Background Note | HBS Case Collection | February 2010

Marketing Analysis Toolkit: Market Size and Market Share Analysis

by Thomas J. Steenburgh and Jill Avery


Marketers frequently need to estimate the size of their markets—both for existing products so that sales forecasts can be developed and for new products so that market opportunities can be assessed. This toolkit enables students to size a market and generate a sales forecast using a market build-up methodology. Students learn to measure market demand and company demand and calculate market and product penetration rates and market share. The note gives students a foundation for analyzing marketing cases, as well as providing an analytical structure and process for completing a marketing plan. The note is accompanied by a free Excel worksheet that contains sample problems, pre-built Excel models to calculate market size, market penetration, and market share, and charts and graphs that help visualize the results.

Keywords: Forecasting and Prediction; Management Analysis, Tools, and Techniques; Marketing Strategy; Markets; Demand and Consumers; Size; Strategic Planning; Sales;


Steenburgh, Thomas J., and Jill Avery. "Marketing Analysis Toolkit: Market Size and Market Share Analysis." Harvard Business School Background Note 510-081, February 2010.