Category Demand Calculator

How your category's growth rate and buyer journey length change who's actually in-market, and what that means for your budget.

The 95:5 rule says 95% of B2B buyers are out-of-market at any given moment. Ehrenberg-Bass developed it for stationary markets: stable categories where the pool of potential buyers doesn't change much year to year.

Dale Harrison showed what happens when it does. In growing categories, first-time buyers flood the in-market pool continuously. They don't have vendor preferences yet. They aren't on your retargeting list. And their share of the in-market pool grows as the category grows faster.

But the in-market pool isn't one thing. Kerry Cunningham's research on B2B buying stages shows that most buyers in evaluation are in the Awareness and Consideration stages. They haven't run a search query yet. Performance marketing can't find them. This pre-search window is the dead zone: real buying momentum, invisible to your tools.

The longer the buying journey in your category, the larger the dead zone. A 3-month journey has almost none. A 12-month journey means three-quarters of all buyers in evaluation may never show up in your intent data.

Set the four inputs for your category.

Growth rate model by Dale Harrison: "Category Growth Breaks the 95:5 Rule" (LinkedIn, 2026). Buying stage framework by Kerry Cunningham (6sense B2B Science Series). Introduced in Open Folders: How markets actually grow →

Four inputs Adjust for your category. Outputs update in real time.
Annual category growth rate 20%
−50% declining 0% flat 100% 200% hyper-growth
% of budget on performance marketing 80%
0% (all brand) 50/50 100% (all performance)
Performance = spend chasing buyers already showing intent (search, retargeting). Brand = spend that builds awareness before intent exists. Budget here means media/demand gen spend, not the full marketing budget.
How often do buyers in your category actively shop for a new solution? every 5 yrs
1 yr 3 yrs 5 yrs 7 yrs 10 yrs
e.g. productivity tools ~1–2 yrs · marketing software ~3–5 yrs · CRM ~5–7 yrs · ERP ~7–10 yrs
How long does the typical buying journey last once triggered? 6 months
1 mo 6 mo 12 mo 18 mo
e.g. simple SaaS ~1–2 mo · marketing tools ~3–4 mo · CRM ~6–9 mo · ERP ~9–18 mo
Market composition by buying stage
Distribution across buying stages
~10% evaluating ~90% Target (not evaluating)
~5% active search (Decision + Purchase)
Budget reach vs. 50/50 optimal (peak reach)
Your reach: ~5% 50/50 optimal: ~10%
Target
Awareness
Consideration
Decision
Purchase
5%
Active
search
Decision + Purchase stages
5%
Dead
zone
evaluating, invisible to intent
0%
First-time
buyers
no vendor preference yet
7%
Max market
ads can reach
at your current budget split
What this means for your budget

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How the math works

Active search (Decision + Purchase stages): Harrison's formula derives the quarterly flow of buyers entering active vendor evaluation. active = (25 / cycle) + ((1 + growth/100)^0.25 − 1) × 100. The baseline (25 / cycle) reflects purchase frequency: at a 5-year buying cycle, 25/5 = 5% of buyers are in active search at any moment, matching the original 95:5 rule. Shorter cycles raise the baseline; longer cycles lower it. Verified against Harrison's published data points: CRM at 13.4% growth → 8.2% active ✓; 100% growth → 24% active ✓.

Dead zone (Awareness + Consideration stages): Buyers who are researching but haven't started active vendor outreach or run a search query. When buying journeys exceed one quarter (3 months), buyers from prior quarters are still mid-journey, building a shortlist, without yet triggering any intent signal. deadZone = active × max(0, journeyMonths/3 − 1). At a 3-month journey, dead zone = 0. At a 9-month journey, dead zone = 2× the active search pool. At a 12-month journey, dead zone = 3× the active search pool.

Total evaluating: totalEvaluating = active × max(1, journeyMonths/3). Every buyer in any stage of evaluation right now: dead zone plus active search.

Stage mapping: The five buying stages (Target, Awareness, Consideration, Decision, Purchase) map directly to formula outputs. Target = out-of-market (100% − total evaluating). Awareness = first third of the dead zone. Consideration = remaining two-thirds of the dead zone. Decision = first half of active search. Purchase = second half of active search. This mapping is consistent with Kerry Cunningham's B2B buying stage research (6sense Science Series).

First-time buyers: New category entrants as a share of the active search pool. At 0% growth, all active buyers are replacement buyers. As growth rises, first-time entrants dominate. The buying cycle shifts the ratio: shorter cycles mean more replacement buyers relative to first-timers. The ratio holds across the dead zone and active search alike.

Budget reach: Performance marketing reaches active-search buyers (Decision and Purchase stages). Brand reaches dead zone buyers (those forming preferences before they search) plus the next wave of active buyers entering the market. perfReach = min(P×2, 1) × active. brandReach = min(B×2, 1) × min(deadZone + active, 1). Peak total reach occurs at a 50/50 split, where both pools are fully covered. As journey length grows, so does the dead zone. A heavy performance weighting reaches a shrinking share of the buyers who are actually deciding.


From the newsletter

This model was introduced in Open Folders, a weekly newsletter on marketing science, measurement, and the gap between what the research shows and what teams actually do.

Read Open Folders →