Share Metrics Part 2 Flashcards
Penetration Share
To measure the share of category buyer that bought the brand. # Buyers of our brand/ # number of buyers of any category
Penetration Share Insights
Ranges from near 0% to 100%
100% penetration share is different from 100% market share
Share of Requirements (formula)
Brand sales ($,#) / total category purchases by Brand buyers ($,#)
Heavy Usage Index (formula)
(category purchases by our customers/ Number of our Customers) / (total category sales/ total buyers in market)
Market share (formula)
PS X SOR X HUI
Brand development Index
(Brand sales to certain customer/ # certain customer) / ( All brand sales/ all potentials)
Category development Index
(Brand sales to certain customer/ # certain customer) / ( Total category sales/ all potentials)
Markup % =
(Selling Price - Cost)/ Cost
Selling Price
Cost * (1 +Markup %)
Retail Selling Price (RSP)
= WSP / (1 - % Retailer Margin)
Wholesale Selling Price (WSP)
= RSP * (1 - % Retailer Margin)
= DSP / (1 - % Wholesale Margin)
Distributer Selling Price (DSP)
= WSP * (1 - % Wholesaler Margin)
= MSP / (1 - % Distribution Margin)
Manufacturer Selling Price (MSP)
= DSP * (1 - % Distribution Margin)
= Mfr Cost / (1 - % Mfr Margin)
Manufacturer Cost
= MSP * (1 - % Manufacturing Margin)
The key for across distribution channel is
Cost (or supplier selling price) = Selling price * (1 - % Margin)