Market Potential

Market Potential

Market Potential Jonathan Poland

Market potential is an estimate of the maximum sales of a product or service. It is a somewhat imaginary estimate as it assumes that a business can capture the entire market for a product. It is typically used by businesses to evaluate the potential of a new market or to compare the potential of different markets. Market potential is determined by a number of factors, including the size and growth of the population in the market, the level of consumer income and spending, and the availability and accessibility of competing products or services. By understanding the market potential of a particular market, a business can make informed decisions about whether to enter the market and how to position and market its products or services. The following are illustrative examples of a market potential.

Industry
The size of an entire industry such as fast food. This type of estimate tends to be accurate as governments and industry associations may publish relevant data.

Product Category
An entire product category such as boots.

Niche
Looking at market potential for a niche product or brand. For example, the size of the market for high-end boots.

Target Market
Estimates of market potential for a product with a specific target market based on factors such as price, lifestyle or demographics. For example, the size of the market for children’s boots.

Distribution
Considering the reach of the distribution channels. For example, selling boots in Canada and Europe might estimate the size of these markets as $Xb. This is also known as serviceable available market.

Learn More
Customer Service Principles Jonathan Poland

Customer Service Principles

Customer service principles are guidelines that an organization follows to shape its service strategy, policies, procedures, measurement, and culture. These…

Taxation Risk Jonathan Poland

Taxation Risk

Taxation risks refer to the potential for a business to face financial or reputational harm due to issues related to…

Media Vehicles Jonathan Poland

Media Vehicles

A media vehicle refers to a specific media outlet or platform that is used to deliver advertising messages to a…

Grand Strategy Jonathan Poland

Grand Strategy

A grand strategy is a comprehensive and long-term plan of action that encompasses all available options and resources in order…

Investor Relations Jonathan Poland

Investor Relations

Investor relations (IR) is the process of managing the relationship between a company and its investors. This includes communicating with…

Unknown Risk Jonathan Poland

Unknown Risk

An unknown risk is a potential loss that is not recognized or identified. In the context of risk management, unknown…

Customer Journey Jonathan Poland

Customer Journey

A customer journey is the experience that a customer has with a company or brand over time, from their perspective.…

Product Durability Jonathan Poland

Product Durability

A durable product, often referred to as a durable good, is a product that does not quickly wear out or,…

Companies Likely to Aquire Federal Funding 150 150 Jonathan Poland

Companies Likely to Aquire Federal Funding

While the specific industries receiving federal funding can vary depending on the country and its government priorities, there are several…

Content Database

Best Industries for Selling B2G 150 150 Jonathan Poland

Best Industries for Selling B2G

The best industries for companies that want to acquire a government contract or grant are those that are aligned with…

Behavioral Targeting Jonathan Poland

Behavioral Targeting

Behavioral targeting is a form of online advertising that uses information about a user’s online activities to create targeted advertisements.…

What are Power Structures? Jonathan Poland

What are Power Structures?

Power structures are the systems or frameworks that are used to exert control or influence over a government, organization, or…

Program Efficiency Jonathan Poland

Program Efficiency

Program efficiency refers to the effectiveness with which a computer program uses resources such as time and memory. In general,…

Beautiful Words Jonathan Poland

Beautiful Words

Beautiful words are words that have a mysterious, wondrous, or charming quality. They can also have a dark or conflicted…

Deal Desk Jonathan Poland

Deal Desk

A deal desk is a team that is responsible for managing the sales proposal, negotiation, and contract process with customers.…

Ai Websites (Q3 2023) Jonathan Poland

Ai Websites (Q3 2023)

A simple resource dump of Ai websites we found during Q3 2023. Human AI Ethical, transparent, and beneficial AI development…

Environmental Challenges Jonathan Poland

Environmental Challenges

Environmental issues are detrimental changes to the Earth’s natural surroundings that negatively impact the current quality of life for individuals…

Marketing Channel Jonathan Poland

Marketing Channel

The total combined industries of consumer goods and services.