Department of Management Studies

Market and Demand Analysis

: Dr. Neeraj Sharma

Ph.D (IIT Roorkee) | PGDM (IIM Shillong) | NET (UGC) |BE (Dr. B.R. Ambedkar Univ.) | JAIIB & CAIIB (IIBF)
Associate Professor
Department of Management Studies, Graphic Era (Deemed to be University), Dehradun
+91-9557185349 [email protected]
 Presentation Flow

Importance of Market Analysis

Key Steps in Market & Demand Analysis

Collection of Secondary Information

Conduct of Market Survey

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 Importance of Market & Demand Analysis

What is the likely aggregate demand for the product / service ?

What share of the market will the proposed project enjoy ?

In depth assessment of patterns of :

- Consumption growth
- Income and price elasticity of demand
- Composition of market
- Nature of competition
- Availability of substitutes
- Reach of distribution channels

“The market is attractive”

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 Key steps in Market and Demand Analysis

Collection of Demand
Secondary Forecasting
information

Situational
Analysis and Characterization
Specification of the Market
of Objectives

Conduct of Market
Market Planning
Survey

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 Situational Analysis and Specification of Objectives
➢ Who are the buyers of this kind of products ?
➢ What is the total current demand for such products ?
➢ How is the demand distributed temporally and geographically?
➢ What is the demand break-up ? Eg . Size –wise
➢ What price will the potential customers be willing to pay ?
➢ How can the potential customers be convinced ? (Eg. Superiority of the new
product).
➢ What should be the price and warranty to ensure acceptance ?
➢ What are the suitable channels of distribution ?
➢ What trade margins are likely to induce distributors ?
➢ What are the prospects of immediate sales ?

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 Collection of Secondary Information

General Sources Industry specific sources

Census of India (Decennial publication of GoI – Automobiles – Annual reports of Association of
demographic characteristics) Indian Automobile Manufacturers Automobile
Ancillary Industry (Indian Automobile
Manufacturers Association)
National Sample Survey Reports ( Cabinet Chemicals – Fertiliser Statistics (Fertiliser
Secretariat – Consumption, consumer Association of India)
expenditure-wise distribution of households, Annual Reports of Organisation of
distribution of industries, characteristics of Pharmaceutical Producers of India
economically active population))
Plan reports / Niti Aayog Reports Electrical and Electronics – Annual Electric
Survey (CEA)
Statistical Abstract of the Indian Union (Annual Annual Report of Indian Electrical
publication of CSO on demographic Manufacturers Association
information, estimates of national income, Electric India(Fortnightly)
agricultural and industrial statistics) Electronic Digest (All-India Radio and
Annual Survey of Industries Electronics Association)
Monthly Studies of Production of Selected Electronics Information and Planning
Industries (Electronics Commission)
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 Collection of Secondary Information
General Sources Industry specific sources
India Year Book (Annual publication of MoI&B) Industrial Machinery – Build Machine – Build
India (Directorate General of Technical
Development)
Textile Machinery
Accessories and Stores Journal
Annual Report of India Machine Tool
Manufacturers Association
Statistical Year Book (UN- population, Metallurgical – Iron and Steel Control Bulletin
demography, GDP, Industrial production, (Quarterly) – Ministry of Steel and Mines
International trade etc) Steel Furnace(Monthly) Steel Furnace
Association of India
Annual Reports of Steel Wires Manufacturers
Association of India
Minerals and Metals Review (Asian Industry and
Information Services (P) Ltd.)
Economic Survey (Annual publication of MoF – Textiles – Indian Textile Bulletin
industrial production, wholesale prices, Annual Reports of Indian Cotton Mills Federation
consumer prices, exports, agricultural Man-made Fibres (Association of Synthetic Fibre
production, national income etc ) Industry)

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 Collection of Secondary Information

General Sources Industry specific sources

Guidelines to Industries (MoID) Cement
Annual Bulletin of Statistics of Exports and Glass Udyog
Imports
Annual Reports of the Development Wing
(MoC&I)
Techno-Economic Surveys (NCAER) Hotel guide – India
Industry Potential Surveys (IDBI) Indian Packaging Directory
Stock Exchange Directory (BSE) Rubber India
Monthly Bulletin of RBI Yearbook of Fishery Statistics

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 Conduct of Market Survey
Total demand and rate of growth of demand

Demand in different segments of the market

Income and price elasticities of demand

Motives for buying

Purchasing plans and intentions

Satisfaction with current products

Unsatisfied needs

Attitudes towards various products

Distributive trade practices and preferences

Socio-economic characteristics of buyers

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 Conduct of Market Survey

Define the Target Population

Select the Sampling Scheme and Sample Size

Develop the Questionnaire

Recruit and Train the Field Investigators

Obtain Information from the Sample of Respondents

Scrutinise the gathered Information

Analyse and Interpret the Information

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 Thanks….

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