Question: Based on your item sales analysis reports for the past two quarters, youve brought it to the attention of the executive team that sales in
Based on your item sales analysis reports for the past two quarters, youve brought
it to the attention of the executive team that sales in the grab & go cases in all of the
stores have become stagnant. The executive team has tasked you with bringing them
several suggestionsincluding one recommendationfor new products to try. Your
recommendation will be piloted for three months in the busiest location to assess
demand for this new product. After researching lots of options youve narrowed down
your suggestions. Of the three options youre proposing, which one do you recommend?
A.) Local fresh-pressed juices. Natures Nectar is a local artisanal juice bar that offers
12-oz juice blends at wholesale for $4.75 per unit. The drinks have a shelf-life of three
days and come in eight different juice blends. Natures Nectar will offer The Daily Grind
a special pack size during the trial run, as a result of the exposure theyll receive at your
busiest location. This special pack includes four units (per flavor), with a minimum
order of six packs every-other-day, which is in line with their delivery schedule.
B.) Bagel chip & flavored cream cheese snack packs. This is a relatively new product
from a well-known national brand. These snack packs come in four different
varieties, two savory and two sweet. They have a shelf life of approximately
four months and wholesales at $.65 per unit. A case includes 24 units and your
distributor requires a four-case minimum for every order.
C.) Local chocolate confections. A friend of one of The Daily Grinds store managers
is trying to get her confectionary company off the ground. For the opportunity to
showcase her products, Ellie is willing to negotiate several factors. Shell deliver product
weekly for free, requires no minimum order and will provide marketing materials
to promote the new product. Ellies Bon Bons include two large pieces of decadent
chocolate candy per pack, have a shelf life of one week and wholesale for $1.50.
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