In order to calculate the target market share we need both the forecast for the product/SKU as well as for its Relevant market. The Relevant Market Forecast table allows us to model the sales evolution of the Relevant Market based on their insights and market trends.

The Relevant Market Forecast table is displayed under specific conditions. It becomes available only when the ‘Set Market Share’ option in the Configuration settings is activated (if you seek further information on enabling the Relevant Market table, please refer to the Manage Market Share settings page). The primary purpose of the Relevant Market Forecast table is to support the market share targets calculation. By enabling the ‘Set Market Share’ option, users gain access to a comprehensive view of market forecasts, facilitating strategic planning and decision-making processes.

                                                           Relevant Market Forecast table

Relevant Market Forecast Table

The relevant market forecast table is similar to the SKU forecast table having a similar main structure, with the following components:

Each Relevant Market associated with an SKU during the configuration phase will be represented by 1-3 rows in the table, one row for each measurement in which market share targets will be calculated. The initial column of this row will furnish information such as the Relevant Market’s name, measurement, and the Data Source-Channel combination used for the forecast.

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The main difference between the SKU forecast table and the Relevant Market forecast table is that in the former there is one row for each SKU and in that row, all measurements are displayed, but in the latter Relevant Market forecast is done separately for each measurement.

Converting Units to Value or DOT is easy for products, by using Price or Volumes to DOT, but it is difficult for the market because the mix of products in the market may change.

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                                                     First column in the Relevant Market table

Historical Data (Volumes)

The second header of the table is named Historical Data (Volumes) and is split into 2 halves:

• last 3 months with available data
• Average Growth % - quarterly / yearly

                                                                          Historical Data columns

For each Relevant Market, the system will present sales data measured in volumes for the last 3 months (regardless of the cycle length) for which data is available. If no data is available for a month, the system will display N/A.

Quarterly average growth refers to the average rate of growth over three months, calculated by the ratio between the sales volumes/value/DOT in the previous quarter to those from two prior quarters:

$$ \text{Average growth}\text{quarterly} = \left( \frac{\sum{i=1}^{3} \text{Sales}{i}}{\sum{i=1}^{3} \text{Sales}_{i-3}} - 1 \right) \times 100  $$

where:

• $\sum_{i=1}^{3} \text{Sales}_{i}$ represents the sum of sales in volumes/value/DOT in the previous quarter;
• $\sum_{i=1}^{3} \text{Sales}_{i-3}$ represents the sum of sales in volumes/value/DOT from two quarters ago;