The market share formula

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Find your company's total sales for a given period and divide that number by the total industry revenue during the same period; then multiply the number by 100 to get a percentage amount.

Market Share Formula = (Your Company's Total Sales / Industry's Total Sales) x 100

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For example, if you sell shoes and your total sales free israel number for whatsapp for a quarter were $100,000, and for the same period, total industry sales were $1,000,000, your market share is 10%.

The exact formula would be this:

$100,000 / $1,000,000 = 0.10 x 100 = 10% market share

This metric will give you a general view of your company's position in the industry. Compare it to your direct competitors. Otherwise, this will not be a useful metric to track.

Customer Market Share Formula
In some cases, you may want to measure market share by number of customers instead. This is usually the preferred method for major industries, which tend to have these numbers readily available.

In this case, you will need to replace sales with customers to get a similar percentage amount.




Customer Market Share Formula = (Total Customers of Your Company / Total Customers of the Market) x 100

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Keeping with our shoe company example, let's say we have 50,000 customers in the same quarter. The business is located in an area where, in the same period, there were 1,000,000 customers in the shoe industry.

So, the market share calculation using the formula would be: 50,000 / 1,000,000 = 0.05 x 100 = 5%