Market Penetration - Explained
What is Market Penetration?
Written by J. Mance Gordon
Updated at April 17th, 2024
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What is Market Penetration?
Market penetration is targeting and converting new customers in your existing market. Notably, it involves existing products, the same market.
This strategy is employed when metrics indicate that there is room in an existing to increase market share. This is generally carried out by either increasing customers or increasing the number of purchases.
Approaches to Market Penetration
Common approaches to implementing a market penetration strategy include:
- Differentiating (or adding value) to your product to gain market share from existing customers
- Convert potential customers who have low demand or urgency for the product through marketing efforts and appealing to emotions.
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