Data Analysis Patterns for Market Research
Templates and frameworks for conducting rigorous market analysis.
Market Sizing Frameworks
TAM/SAM/SOM Analysis
Total Addressable Market (TAM) represents the total revenue opportunity if 100% market share was achieved.
Top-Down Approach
TAM = Total Industry Revenue (from market research reports)
Example:
- Global AI Software Market (2024): $184 billion
- Source: Gartner, IDC, or similar
Bottom-Up Approach
TAM = Number of Potential Customers × Average Revenue per Customer
Example:
- Number of enterprises globally: 400 million
- Target segment (large enterprises): 50,000
- Average annual spend on solution: $500,000
- TAM = 50,000 × $500,000 = $25 billion
Serviceable Addressable Market (SAM) represents the portion of TAM that can be served given product/service capabilities.
SAM = TAM × Applicable Segment %
Example:
- TAM: $25 billion
- Geographic constraint (North America only): 40%
- Product fit (enterprise only): 60%
- SAM = $25B × 40% × 60% = $6 billion
Serviceable Obtainable Market (SOM) represents realistic market share capture.
SOM = SAM × Achievable Market Share %
Example:
- SAM: $6 billion
- Conservative market share (5%): $300 million
- Base case market share (10%): $600 million
- Optimistic market share (15%): $900 million
Growth Rate Calculation
CAGR (Compound Annual Growth Rate)
CAGR = (End Value / Start Value)^(1/n) - 1
Where n = number of years
Example:
- 2020 market size: $10 billion
- 2024 market size: $18 billion
- n = 4 years
- CAGR = (18/10)^(1/4) - 1 = 15.8%
Year-over-Year Growth
YoY Growth = (Current Year - Previous Year) / Previous Year × 100
Example:
- 2023: $15 billion
- 2024: $18 billion
- YoY Growth = (18-15)/15 × 100 = 20%
Porter's Five Forces Analysis
Framework Template
For each force, assess: HIGH, MEDIUM, or LOW
1. Threat of New Entrants
Factors to evaluate:
| Factor | Assessment | Notes |
|---|
| Capital requirements | High/Med/Low | $ required to enter |
| Economies of scale | Strong/Moderate/Weak | Incumbent advantages |
| Brand loyalty | High/Med/Low | Customer switching cost |
| Access to distribution | Easy/Moderate/Difficult | Channel availability |
| Regulatory barriers | High/Med/Low | Licensing, certifications |
| Proprietary technology | Critical/Important/Minor | IP and know-how |
| Expected retaliation | Aggressive/Moderate/Passive | Incumbent response |
Overall Assessment: [HIGH/MEDIUM/LOW]
Key Insights: [Summary of implications]
2. Bargaining Power of Suppliers
Factors to evaluate:
| Factor | Assessment | Notes |
|---|
| Supplier concentration | High/Med/Low | Number of suppliers |
| Switching costs | High/Med/Low | Cost to change suppliers |
| Supplier differentiation | High/Med/Low | Uniqueness of inputs |
| Forward integration threat | High/Med/Low | Can suppliers compete? |
| Importance to supplier | Critical/Important/Minor | Your share of their revenue |
| Substitute inputs | Many/Some/Few | Alternatives available |
Overall Assessment: [HIGH/MEDIUM/LOW]
3. Bargaining Power of Buyers
Factors to evaluate:
| Factor | Assessment | Notes |
|---|
| Buyer concentration | High/Med/Low | Few large vs. many small |
| Purchase volume | Large/Medium/Small | Relative importance |
| Switching costs | Low/Med/High | Cost to change vendors |
| Price sensitivity | High/Med/Low | Focus on price vs. value |
| Backward integration threat | High/Med/Low | Can buyers self-supply? |
| Information availability | Full/Partial/Limited | Market transparency |
Overall Assessment: [HIGH/MEDIUM/LOW]
4. Threat of Substitutes
Factors to evaluate:
| Factor | Assessment | Notes |
|---|
| Substitute availability | Many/Some/Few | Number of alternatives |
| Price-performance ratio | Better/Same/Worse | Value comparison |
| Switching costs | Low/Med/High | Friction to substitute |
| Buyer propensity to switch | High/Med/Low | Willingness to change |
| Perceived differentiation | Low/Med/High | Unique value |
Overall Assessment: [HIGH/MEDIUM/LOW]
5. Competitive Rivalry
Factors to evaluate:
| Factor | Assessment | Notes |
|---|
| Number of competitors | Many/Several/Few | Market fragmentation |
| Industry growth | Slow/Moderate/Fast | Growth rate impact |
| Fixed costs | High/Med/Low | Pressure to fill capacity |
| Product differentiation | Low/Med/High | Commoditization level |
| Exit barriers | High/Med/Low | Difficulty leaving market |
| Strategic stakes | High/Med/Low | Importance to competitors |
Overall Assessment: [HIGH/MEDIUM/LOW]
Five Forces Summary Table
| Force | Rating | Key Drivers | Implications |
|---|
| New Entrants | [H/M/L] | [Top factors] | [Strategic impact] |
| Supplier Power | [H/M/L] | [Top factors] | [Strategic impact] |
| Buyer Power | [H/M/L] | [Top factors] | [Strategic impact] |
| Substitutes | [H/M/L] | [Top factors] | [Strategic impact] |
| Rivalry | [H/M/L] | [Top factors] | [Strategic impact] |
Overall Industry Attractiveness: [ATTRACTIVE / MODERATE / UNATTRACTIVE]
PESTLE Analysis
Framework Template
Political Factors
| Factor | Current State | Trend | Impact | Time Horizon |
|---|
| Government stability | | ↑ ↓ → | H/M/L | Short/Med/Long |
| Trade policies | | ↑ ↓ → | H/M/L | |
| Tax regulations | | ↑ ↓ → | H/M/L | |
| Government support | | ↑ ↓ → | H/M/L | |
| Political relations | | ↑ ↓ → | H/M/L | |
Key Political Implications: [Summary]
Economic Factors
| Factor | Current State | Trend | Impact | Time Horizon |
|---|
| GDP growth | X.X% | ↑ ↓ → | H/M/L | |
| Interest rates | X.X% | ↑ ↓ → | H/M/L | |
| Inflation | X.X% | ↑ ↓ → | H/M/L | |
| Exchange rates | | ↑ ↓ → | H/M/L | |
| Consumer spending | | ↑ ↓ → | H/M/L | |
| Unemployment | X.X% | ↑ ↓ → | H/M/L | |
Key Economic Implications: [Summary]
Social Factors
| Factor | Current State | Trend | Impact | Time Horizon |
|---|
| Demographics | | ↑ ↓ → | H/M/L | |
| Cultural attitudes | | ↑ ↓ → | H/M/L | |
| Consumer behavior | | ↑ ↓ → | H/M/L | |
| Education levels | | ↑ ↓ → | H/M/L | |
| Health consciousness | | ↑ ↓ → | H/M/L | |
| Work-life balance | | ↑ ↓ → | H/M/L | |
Key Social Implications: [Summary]
Technological Factors
| Factor | Current State | Trend | Impact | Time Horizon |
|---|
| R&D activity | | ↑ ↓ → | H/M/L | |
| Technology adoption | | ↑ ↓ → | H/M/L | |
| Automation | | ↑ ↓ → | H/M/L | |
| Digital infrastructure | | ↑ ↓ → | H/M/L | |
| Innovation rate | | ↑ ↓ → | H/M/L | |
| Disruptive tech | | ↑ ↓ → | H/M/L | |
Key Technological Implications: [Summary]
Legal Factors
| Factor | Current State | Trend | Impact | Time Horizon |
|---|
| Industry regulations | | ↑ ↓ → | H/M/L | |
| Data protection | | ↑ ↓ → | H/M/L | |
| Employment law | | ↑ ↓ → | H/M/L | |
| Consumer protection | | ↑ ↓ → | H/M/L | |
| IP rights | | ↑ ↓ → | H/M/L | |
| Antitrust | | ↑ ↓ → | H/M/L | |
Key Legal Implications: [Summary]
Environmental Factors
| Factor | Current State | Trend | Impact | Time Horizon |
|---|
| Climate change | | ↑ ↓ → | H/M/L | |
| Sustainability reqs | | ↑ ↓ → | H/M/L | |
| Resource availability | | ↑ ↓ → | H/M/L | |
| Waste management | | ↑ ↓ → | H/M/L | |
| Carbon regulations | | ↑ ↓ → | H/M/L | |
| Environmental awareness | | ↑ ↓ → | H/M/L | |
Key Environmental Implications: [Summary]
SWOT Analysis
Framework Template
Strengths (Internal, Positive)
| Strength | Evidence | Strategic Value |
|---|
| [Strength 1] | [Data/proof] | High/Med/Low |
| [Strength 2] | [Data/proof] | High/Med/Low |
| [Strength 3] | [Data/proof] | High/Med/Low |
Core Strengths Summary: [2-3 sentence synthesis]
Weaknesses (Internal, Negative)
| Weakness | Evidence | Severity |
|---|
| [Weakness 1] | [Data/proof] | Critical/Moderate/Minor |
| [Weakness 2] | [Data/proof] | Critical/Moderate/Minor |
| [Weakness 3] | [Data/proof] | Critical/Moderate/Minor |
Key Vulnerabilities Summary: [2-3 sentence synthesis]
Opportunities (External, Positive)
| Opportunity | Size/Potential | Timeframe |
|---|
| [Opportunity 1] | $X / High/Med/Low | Short/Med/Long |
| [Opportunity 2] | $X / High/Med/Low | Short/Med/Long |
| [Opportunity 3] | $X / High/Med/Low | Short/Med/Long |
Priority Opportunities Summary: [2-3 sentence synthesis]
Threats (External, Negative)
| Threat | Likelihood | Impact |
|---|
| [Threat 1] | High/Med/Low | High/Med/Low |
| [Threat 2] | High/Med/Low | High/Med/Low |
| [Threat 3] | High/Med/Low | High/Med/Low |
Critical Threats Summary: [2-3 sentence synthesis]
SWOT Strategy Matrix
| Strengths | Weaknesses |
|---|
| Opportunities | SO Strategies (use strengths to capture opportunities) | WO Strategies (overcome weaknesses to capture opportunities) |
| Threats | ST Strategies (use strengths to mitigate threats) | WT Strategies (minimize weaknesses and avoid threats) |
BCG Growth-Share Matrix
Framework Template
Axes:
- X-axis: Relative Market Share (High → Low, logarithmic scale)
- Y-axis: Market Growth Rate (High → Low, typically 10% as midpoint)
Quadrant Definitions
| Quadrant | Growth | Share | Characteristics | Strategy |
|---|
| Stars | High | High | Market leaders in growing markets | Invest to maintain position |
| Cash Cows | Low | High | Market leaders in mature markets | Harvest for cash flow |
| Question Marks | High | Low | Small share in growing markets | Invest selectively or divest |
| Dogs | Low | Low | Small share in mature markets | Divest or minimize investment |
Product/Business Unit Analysis
| Product/BU | Market Growth | Relative Share | Quadrant | Recommended Strategy |
|---|
| [Product A] | X.X% | X.X | Star/Cow/QM/Dog | [Strategy] |
| [Product B] | X.X% | X.X | Star/Cow/QM/Dog | [Strategy] |
| [Product C] | X.X% | X.X | Star/Cow/QM/Dog | [Strategy] |
Portfolio Balance Assessment
| Quadrant | Number of Products | Revenue % | Investment Priority |
|---|
| Stars | X | X% | High |
| Cash Cows | X | X% | Maintain |
| Question Marks | X | X% | Selective |
| Dogs | X | X% | Low/Divest |
Value Chain Analysis
Framework Template
Primary Activities
| Activity | Description | Value Created | Cost | Competitive Position |
|---|
| Inbound Logistics | Receiving, storing, inventory | | $X | Strong/Average/Weak |
| Operations | Manufacturing, assembly | | $X | Strong/Average/Weak |
| Outbound Logistics | Distribution, delivery | | $X | Strong/Average/Weak |
| Marketing & Sales | Promotion, sales force | | $X | Strong/Average/Weak |
| Service | Installation, support, repair | | $X | Strong/Average/Weak |
Support Activities
| Activity | Description | Value Created | Cost | Competitive Position |
|---|
| Infrastructure | Management, finance, legal | | $X | Strong/Average/Weak |
| HR Management | Recruiting, training, comp | | $X | Strong/Average/Weak |
| Technology Dev | R&D, process improvement | | $X | Strong/Average/Weak |
| Procurement | Purchasing, supplier mgmt | | $X | Strong/Average/Weak |
Value Chain Margin Analysis
Total Revenue: $XXX
- Inbound Logistics: ($XX)
- Operations: ($XX)
- Outbound Logistics: ($XX)
- Marketing & Sales: ($XX)
- Service: ($XX)
- Support Activities: ($XX)
= Margin: $XX (X%)
Competitive Comparison
| Activity | Company | Industry Avg | Best-in-Class | Gap |
|---|
| [Activity] | X% | Y% | Z% | +/-X% |
Competitive Positioning Analysis
Framework Template
Positioning Dimensions
Common positioning dimension pairs:
- Price vs. Quality
- Market Focus (Niche vs. Broad)
- Solution Type (Product vs. Platform)
- Geographic Scope (Regional vs. Global)
- Customer Focus (Enterprise vs. SMB vs. Consumer)
- Innovation Level (Leader vs. Follower)
Competitor Mapping
| Competitor | Dimension 1 Score (1-10) | Dimension 2 Score (1-10) | Market Share | Notes |
|---|
| Company A | X | X | X% | [Position description] |
| Company B | X | X | X% | [Position description] |
| Company C | X | X | X% | [Position description] |
Strategic Group Identification
| Strategic Group | Companies | Characteristics | Market Share |
|---|
| Group 1: [Name] | A, B, C | [Description] | X% |
| Group 2: [Name] | D, E | [Description] | X% |
| Group 3: [Name] | F, G, H | [Description] | X% |
Risk Assessment Framework
Risk Identification
Risk Categories
- Market Risks: Demand changes, price pressure, market shifts
- Competitive Risks: New entrants, competitor moves, disruption
- Regulatory Risks: New regulations, compliance requirements
- Technology Risks: Obsolescence, security, integration
- Operational Risks: Supply chain, quality, capacity
- Financial Risks: Currency, interest rates, credit
- Reputational Risks: Brand damage, social media, ethics
Risk Assessment Matrix
| Risk ID | Risk Description | Category | Probability | Impact | Score | Priority |
|---|
| R1 | [Description] | Market | 1-5 | 1-5 | P×I | H/M/L |
| R2 | [Description] | Competitive | 1-5 | 1-5 | P×I | H/M/L |
Scoring Guide:
- Probability: 1=Very Unlikely, 2=Unlikely, 3=Possible, 4=Likely, 5=Very Likely
- Impact: 1=Minimal, 2=Minor, 3=Moderate, 4=Major, 5=Severe
- Priority: Score 15-25=High, 8-14=Medium, 1-7=Low
Risk Mitigation Planning
| Risk ID | Risk | Mitigation Strategy | Owner | Timeline | Cost |
|---|
| R1 | [Risk] | [Prevention | | | |
