Market Sizing
In order to justify the investment involved in entering a new market or sector it is important to gain a good understanding of the size of the market opportunity. Business Advantage has a specialist team who have developed a range of approaches to collate and verify market information on size and opportunity.
Do you really know your market?
Business Advantage has a range of tools and approaches to help our clients to assess the value, size and opportunity of a predefined region, market, industry sector of segment.
To realise the optimum profit potential of your products and services you need to know the size of your target markets and understand what trends are emerging and shaping the development of those markets.
Our research to establish the size, shape, characteristics and direction of your market enables you to:
- Dentify key objectives and set realistic targets
- Tailor differing marketing action according to the characteristics of particular market groups
- Plan your sales and marketing activity
- Maximise revenue and profit potential
To provide the most cost-effective service we firstly identify information available through secondary research.
There are two broad approaches to market sizing:
1. Quantitative
When this approach is adopted and the sample size is large an accurate picture of the market can be established. The first step is to define:
- The ‘universe’ in which your market exists by listing all the sectors to which your product/service could be relevant
- Interviewing a sample from these to assess the potential penetration of the product/service and identify key players already present in that market
- Grossing the figure up to produce an estimate of total market size
Although accurate this approach can be expensive and time consuming.
2. Qualitative
This approach can be more cost effective and is more indicative of the market size. It involves some initial secondary research to obtain market statistics and existing estimates followed by in-depth interviews with industry experts, analysts, vendors and channel partners. This approach can be used to monitor key market players.
Business Advantage adopts a creative approach to displaying market sizing results using pivot tables, charts and market maps.
