If you already do market sizing, use that as fuel for content that raises your firm’s profile.
When it comes to business, certain bits of information are essential for us to put a firm or its products into context. The size of the market is one such tidbit. It allows us to grasp how a firm ranks versus its competitors, shows whether its share of the pie is growing or shrinking, and how the pie itself is growing or shrinking.
Show me the pie
Market sizing is curious activity. It can consume a lot of resources and serve as a key input for strategy and investment discussions. It’s also closely guarded and rarely communicated outside of the company. There is, however, a reason to use key figures from the exercise: namely, to gain credibility with stakeholders including clients, prospects and the media.
Minimum required information
In some cases, the size of the market is a basic data point that you have to provide prospects in order to gain their custom. In financial services, investors will want to know how an asset class compares to what they already hold in their portfolio. Institutional investors are looking to gauge capacity issues. Any basic case for investment type of material will detail both the primary and secondary market volumes: the first in total outstanding and the second in yearly amounts. In other sectors, clients may be completely indifferent to these considerations–though you can still leverage the data to gain an advantage.
Here are a few tips for turning market size figures into thought leadership:
1. Choose the market
You have 2 options: either size the market for your product (choose 1 category) or for your clients’ products (again, choose 1 category). With the former, you position yourself as being knowledgeable about your own activity–a step down the path of demonstrating expertise and later thought leadership. With the latter, where your clients compete globally and their production volumes (supply) have an impact on prices (demand)–you’re offering them a kind of customer service to help them better understand their industry and competitive context (B2B service).
Pick one. I’ve seen either work for different firms.
2. Confirm the target
Is there a common understanding of annual market turnover? For a product such as smartphones, the answer is clearly yes. Those manufacturers release regular reports on the number of products sold. For public firms, it’s a clear factor for revenue and earnings projections closely followed by analysts. No mystery there.
If you’re tackling more of a niche sector that may be highly fragmented and there doesn’t appear to be a trusted source of this data, that’s a sign you have an opportunity to build a common reference point for the industry. (Bear in mind that consultants and market research firms will also be fishing in these waters).
3. Pull back the curtain
Share some of your key figures with the outside world. Start with where you’re at today, or perhaps fill in the past few quarters or years to provide context and show a trend. Be descriptive. From there, you can begin to discuss trends and factors that influence them. It’s an opportunity to speak to clients about those trends, and for you to solicit their views. For highly regulated or compliance-sensitive sectors, it gives you the chance to talk about something other than product when you have a public platform (live event, webinar, etc.).
4. Be bold
If you’ve got the courage and internal support, give your views on where the market is headed in the future. Make a projection. Caution: this one can be intimidating for many folks. If you can stomach it, you’ll benefit from the anchoring effect. In essence, Being the first to put a number out will tie the discussion around your reference point. Clients and journalists may go around asking your competitors for their views/estimates, but largely to compare with your figure. You gain the lead.
5. Rinse, repeat
Marketing basically follows the instructions on your shampoo bottle. Repetition is key, so insert your market figures into discussions with clients, journalists, etc. And if you gain traction, plan to repeat the exercise on a regular basis (probably quarterly or yearly). Good luck.