A brand has a unit market share of 5% during the pre-promotion period, and this increases to

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Question:

A brand has a unit market share of 5% during the pre-promotion period, and this increases to 7% during the promotion period. Assume that both periods are of equal duration, and category sales remained stable at 500,000 units per period. Suppose that the contribution per unit drops from $95 during the pre-promotion period to $60 during the promotion period. What is the contribution from incremental sales during the promotion period?

Select one:

a. None of the above

b. $187,500

c. $350,000

d. $875,000