June 8, 2011


Penetration - Penetration is a panel data measure.  It is the % of households that have purchased a product, or shopped in a certain channel or retailer.   Higher is better and 100% penetration is as good as it gets.  In Nielsen the fact is calledItem Penetration (for specific categories/brand/products) or Shopper Penetration (for channels/retailers).  In IRI the fact is % Households Buying.
If annual penetration of Brand X in the New York market is 56%, it means that 56% of all households in the New York market purchased Brand X at least once during the year.
Sales = (Total # of Households x Penetration) x Buying Rate

Send me a note here or fill in the info below with your best email address and I will forward the entire syndicated terms document.

Download the complete Glossary

* indicates required

Related Posts Plugin for WordPress, Blogger...