542 SECTION 4 Consumers in Their Social and cultural setting

542 SECTION 4 Consumers in Their Social and cultural settings Task 1: Understanding the Data Before providing recommendations to the cFo, make sure you understand how to interpret the information presented in the 1 Which country has the segment with the fewest consum. 4 which segment prioritizes physical appearance as a moti- vation for eating drinking healthy? 2 Which country has the largest total number of potential 5 Which segment prioritizes mental/emotional health as a motivation for eating drinking healthy? 3 Find the country that has the consumer segment that makes up the largest percentage of its total amount consumers. What is that percentage? Task 2: Estimating sales Using some assumptions provided by the cFo, you are tasked with estimating the annual sales on for each segment in each country. To do so, you will need to make the following assumptions: Actual consumption: Estimated Units Sold Per Segment per Year When someone says they drink juice or drinks fruit drinks \"daily, we assume they actually have o 7 of that drink on a typical day. ((Segment Total Size) X (6 daily drink) X (assumed daily consumption) (Segment Total Size) X weekly drink) x (assumed daily consumption) When someone says they drink juice of drinks fruit Segment Total Size) x daily drink) (a drinks \"weekly,\" we assume they actually have 0.1 of that drink on a typical day. daily consumption) Segment Total Size) X weekly drink) (assumed daily consumption) x 365 For all other answers, we assume that they don\'t drink the beverage at all According to these estimates, how many beverages would we assume a typical person in each segment com There are 365 days in a year. sumes per year? Using the data provided by GfK and the assumptions CALCULATION: above, what are total estimated number of fruit drinks & Average yearly consumption per consumer juices combined) that are estimated to be sold to con- [For each segment, take the answers immediate y sumers of each segment in a typical year (365 days)? abovel/ltotal size of segment] The answers have been provided to you for the first Task 3: Estimating Sales The cFo is impressed with your initial estimates. She would like you to go even further and estimate the total sales expec within each segment after one year. Again, the CFO has provided you with some important estimates to help you make your Question 1: Using the GfK data and the information Financial Assumptions: vided by the CFO, what is the estimated annual sa (1) The per unit price sold to distributors will be each segment? $0.75, regardless of country or quantity sold. CALCULATION: e (2) The estimated market share for sales depends on how much a segment sees health and wellness as Annual Sales estimated per segment [(Original Estimated Units Sold Per Segment being essential to their lives. If health and wellness a priority for a segment, the CFO assumes a 10% Year) x (Assumed Market Share, per CR0 x (Price per unit to market share in that segment during the first year Question 2: Which country, overall, has the highest is reasonable. If health and wellness is not a major priority, the market share is assumed to only be 5% mated annual sales? which country has the lowest esti mated annual sales? Health and wellness is considered to not be a prior less than 50% the members of Question 3: Based on these estimates, how much moser per consumer would we expect for each segment dentify it as a priority.

Solution

From the table give we could wor on task 1 as follows

1. Germany has the fewest consumer population of 2.1 % in the blue collar segment.

2. THe unites states of America has the largest number of potential consumers of 23645.8 in the white collar segment.