Demand
Total volume demanded by customers for a product category
Secondary Demand
Total volume demanded by customers for a specific brand or product (within a product category)
Market Minimum
certain level of demand for the product that would occur without any marketing spend
Market Potential
marketing expenditures become ineffective at generating incremental demand because the market has been tapped out
Market Demand (dollars) Equation
Market Demand (units) * Avg Retail Price
Product Demand
Total Volume of a firm’s product which will be purchased by a particular consumer group, in a particular time period, in a particular marketing environment, under a particular marketing program
Influencers on Product Demand
Firm’s level of marketing expenditures compared to competitors’ marketing spend levels
Effectiveness and efficiency of the firm’s marketing expenditures versus competition
Product Demand (dollars) Equation
Product Demand (units) * Avg Product Price
Unit Market Share Equation
Product Demand/Sales (units) / Market Demand/Sales (units)
