3. Pricing Strategy
BUDGET for the E-Bazaar: Rs. 1000
Expenses:
Promotional Expenses: Rs. 100 included everything.
Badges: 50 pieces * 2 rupees = Rs. 100
T-Shirts: 20 pieces * 39 rupees = Rs. 780
So, Overall expenses Rs 980 which is within the Budget.
4. PROMOTIONAL PRICING
PER UNIT
Overall 70 pieces, so the promotional expenses
should divided equally.
Overall 70 (T-Shirt+Badge)units, so the
promotional expenses should divided equally.
Calculation:
Promotional expenses/quantity= (50/70)=
0.72 paisa.
Calculation:
Promotional expenses/quantity= (100/70)=
Rs. 1.43 per unit
5. PRICING & PROFIT
If we could sell, all 50 baPdrgoefs iatnd 20 pieces of T-Shirts,
then the PROFIT would be:
If we could sell, all 50 badges and 20 pieces of T-Shirts, then the
PROFIT would be:
Badge: 30 rupees*50 pieces = Rs. 1500
T-Shirt: 200 rupees*20 pieces= Rs. 4000
Badge: 35 rupees*50 pieces = Rs. 1750
T-Shirt: 250 rupees*20 pieces= Rs. 5000
So,
So,
The profit from badge: (S.P-T.C)= Rs.(1500- 186)= Rs. 1314
The profit from T-Shirt: (4000-814)= Rs. 3186
The profit from badge: (S.P-T.C)= Rs.(1750- 171.5)= Rs. 1578.5
The profit from T-Shirt: (5000-808.6)= Rs. 4191.4
Total Profit would be Rs. (3186+1314)= Rs. 4500
Total Profit would be Rs. (1578.5+4191.4)= Rs. 5769.9 (on
the basis of minimum pricing)
6. Selling Prices would be
ACTUAL PROFIT (Today)
Number of T-shirts sold: 20pcs*Rs250 = Rs 5000
Number of Badges sold: 35pcs*Rs35 = Rs 1225
For BADGES : 30 rupees each.
For T-Shirt : 200 rupees Each.
TOTAL = Rs 6225
Total Cost(refer to previous slides)= Rs 980
Therefore, Profit => Rs 6225- Rs 980= Rs 5245
15 unsold badges left till now