Market Position vs Market Share

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Market Position vs Market Share Your Customer & Your Market Let’s be clear about one thing: you sell to customers and not a market. Knowing "market share" is a useful metric in determining the relative effectiveness of a sales organization or product. It provides a snap-shot of where a vendor stands in comparison to competitors with regards to the universe of a defined range of products or services sold into that marketplace. Market share, simply put, a measurement of past performance. It can be used as a benchmark for the determination of future successes, but it cannot provide reliable input to future needs or trends. While we often talk about what the “market” demands, no such “market” anywhere ever wrote out a check for…show more content…
Your customers’ future determines yours; wouldn’t it be crucial to know if you’re going to be included? A market position – and the positioning activity required to place you there – is your current base for future operations, unless you’re planning something really radical. How you got “here” has a varying degree of relevancy for how you plan to get “there,” depending on the new destination. Unless you are embarking on a radically different path, your successful journey to “tomorrow” depends on the current position you occupy in your customers’ mind. Not only does your reputation precede you, it also determines the ease or difficulty of your future success. Of course, if your strategy is simply “do more of the same to the same,” instead of reaching out to pull yourself ahead to the future you’ll simply be waiting for it to arrive . . . and you’ll have to settle for whatever arrives with it. Market Position and Customer Satisfaction Although an effective customer satisfaction survey must include some assessment of your customers’ attitudes toward your company overall, its main focus will be on the product/service you currently provide. A "Market Position Survey", on the other hand, take your current position and presence and project it “down the road” to see how well you might fit in some future period. In one such survey, it was learned that although a competitor had an excellent product, this customer didn’t like the competitor’s
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