Market penetration is defined as the act of increasing the market share of a product, or promoting a new product through different strategies such bundling, advertising, lower prices, and volume discounts. The second definition is the measure of the extent of a products sales volume relative to the total sales volume of all competing products. This may sound like a bunch of gibberish, but it really can make sense.
All this refers to is the amount of space that a particular product takes up in a particular market. For instance, McDonald's is all over the place. There are billboards, commercials, toys, clothes, cartoons, movies, you name it, they have it. More children in the world can identify Ronald McDonald than can identify the president of the United States. This company has some of the best market penetration in the food industry. The more places you see a logo/sign, the greater the penetration.
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