How big is the market » Who are its target segments?
We regard answering these questions as a core area of expertise. We take a practical business oriented approach to answering the questions – and that means delivering market size in terms of number of users or revenues, rather than just a percent. And, to arrive at our answers, we utilize techniques from statistical cluster analysis to our own spreadsheet based algorithms. Using these techniques, we have successfully sized the markets for many new products – and have identified new targets for other existing products. We have even been able to estimate “cannibalization” effects of old media revenue by their digital counterparts – in some cases, forcing a change in company strategy. We have segmented the market for online games, online investors, online music buyers, magazine subscribers, TV crime show viewers – among others. Segmentations are only as good as the research designs that generate them and the thinking used to identify the segments. Whether we use statistical models of othe
