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Brand Penetration Definition

Marketing Definitions

11 Oct 2019 • 1 min read •

Austin Shong

What is Brand Penetration?

Brand penetration definition: brand penetration refers to the number of people who buy a brand’s products, divided by the total number of available people in the niche market.

For example, If we were calculating the brand penetration of two brands in a marketplace with a population of one million people:

  • Brand A: 340,000 / 1,000,000 = 34
  • Brand B: 210,000 / 1,000,000 = 21

This calculation aims to demonstrate the number of people in a particular:

Who choose to adopt a specific brand.

It is important to remember brand penetration is based on the number of people and not the number of dollars spent.

For example:

  • Google
  • Bing
  • DuckDuckGo

All have different levels of brand penetration in the search engine marketplace, although their core services are free of charge.

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