Question: - AaBbCCDC ABBOLCU Hdb 1 - ab X, * A-D-A EE Normal No Spac. Headir Font 5 Paragraph The CFO wants to assess the effectiveness

- AaBbCCDC ABBOLCU Hdb 1 - ab X, * A-D-A EE
- AaBbCCDC ABBOLCU Hdb 1 - ab X, * A-D-A EE Normal No Spac. Headir Font 5 Paragraph The CFO wants to assess the effectiveness of these campaigns. The brand manager had run an ad in a popular local magazine (let us call it Tampa Bay Lifestyles) in July, a back-to-school price promotion in August, and a coupon drop through free standing inserts in September. The ad cost the firm $1,500 for a full-page ad in the magazine. In August, the back-to-school promotion price was $30 on all sales in August instead of the regular price of $40, The FSI coupons were $5 off coupons that reached 1,000,000 households at an average CPM of $5.00. The brand manager knew that all coupons would not generate incremental sales as some sales were to customers who would have purchased the brand anyway. The baseline sales estimate for July was 1.200 units, while the baseline estimates for August was 25% above the July estimate, and for September it was 10% below the July estimate. The contribution margin (before marketing expenses) for the firm for this product at regular prices was 40% of sales. 6. If the cost of artwork and production costs for the coupons was $10,000, what is the total coupon drop costs including media distribution costs? (5 points) Search . G D - AaBbCCDC ABBOLCU Hdb 1 - ab X, * A-D-A EE Normal No Spac. Headir Font 5 Paragraph The CFO wants to assess the effectiveness of these campaigns. The brand manager had run an ad in a popular local magazine (let us call it Tampa Bay Lifestyles) in July, a back-to-school price promotion in August, and a coupon drop through free standing inserts in September. The ad cost the firm $1,500 for a full-page ad in the magazine. In August, the back-to-school promotion price was $30 on all sales in August instead of the regular price of $40, The FSI coupons were $5 off coupons that reached 1,000,000 households at an average CPM of $5.00. The brand manager knew that all coupons would not generate incremental sales as some sales were to customers who would have purchased the brand anyway. The baseline sales estimate for July was 1.200 units, while the baseline estimates for August was 25% above the July estimate, and for September it was 10% below the July estimate. The contribution margin (before marketing expenses) for the firm for this product at regular prices was 40% of sales. 6. If the cost of artwork and production costs for the coupons was $10,000, what is the total coupon drop costs including media distribution costs? (5 points) Search . G D

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