Estimating market share – example

Elizabeth wants to estimate her share of the video and DVD rental market in the Wellington region.

We provide her with consumer spending data on video and DVD rentals, by age group. 

Census data shows the number of people in each age group in the Wellington region.

Elizabeth compares the data with her sales figures to estimate her share of the market.


Expenditure on DVDs/videos by age group for the Wellington region
Year ended 30 June 2013

Age group (years)

Average weekly spending per person ($)

Number of people

Estimated total weekly spending ($)

15–24

0.20

69,200

11,485

25–34

0.40

67,800

27,501

35–44

0.70

64,900

45,340

45–54

0.20

66,700

15,120

55–64

0.20

51,200

8,809

65+

-

55,800

-

Total

0.30

375,600

109,424

Source: Statistics New Zealand
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