This document provides an overview of market and demand analysis for a new project. It discusses the key steps in analyzing market and demand, including specifying objectives to understand customer needs, collecting primary and secondary market information, conducting market surveys, characterizing the market segments and competitors, forecasting demand using various quantitative and qualitative methods, and developing a marketing plan. The overall aim is to estimate the total market demand and the project's potential market share to evaluate its profitability.

1. MARKET AND DEMAND
ANALYSIS
Presented by :
Piyush Bedi
(11001)
Presented to :
Prof. Amarpreet Kaur

2. MARKET & DEMAND ANALYSIS
 An integrated approach to generate power by critical analysis
of the market logistically.
 Gives answer to two important ques.—
1. What should be the total demand for the product/service.
2. What share of the market would the proposed prject enjoy.
1 + 2 = Profitability of the project.

3. STEPS IN MARKET & DEMAND
ANALYSIS
Specifications of
objectives
Collection of market
information
Conducting a market
survey
Characterisation of the
market
Demand Forecasting
Planning

4. A. SPECIFICATION OF OBJECTIVES
 Objectives give answer to following questions:
1. Who are the consumer?
2. How many consumers are there?
3. What do they want?
4. Why do they want it?
5. When do they want it?
6. How do they want it?
7. Where do they want it?
8. What quality is desirable?
9. How much can they spend?
10. What price is acceptable?

5. B. COLLECTION OF MARKET INFORMATION
 Primary Data
-- information collected first hand.
-- questionnaires, surveys , interviews,etc.
 Secondary Data
-- information already been collected .
-- Census of India , India Year Book , Planning commision reports
, Economic Survey , Industrial potential surveys , etc.

6. C. CONDUCT OF MARKET SURVEY
 Market survey is used when secondary data is not available or not fully
available.
Analyse and interpret the information
Scruitanise the gathered information
Obtaing infromation from respondents
Recruit and train field reserachers
Developing questionnaire
Sampling scheme and size
Defining target population

7. D. CHARACTERISTICS OF MARKET
 This step characterises the market on the basis of information gathered.
1. Demand for the products/services
2. Market Segments
 Consumer Groups
 Geographic Variables
 Demographic Variables
 Psychographic Variables
 Behavioural Variables
3. Price
4. Methods of distribution and sales promotion
5. Consumers
6. Competitors
7. Government Policy

8. E. DEMAND FORECASTING
 It refers to the amount of demand that the company can expect as its share of the total market demand.
 Various methods of forecasting are classified as following:
A. FORECAST BASED ON TIME DURATION
 Short term forecasts
 Medium term forecasts
 Long Term Forecasts
B. QUALTATIVE METHODS
 Jury of executive Opinion Method
 Poll of Sales Force Opinion Method
 Survey of Consumers Buying Plans Method
 Delphi Method

9. E. DEMAND FORECASTING
C. QUANTITATIVE METHODS
 Trend Projection Method
 Exponential Smoothing Method
 Similation Models
D. CAUSAL METHODS
 Chain Ratio Method
 Consumption Level Method
(a) Income elasticity of demand
(b) Price elasticity of demand
(c) End Use Method
(d) Leading Indicator Method

10. F. MARKET PLANNING
 A good marketing plan is required in order to make a success of the venture one is thinking of starting.
 Conceptually the marketing planning process involves the follwing:
(a) Defining the Business
(b) Analysing the Current Market
(i) Market Analysis
(ii) SWOT Analysis
(c) Objectives
(d) Marketing Strategy
 Target market Segment
 Positioning
 Product Line
 Price
 Distribution
 Sales force , Sales promotion , And Advertising
(e) Budgeting
(f) Implementation and Control

11. THANK YOU…