What do you take into account when measuring or estimating market size?

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Anonymous · Accepted Answer

Market size, also Total Addressable Market, has to take into account the
realistic assessments that just because on the surface a person has all the
characteristics of an enthusiastic buyer, real world testing can yield different
results. For example, 100 people surveyed online could indicate a strong
preference for XYZ product at a certain price, but when presented with XYZ in a
retail environment next to competitors or with other distractions,
considerations and factors, the propensity drops from 99% to 75%.  This is why
small scale roll outs, prototypes, and user testing is critical before any
assumptions about take rates can be solidified.  Market sizing is an exercise
that must be repeated as new information is introduced, not as a one time model
that creates a singular answer.

Anonymous · Answer

Understanding the total population, narrowing down its characteristics with
survey or market research, segmenting the market size with with data analysis

What do you take into account when measuring or estimating market size?

Answers