Market size is the number of individuals in a certain market segment who are potential buyers. Companies should determine market size before launching a new product or service.
Understanding market size helps you distinguish between two categories: the addressable market, which is the total revenue opportunity for your product or service; and the available market, which is the portion of the addressable market for which you can realistically compete. By outlining the difference between these two, you can develop a product offering to tackle that consumer sweet spot.
