marketing
Market Share
Your share of total industry revenue. The competitive scoreboard.
Definition
Market share is your revenue divided by total industry revenue in a defined market - what percentage of the addressable spend captures by you vs competitors. It's a competitive scoreboard: rising share means you're winning, falling share means competitors are. Market share matters most in mature markets where total demand is flat - growth has to come from competitors. In growing markets, total share can rise even as % share falls. Measure share within a tightly-defined market - 'small business consulting' is too broad; 'fractional CFO services for $1-10M SaaS' is usable.
In your business
- →Define the market tightly - broad definitions make share meaningless
- →Track share annually - month-to-month noise dominates real movement
- →In growing markets, % share can fall while revenue rises - that's still trouble if competitors are growing faster