Loading presentation...

Present Remotely

Send the link below via email or IM


Present to your audience

Start remote presentation

  • Invited audience members will follow you as you navigate and present
  • People invited to a presentation do not need a Prezi account
  • This link expires 10 minutes after you close the presentation
  • A maximum of 30 users can follow your presentation
  • Learn more about this feature in our knowledge base article

Do you really want to delete this prezi?

Neither you, nor the coeditors you shared it with will be able to recover it again.


Make your likes visible on Facebook?

Connect your Facebook account to Prezi and let your likes appear on your timeline.
You can change this under Settings & Account at any time.

No, thanks


No description

Abe Rio

on 5 December 2011

Comments (0)

Please log in to add your comment.

Report abuse

Transcript of GatorGum

Gum of the past... PointsOF
Failure DisContinue prime Perform recover Threats Weaknesses Strengths Opportunities Year 1 how? Break Even Year 2 Market Re-entry 400 million 6 months 800 Million $200 Million $800 Million 4 P's Product Strategy
distinct long lasting flavors
Place Strategy
sell in tandem with G-series products
Price Strategy
bundle discounts
Promotion Strategy
76% of target market participates in running questions ? Appendix A: Assumptions We assumed that the variable cost of producing one unit of GatorGum will be approximately $1.00.  We used this number in all our calculations.
We assumed a cost of $200 million for equipment, events, and promotional coupons. This is based on prices for new chewing gum manufacturing equipment and the promotional events (5K and half-marathon runs and promotional coupons).

In order to calculate the total market size, we assumed that 52% of the United States population purchases Gatorade when buying a sport drink. Of those consumers, 53% said that they suffer from “dry-mouth” while exercising. Of those, 53% said that they would chew gum to prevent this from happening. From there we assumed that only 75% of that segment would actually purchase GatorGum. Assuming a US population of 307 million, we got our final answer of approximately 33 million potential customers. We also assumed that each customer would buy about 12 packs a year, based on how frequently they said they exercised in our survey.

Appendix B: Fixed Costs Product/Service Cost Equipment Floor space Initial promotions/marketing Initial promotions/marketing Initial promotions/marketing Total Fixed Costs $106,000,000 $42,000,000 $31,000,000 $15,000,000 $6,000,000 $200,000,000 Appendix C: Calculations Break-even Calculation:
First Year Fixed Costs= 200 million
Revenue per unit= $1.99
Variable Cost per unit= $1.00

------------------ = 202,020,202

Break-even point at 2.02 million units

Potential Market Size Calculation:

307 Million X 52% who buy Gatorade = 159,640,000
159,640,000 X 53% suffer from dry mouth while exercising= 84,609,200
84,609,200 X 53% who would chew gum to prevent dry mouth= 44,842,876
44,842,876 X 75% who say they would buy GatorGum and actually would= 33,632,157
Appendix D: Research Appendix D: Research Continued
Full transcript