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Growth strategies market penetration

They increase market share and continue to seize opportunity. But, realizing business success requires a continual growth strategy. The term market penetration adopts a theoretical and literal meaning. On one hand, a brand calculates market penetration to gain a sense of the size of a market and what percentage of consumers buy its products and services within. In the literal sense, market penetration is the actions taken to overtake competitors and gain a larger share of the market. Theoretically, a brand wants to eliminate all competition, completely owning all the market share for a given product or service.
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What Is Market Penetration Strategy? (Definition and Examples)

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Understanding and Using Market Penetration Strategies

Put simply, a market penetration strategy is a process of infiltrating an already existing market where current or similar products already exist with a new product from your company or organization. It can also refer to the strategy a company or organization uses to expand or further saturate their customer base in a market they are already in. For example, you may develop a market penetration strategy if you are launching a new product that would appeal to a different segment of your current market. Market penetration strategy is part of the Ansoff Matrix , a strategic framework developed in that helps company leaders plan for future growth. Now, compare your rate to the average market penetration rate to see where you stand:.
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Growth Strategy: Market Penetration

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If your SaaS startup is looking for low-risk business growth strategies, creating a market penetration strategy should be one of the first things you think about. Depending on where you look, the market penetration definition could be misleading, as there are two different meanings. As shown below, market penetration can be defined as either a measurement or an activity. In this article, we will review both market penetration definitions and how they relate to SaaS. Market penetration defined as a measurement is the assessment of how much a product is being sold relative to the total estimated market for that product, expressed as a percentage.
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