Definition
Market share can be defined as the percentage of all sales within a market that is held by one brand / product or company. Market share can be measured in several ways. However, the two most important measures are by:
- Sales revenue
- Sales volume (the number of units sold)
Examples of market share
Market share information on the
Position | Brand | Sales(£'m) | Market Share (%) | Number of Outlets |
1 | Marks & Spencer | 2,743 | 10.2 | 315 |
2 | Next | 1,708 | 6.3 | 333 |
3 | Arcadia | 1,609 | 5.9 | 1,603 |
4 | Debenhams | 1,076 | 4.0 | 97 |
5 | Asda | 963 | 3.6 | 215 |
6 | Matalan | 776 | 2.9 | 137 |
7 | Tesco | 710 | 2.6 | 588 |
8 | Bhs | 631 | 2.3 | 163 |
9 | New Look | 552 | 2.1 | 573 |
10 | John Lewis | 482 | 1.8 | 25 |
Total of Top 10 | 11,250 | 41.8 | ||
| 26,911 | 100.0 | ||
Source; Deutsche Bank 2002 |
The
What is market concentration? It is the proportion of market value that is owned by the leading brands or products/companies in the market. Where the market leaders own a large part of the overall market, the market is said to be highly concentrated. By contrast, where the market leader has a relatively small market share and there are many other competitors, a market is said to be "fragmented"
There has been little change in the concentration of the
Position | 1995 | 1997 | 2002 |
1 | M&S | M&S | M&S |
2 | Arcadia | Arcadia | Next |
3 | Debenhams | Debenhams | Arcadia |
4 | C&A | Next | Debenhams |
5 | Next | C&A | Asda |
6 | Sears | Sears/Adams | Matalan |
7 | Bhs | Bhs | Tesco |
8 | Littlewoods | Asda | Bhs |
9 | John Lewis | Littlewoods | New Look |
10 | House of Fraser | House of Fraser | John Lewis |
Source: Deutsche Bank |
The table above masks the change in the format of retail businesses that have evolved in the
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