To reach our target market as intensely as possible, have effective promotional plans and keep promotional overheads low. This will be done by nation-wide distribution through large retailers.ProductFive Degrees of Innovation is introducing an new plastic label remover that fits onto an individual thumb in order to scrape unwanted adhesive labels. Sales ProjectionWe projected our sales based on the Contandina case 80%, 30% rule. First we found our main target segment which is 15,015,300 people nation wide. We then adjusted this figure for the amount of awareness (30%) we can generate and distribution channels we can attain (ACV of 35%). This gave us a figure 921,914 people who will buy our product in the first year. Market penetration will increase in the future years as the marketing budget is raised to increase awareness. Figure 3-BaseYear20002001200220032004Penetration3.1%4.6%5.85%5.26%4.68%Market Size* 15,015,300 15,015,300 15,015,300 15,015,300 15,015,300 Sales 921,914 1,382,871 1,756,027 1,580,424 1,404,821 Total Sales' 7,046,057 To account for alternative scenarios we changed the percentage of penetration to come up with a best and worst case scenario. We changed the awareness and ACV by 5% from the base case to come up with the sales projections for the best and worst case. To achieve sales projections in the worst case, we assume that the product sales did not pick up as quickly and the awareness did not increase as expected. Figure 3-BestYear20002001200220032004Penetration4.09%5.85%7.24%6.58%6.58%Market Size* 15,015,300 15,015,300 15,015,300 15,015,300 15,015,300 Sales 1,229,219 1,756,027 2,173,083 1,975,530 1,975,530 Total Sales' 9,109,388 WorstYear20002001200220032004Penetration2%4%5%4%4%Market Size* 15,015,300 15,015,300 15,015,300 15,015,300 15,015,300 Sales 658,510 ...
