Several sources can be used to the complete the above chart. For instance:
Statistics Canada (www.statcan.gc.ca)1 provides population statistics based on projections made from the most recent census. The data is also broken down by age brackets in the event that you want to focus on specific age groups.
Ipsos Reid (www.ipsos.ca)2 is another source that can be used to determine the num- ber of Canadians that shop online. Ipsos’ Interactive Reid Report provides tracking data on the number of Canadians who shop online at various points throughout the year.
A second and critically important measure, is estimating the size of the segment that you will be venturing into. Table 1.2 below provides the inputs that will be required to as- sess the opportunity.
Table 1.2: Estimating the Market Size of a Category in Canada
Canadian Population (Age 19+) Proportion of household with incomes of $50K+ Number of Canadians with household incomes (HHI) of $50K+ Est. proportion of Canadians who shop online in past year Canadians with (HHI) of $50K+ who shop online
25,000,000~ 57%~ 14,250,000~ 61%~ 8,692,500
Proportion of Canadian online shoppers with HHI of $50K who bought category online
Canadians with HHI of $50K+ who have bought the category online
Average per capita spending among Canadian online shoppers with HHI of $50K+
Proportion of household expenditure spent on category Per capita annual online category expenditure among Canadian
online shoppers with HHI of $50K+
Est. online category among online Canadians with a HHI of $50K+
Note: The figures have been used for illustrative purposes
Some of the sources used to calculate the number of Canadians online in a particular household income bracket will be the same sources needed to size the total Canadian market. Data sources are located at the end of the chapter.
Note: Some of Statistics Canada data is available at no cost on their website. Note: The Ipsos-Reid Interactive Report is not a free service.
Visa e-commerce cross-border handbook for U.S. retailers
Copyright 2010 Visa. All rights reserved.