Results:
We kept a hold on fourth place this round and distanced ourselves from fifth place. Our products did unbelievably well this round as SALT sold over 144,000 and we had 0 inventory, and our SAMA sold over 97,000 and we had 51 units in inventory. SAMA made $6 million in contribution, while SALT pulled all of our company's weight with over $24 million in sales. We also found that team E and O had both released new Sonites last round!
Decisions:
This round we had our first R&D project available, SACK. We decided to target Hi-earners with this product and priced it quite high at $526. We kept SAMA's production the same, bumped SALT's by 35,000 units due to its success, and produced 64,000 SACK's for this round. We kept all pricing and sales forces the same, but introduced 35 SACK salespeople. Our advertising budget also shot up by 2 million for the new SACK promotion and research. Finally, we sunk in $900,000 into our VAXY project and another $100,000 into VAJO.
We were really excited to see how SACK could do in the new market!
The blog of our experience in using Markstrat for our Commerce 363 class at UBC!
4th place again! It's okay! We just need to motivate each other to do better. Just stay positive!! Look at how well our products did! I am positive that we will do better than 4th place next round. We are improving in our decision making skills. Good job guys!
ReplyDeleteI can't wait to see how SACK does!! Hopefully we will be able to release our vodites soon!
Go SACK go! Im very excited about the launch of our new product. HiEarners is willing to pay a high price and according the the perceptual maps (<3), no one else is targeting them. If we launch this right, I think we can capitalize on being the only ones with that specific target.
ReplyDeleteIt seems that we are doing very well for inventory, maybe we should increase our sales force since we keep running out of product?
Anyways lets keep talking and planning guys!