Market Share Analysis

It is often necessary to commission marketing research (of a secondary or primary nature) to estimate total market size and calculate a company’s market share (expressed as either a proportion of total sales revenue or total units sold). Share often is associated with profitability. Following are specific reasons that a company may seek to increase share:
  • Economies of scale:  Higher volume can be instrumental in developing a cost advantage.
  • Sales growth in a stagnant industry: When the industry is not growing, the firm still can grow its sales by increasing its market share.
  • Reputation: Market leaders have clout that they can use to their advantage.
  • Increased bargaining power: Larger players have an advantage in negotiating with suppliers, channel members.

Call today to find out how iResearch can help you to benchmark, monitor, and improve your company’s market share.

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