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Transcript of Topic P1
Factors kept in mind
Total price of the box
Size of the packaging (should look big)
Bottle v/s strips
28 pills per packet
“Weight Loss Buddy” Reading Material-
‘How Metabical works’
Benefits of Metabical
Benefit diet plans by Metabical
personal food journal
-compete with the competitor
Price lesser then $3.75 is not enough to fetch profits.
-a price that if achieved would result in the best possible outcome
“ I want to be healthier” – Age 35 to 65 , college education plus, household income $80,000+
“ I want to wear my skinny jeans” – Age 25 to 40, college education , household income $50,000- $80,000
Average annual income : $65,000
Avg monthly income 65,000/12= $5416
Setting the price as $4.5 per pill($3-$5), one package costs them $126
This shows that they only spend 2.3% of their monthly income on Metabical.
Estimation of future demand of a product
Uses of demand forecasting
framing realistic pricing strategy
fewer negative side effects
low dose formulation
occasional gastrointestinal discomfort when users
new player in market
effectiveness will suffer if consumed with high levels of fats and calories
65% of entire adult population is over weight, obese and severely obese.
issues people have being overweight
bad experience with competitors products
existing market competition
-lack of awareness as it is a new product
Alli - PRICE - 3 per day $120 initially (150 pills for $120 )
Xenical $1.43 per Capsule (84 tablets for 120)