What is 'Mindshare'

Mindshare is a marketing term that describes the amount consumer awareness or popularity surrounding a particular product, idea or company. Practically, it is the consumer perception of a particular brand or product compared to their rivals as measured by the amount of talk or mentions generated by the public or the media. Mindshare, also known as "mind share," is similar to "market share," another measurement that is related to the popularity of a product or brand.

Breaking Down 'Mindshare'

One of the primary goals of advertising and promotion is to make consumers think of certain brand names more than others. Given the multitude of choices available to consumers, advertisers can measure their success based on whether the products and services they promote are top of mind. Accordingly, mindshare is a gauge of popularity or consumer awareness as a result of advertising and promotion. For example, when a consumer decides they want to buy a hybrid vehicle they may first think of Toyota's Prius even though there are many alternatives. This would be an example of the Prius having greater mindshare than other brands or models. Similarly, when asked to name an athletic shoe company or fast food restaurant the first answers from most consumers would be Nike or McDonald's — an example of the high mindshare of those brands.

Mindshare vs. Market Share vs. Heart Share

Mindshare is difficult to quantify, even with advanced advertising and social media marketing tools and metrics. Market share is a more easily quantified; it is the percentage of a market defined either in revenue or units that an item holds compared to a competing item. While increasing market share is the ultimate goal of any business, building on mindshare may be a means of achieving that objective. Some advertising experts contend that mindshare can be a better gauge of a small company's long-term health than market share because it signifies that a product is always available, is of high quality, and is backed by quality customer service. Similar to mindshare, "heart share" or "share of heart" is the message-driven focus on creating emotional engagement with consumers rather than simply focusing entirely on market share.

Mindshare and Brands Names

Mindshare may be best explained when brand names enter the lexicon as being the exemplar of a certain kind of product. Q-tip, Kleenex, Advil, Coke and Google (or "googling") refer to specific trademarked products but also serve to identify a class of products or activities.

RELATED TERMS
  1. Brand Management

    Brand management is a function of marketing that uses techniques ...
  2. Brand Recognition

    Brand recognition is the extent to which the general public (or ...
  3. Advertising Budget

    An advertising budget is estimate of a company's promotional ...
  4. Brand Personality

    Brand personality is a set of human characteristics that are ...
  5. Marketing

    Marketing refers to the activities of a company associated with ...
  6. Private Brand

    A private brand is a good that is manufactured for and sold under ...
Related Articles
  1. Small Business

    Advertising, Crocodiles And Moats

    Memorable advertising is a brick in the fortress that keeps competitors at bay.
  2. Financial Advisor

    Why These Are the Most Valuable Brands of 2018

    A company's brand can be worth billions of dollars. Here are the most valuable global brands in 2018.
  3. Small Business

    How Companies Create A Brand

    We take a hands-on approach to creating a brand, and see what it can mean as an investor.
  4. Small Business

    The Power of Branding

    Power of branding is the ultimate economic moat, and we look at the approaches and effects of good and bad branding.
  5. Small Business

    7 Companies With Big Advertising Budgets

    Here's what the corporations with some of the biggest advertising budgets in the U.S. spend their money on.
  6. Investing

    Verizon, AT&T Added to List of Companies Suspending Google Advertising

    The company changed its ad policies after several advertisers pulled their ads off its network.
  7. Investing

    How Commercials Impact Stock Prices

    Commercials can entertain or enrage, but can they move a company's stock price?
  8. Managing Wealth

    Hybrids: Financial Friends Or Foes?

    Forget the planet for a minute - what really matters is whether these vehicles fit your budget.
  9. Small Business

    Digital Advertising Is The Future, But Why? (ZNGA, GOOG)

    Digital advertising has outgrown the internet.
  10. Insights

    YouTube Advertisers Ask For Discounts

    Advertisers on video distribution platform YouTube are demanding Google to make targeted advertising a standard offering.
RELATED FAQS
  1. How does brand image and marketing affect market share?

    Building a positive brand image is a must for companies that want an edge over the competition. Learn how marketing and branding ... Read Answer >>
  2. How important is advertising revenue in the Internet sector?

    Learn about the importance of advertising revenue in the Internet industry. Find out how much Internet firms rely on advertising ... Read Answer >>
  3. What are some examples of companies or products that have outstanding brand equity?

    Brand equity is the heart of reputation building for companies and products. With solid equity, the quality of a service ... Read Answer >>
  4. What are the similarities between product differentiation and product positioning?

    Learn how two marketing strategies, product differentiation and product positioning, are similar and work together to effectively ... Read Answer >>
  5. How do Internet companies profit if they give away their services for free?

    Learn how companies in the Internet sector make a profit when service, content and user applications are offered at no cost ... Read Answer >>
  6. What strategies do companies use to regain market share they have lost?

    Learn about the three simplest ways companies can regain lost market share: pricing changes, promotional changes and product ... Read Answer >>
Hot Definitions
  1. Intrinsic Value

    Intrinsic value is the perceived or calculated value of a company, including tangible and intangible factors, and may differ ...
  2. Current Assets

    Current assets is a balance sheet account that represents the value of all assets that can reasonably expected to be converted ...
  3. Volatility

    Volatility measures how much the price of a security, derivative, or index fluctuates.
  4. Money Market

    The money market is a segment of the financial market in which financial instruments with high liquidity and very short maturities ...
  5. Cost of Debt

    Cost of debt is the effective rate that a company pays on its current debt as part of its capital structure.
  6. Depreciation

    Depreciation is an accounting method of allocating the cost of a tangible asset over its useful life and is used to account ...
Trading Center