quanti tutorial

quanti tutorial - 11/14/2011 MarketingManagementI MGCR352...

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11/14/2011 1 Quantitative Lab Marketing Management I MGCR 352–T .A. Quant Lab Office hours and contact information Office hours (Room 315) Tue, November 15, 2h30pm – 4h30pm Tue, November 22, 2h30pm – 4h30pm Tue, November 29, 2h30pm – 4h30pm Tue, December 6, 12h30pm – 4h30pm Thu, December 8, 9h30am – 1h30pm Fri, December 9, 9h30am – 1h30pm Feel free to email me @ aida.faber@mcgill.ca After this Chapter, You Should Be Able to… •Ca lcu la t ing Market Share • Estimating the Size of a Market (Step Down Analysis) Market Share •F ixed and Variable Costs • Contribution and Profit Margins Types of Costs and Margins •In units and dollars •Us ing breakeven analysis strategically Breakeven Analysis
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11/14/2011 2 Market Share Market share is the % of the market segment that your brand or product controls. Market share visually Market Share–Step Down Analysis Often when we are working on our projects–we will go looking for market share information and the info that we have will not be exactly what we need… Thankfully we have a tool to help us out. This tool is called: Step Down Analysis .
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11/14/2011 3 Market share–Step down analysis Market share example A study made in January 2010 reports that from 297M Americans who own a mobile and/or have a landline phone,18.40M chose to buy an Apple iPhone that year. Calculate Apple’s market share of the telecommunication market in 2010. Step down analysis example What is Apple market share in the smartphone platform ? You are well aware that from the 297M Americans that have a cell and/or landline phone, 74% own a cell phone. From these cell phone users, 30% bought smartphones in 2010. As calculated before you know that Apple iPhone sales are estimated to 18.40M sales for that year. MS (smartphone market share) =
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11/14/2011 4 Sample Question 1 Total coffee sales = $800.5m Maxwell House’s coffee sales = $105m Folgers’ coffee sales = $21m Suppose there are two segments of coffee drinkers in the coffee market: percolated coffee drinkers which make 86.5% of the coffee market and instant coffee drinkers which make 13.5%. a) Assuming Maxwell House targets percolated coffee drinkers, calculate the target market share. Sample Question 2 Total coffee sales = $800.5m Maxwell House’s coffee sales = $105m Folgers’ coffee sales = $21m Suppose there are two segments of coffee drinkers in the coffee market: percolated coffee drinkers which make 86.5% of the coffee market and instant coffee drinkers which make 13.5%.
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quanti tutorial - 11/14/2011 MarketingManagementI MGCR352...

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