Estimate ‘Available Customers’ for a Market – EBI Marketing Work Instructions

Target Audience: Advanced User, IT Manager, Basic User

Article #: 9611

Summary

This Instruction Article explains how to estimate the potential available customers (i.e. Available Customers) for a given market using the U.S. Census and NAICS codes. Finding a good estimate for total potential available customers helps us determine “Estimated Revenue” for a market. The estimated revenue potential determines the priority and effort we put towards marketing to that target audience.

Average Revenue x Available Customers x Percent Likely to Buy = Estimated Revenue

Preparation

  • Determine the target NAICS code
  • Estimate the optimal customer size (by employees)

Instructions

Step 1 – Find FactFinder Site: Browse to the U. S. Census “Fact Finder” website: https://factfinder.census.gov/

Step 2 – Start Guided Search: Select Guided Search and then GET ME STARTED

Main Page – Census FactFinder

Step 3 – Choose Search Type: Select “I’m looking for information about businesses and industries” radio button and press Next (this is “Step 1 – Start” on the website).

Guided Search – 1. Start – Census FactFinder

Step 4 – Select Topic: In the Business and Industry box, expand Business Characteristics and select Employment Size of Establishment/Firm. When you click on this option, it should add it to the Your Selections box (this is “Step 2 – Topics” on the website) . Select Next once you confirm the Your Selections box includes Employment Size of Establishment/Firm.

Guided Search – 2. Topics – Census FactFinder

Step 5 – Specify Geographies: In the “Enter a state, county, city, town or zip code” box, type “United States”. A box will pop up where you can select “United States” by itself or a US Territory. Select United States and press Go. This will add United States to the Your Selections box. Once you confirm Your Selections includes “United States”, press Next.

Guided Search – 3. Geographies – Census FactFinder

Step 6 – Identify Industry Codes: Enter NAICS code for target market in the text box next to “Search or an industry, product, or commodity name or code:”. Press Go and it should appear in the Industry Code Results box. Click in the checkbox near the NAICS code(s) desired. Select Add to Your Selections to move the selected NAICS codes to the Your Selections list. Once you confirm Your Selections includes the NAICS codes, press Next.

Guided Search – 4. Industry Codes – Census FactFinder

Step 7 – Select from Search Results: Click on the table most appropriate. A table name that includes something like ‘by Employee Size Class’ will work best.

Guided Search – 5. Search Results – Census FactFinder

Step 8 – Examine Table View: Add the ‘Number of establishments’ that apply to the target market optimal employee size. For example (below), if the optimal target market size includes businesses with 20 to 300 employees, add the applicable business sizes.

Establishments with 20 to 49 employees130
Establsihments with 50 to 99 employees26
Establishments with 100 to 249 employees5
Total161
Guided Search – 6. Table View – Census FactFinder

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