Determining the Size of Your Market

[adiakritos]

Does anyone here know either A: Have knowledge or experience finding this out or B: know of a product that touches on this subject and maybe gives an explanation on how to uncover an estimate?

What I mean by 'Market Size' is the number of people who would be most likely to want my product within a given period of time.

I'm building a web application right now that I'd like to begin planning properly for. I've already got my personal wealth goals set, and now I'm trying to get a best-case worst-case possible scenario of what my potential market looks like.

Thanks!

 

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[The-J]

First of all: do you even have a market?

Worst case scenario is ALWAYS that you get 0 customers and you have to chuck it. So, do you have one customer? If not, get one.

As far as determining the size of your market, Google Adwords tools plus industry related statistics can be a helpful guide. But I wouldn't look at these until you have a customer.

 

[joona]

You might find this article useful: How to Create a Million-Dollar Business This Weekend (Examples: AppSumo, Mint, Chihuahuas)

 

[OzGrinder]

Great article Joona thanks for the link.

it pretty much covers what I do, that is:
1. Set up basic sales page for your web app (I just use weebly) with a sign-up/purchase/free trial form
2. Drive traffic there by purchasing google/bing ads
3. Observe your impressions vs clicks vs conversion rates

$400 or so of ads should give you an idea of demand. Any sign-ups are hot leads for when the app is finally live.

 

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[adiakritos]

The -J:

Yea I definitely have a market since my revenue stream will come primarily from selling bodybuilding supplements.

Bodybuilding.com sold like $46M worth of bodybuilding supplements in 2005 according to privco.com Bodybuilding.com, LLC | Private Company Financial Research | PrivCo.com

The app it's self is going to be free. It's simply a means of getting people exposed to my affiliate store of supplements. If this proves successful I'll move on to setting it up like an e-commerce store instead of just having affiliate links.

Of course, the app needs to prove its self first before any of that.

I'm about 25% done with the app. As far as the app is concerned, I'm my own market. I'm building what I wish existed for me. Plus, I know there are lots of people out there who are like me. My question is finding out roughly *how many* people are out there like me. That's some of my logic and plan, anyway.

OzGinder & Joona:

Thanks for the article. I've seen that once before and I think it's genius.