Opportunity Cost Evaluation
We have developed a methodology to identify those products (within a portfolio) where it looks likely that altering the planned levels of promotional investment (up or down) will yield increased profits. We can then use this as the basis of a workshop to develop and agree a set of optimised business forecasts and promotional investment levels for each of the product opportunities identified.
The process can identify quickly and efficiently those product areas where
Forecast and budget construction can be improved
Extra promotional investment would be justifiable or
Promotional effort can be reduced without jeopardising sales
This approach can be used to review
Products within a market segment portfolio in a single market compared with each other
Products within a market segment portfolio in a single market compared with products from other market segments in the same market
Products within a market segment portfolio across a range of markets, comparing markets and products with each other
This is a reliable and proven methodology which produces optimised product plans
Experience in over 40 studies indicates that an exercise of this nature will almost always bring about significant profit gains
We can turnaround of results very quickly, as the first stage can be carried out within 1-2 weeks on receipt of the appropriate data