How to determine the size and capacity of a market

Best Answer

The determination of market capacity is a process of investigation, research, comprehensive analysis and computational inference. A complete market forecast, generally includes the following steps:

1, with reference to last year's total performance and you through a variety of channels, to understand the sales volume of similar products in your industry, the number is there, but not necessarily accurate, but you will not deviate too much if you put your mind to it.

2, the above data will have omissions, mainly even if you get all the sales of this precise figure, does not mean that the industry's real needs. Therefore, you need to judge the degree of completeness based on the industry's equipment update rate and downstream end-product sales situation and types.

3, product iteration and industry change impact factor. This is about capacity and product development in the actual application of space for your company's R & D and in some bidding before the alliance customers, shielding opponents to provide a reliable basis.

4, know why this product will be bad, this is the process or design problems, for bad products and frequency, customer feedback, feedback is the result of the product update or replacement basis. Don't belittle any of the customers using competitors' products, they may form a second or even multiple transactions, and may become hardcore. The concept of preconceived notions, sometimes not always right, need to look at the environmental variables.

5, after the above data synthesized. You only on the whole product or device, there is a basic understanding. Next is the market.

Extended information

The importance of market capacity detection: in the process of development of an enterprise, whether it is the founding period, the development period, the maturity period, for the investigation and judgment of the market situation is essential.

In the total market wealth and total market demand for these two independent and interacting indicators, are on a product, a project has an important impact on the necessity of generation (production). When the total amount of territorial demand is greater than the total amount of territorial wealth, then the region for the poor region; when the total amount of territorial wealth is greater than the total amount of territorial demand, then the region for the rich region. Undoubtedly, these two regions have appeared in the market capacity is less than either "total" phenomenon.

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