Market Share Drives Revenue Growth

Market Share Drives Revenue Growth

Revenue growth is dependent on a company’s ability to increase its market share. Increasing share occurs by growing with the market or displacing competitors. While share is the ultimate measure of success, growing faster than both the market and competition is how winning and losing is judged.

Marc Benioff, CEO of has said (paraphrase): “Salesforce is about growth. We are working to serve a huge market. We are all about market share and beating the competition. The best way to judge Salesforce is by its top-line revenue growth, not GAAP profitability. Because we are focused on market share, we are spending to grow.”

What does it take to grow market share? First, create your own demand. Help customers save money by becoming more effective and efficient. Second, you have to earn the right to be the customer’s trusted advisor. You earn or lose trust every day by what you do. Third, compete to win. You have to want it more than the competition.

All contents copyright © 2012, Josh Lowry. All rights reserved.


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