Short answer
Market analysis examines evidence about segments, alternatives, shifts, and opportunities to inform a product choice.
About Market analysis
Market analysis is the ability to gather and interpret external evidence about customers, alternatives, market changes, and opportunity boundaries.
Use this competency for
- Roles that use external evidence to choose segments or product investments.
- Work affected by changing alternatives, customer expectations, or market structure.
Do not use this competency for
- Decisions based only on internal delivery performance with no relevant external context.
Important distinctions
Competitive analysis
Competitive analysis studies specific alternatives. Market analysis also examines segments, customer behavior, market shifts, and opportunity boundaries.
Expectations by level
IC1
Individual contributor 1
With guidance, analyzes a defined market question for one segment. Handles accessible sources and separates evidence from assumptions.
Observable behaviors
- Compares alternatives using criteria relevant to the target customer.
- Cites the source and date for material market claims.
- Summarizes what the evidence means for the stated product question.
Examples
- For a target segment, compares how customers solve the problem today rather than listing feature tables.
- When a report gives an estimate without method detail, marks the claim as uncertain.
IC2
Individual contributor 2
Independently frames and analyzes ambiguous market questions across segments and alternatives. Triangulates sources and turns findings into bounded product implications.
Observable behaviors
- Segments the market using differences that affect product choice.
- Tests market claims against customer and behavioral evidence.
- Identifies shifts that change an assumption in product strategy.
Examples
- When two sources disagree on demand, compares definitions and gathers customer evidence before drawing a conclusion.
- After a policy change, maps which segments and alternatives face a changed constraint.
IC3
Individual contributor 3
Sets market-analysis direction across connected product areas. Handles incomplete external evidence and helps teams distinguish durable shifts from short-term signals.
Observable behaviors
- Defines the market questions that matter for strategic reviews.
- Connects changes in alternatives or segments to explicit investment choices.
- Reviews major market claims for source quality, relevance, and uncertainty.
Examples
- When a new alternative gains attention, tests whether customer switching behavior supports changing strategy.
- Before entering a segment, requires evidence about need, access, alternatives, and constraints.