Problem
• The per unit price sold to distributors will be $0.80, regardless of country or quantity sold.
• The estimated market share for sales depends on how much a segment sees health and wellness as being essential to their lives. If healthy and wellness is a priority for a segment, the CFO assumes a 10% market share in that segment during the first year is reasonable. If health and wellness is not a major priority, the market share is assumed to only be 5%. Health and wellness is considered to not be a priority for a segment if less than 50% of the members of that segment identify it as a priority.
Question I: Using the GfK data and the information provided by the CFO, what is the estimated annual sales for each segment?
Annual Sales $ estimated per segment = [(Original Estimated Units Sold Per Segment per Year) × (Assumed Market Share, per CFO's rules) × (Price per unit to distributors)]
Question II: Which country, overall, has the highest estimated annual sales? Which country has the lowest estimated annual sales?
Question III: Based on these estimates, how much money per consumer would we expect for each segment?