Monthly Budget for Advertisement Rs.162,000/Case No.

Medium
Cable Media (Rs.1,000/- per day)
Print Media (Rs.1,000/- per 1,000 sheets)
Rikshaw Announcement (Rs.500 per Riksha)
Total

Volume
Daily
Daily Rate
/Qty
Response
1.00
1,000
1
1.00
1,000
100
1.00
500
5
2,500
106

Case No. 2

Medium
Cable Media (Rs.1,000/- per day)
Print Media (Rs.1,000/- per 1,000 sheets)
Rikshaw Announcement (Rs.500 per Riksha)
Total

Volume
Daily
Daily Rate
/Qty
Response
1.00
1,000
1
1.90
1,900
190
5.00
2,500
25
5,400
216

Case No. 3

Medium
Cable Media (Rs.1,000/- per day)
Print Media (Rs.1,000/- per 1,000 sheets)
Rikshaw Announcement (Rs.500 per Riksha)
Total

Volume
Daily
Daily Rate
/Qty
Response
1.00
1,000
1
2.40
2,400
240
4.00
2,000
20
5,400
261

Case No. 4

Medium
Cable Media (Rs.1,000/- per day)
Print Media (Rs.1,000/- per 1,000 sheets)
Rikshaw Announcement (Rs.500 per Riksha)
Total

Volume
Daily
Daily Rate
/Qty
Response
1.00
1,000
1
2.90
2,900
290
3.00
1,500
15
5,400
306

Case No. 5

Medium
Cable Media (Rs.1,000/- per day)
Print Media (Rs.1,000/- per 1,000 sheets)
Rikshaw Announcement (Rs.500 per Riksha)
Total

Volume
Daily
Daily Rate
/Qty
Response
1.00
1,000
1
3.40
3,400
340
2.00
1,000
10
5,400
351

Case No. 6

Medium
Cable Media (Rs.1,000/- per day)
Print Media (Rs.1,000/- per 1,000 sheets)
Rikshaw Announcement (Rs.500 per Riksha)
Total

Volume
Daily
Daily Rate
/Qty
Response
1.00
1,000
1
3.90
3,900
390
1.00
500
5
5,400
396

Monthly Budget for Advertisement Rs.162,000/-

Case No. 7

Medium
Cable Media (Rs.1,000/- per day)
Print Media (Rs.1,000/- per 1,000 sheets)
Rikshaw Announcement (Rs.500 per Riksha)
Total

Volume
Daily
Daily Rate
/Qty
Response
4.90
4,900
490
1.00
500
5
5,400
495

Case No. 8

Medium
Cable Media (Rs.1,000/- per day)
Print Media (Rs.1,000/- per 1,000 sheets)
Rikshaw Announcement (Rs.500 per Riksha)
Total

Volume
Daily
Daily Rate
/Qty
Response
5.40
5,400
540
5,400
540

Conclusion:
There are 8 possible cases. In all the cases Print Media is the best campaign for advertisement.
Because we get the high monthly response through this medium.

for Advertisement Rs.162,000/Monthly

Rate
30,000
30,000
15,000
75,000

Monthly
Response
30
3,000
150
3,180

Monthly
Rate
30,000
57,000
75,000
162,000

Monthly
Response
30
5,700
750
6,480

Monthly
Rate
30,000
72,000
60,000
162,000

Monthly
Response
30
7,200
600
7,830

Monthly
Rate
30,000
87,000
45,000
162,000

Monthly
Response
30
8,700
450
9,180

Monthly
Rate
30,000
102,000
30,000
162,000

Monthly
Response
30
10,200
300
10,530

Monthly
Rate
30,000
117,000
15,000
162,000

Monthly
Response
30
11,700
150
11,880

for Advertisement Rs.162,000/-

Monthly
Rate
147,000
15,000
162,000

Monthly
Response
14,700
150
14,850

Monthly
Rate
162,000
162,000

Monthly
Response
16,200
16,200

rint Media is the best campaign for advertisement.

Soap Factory in a City

Given Data
Total population
Per person consumption of soap

100000
4
Rupees
12
8
1

Uper price limit

Ex- Factory price
Logistics(Freight etc.)
Population Segmented In.
10% High income group
60% Middle income group
20% Low income group
We have three competitors in market
10%
20%
45%
25%

45%=Our Share in Market

10%,20%,25%=Competitors Share in
Market
We should have target the middle income group
50% of profit may used on advertisement of soap
We will advertise in three ways:
Rent
Cable:
1000
Print Media (Sheets):
1000
Rickshaw (Loud Speaker):
500

Responses:
Cable:
Print media:
Rickshaw:

After seeing 100 times, 1 person will response.

If 1000 sheets will distibuted in 1000 persons
then 10% response will receive.
5 persons will response by one rickshaw advertisem

Sollution:
Total population=
Middle income group people=
(60% of total population)
Our share in market=
(45% of middle income group people)

100,000
60,000
27,000

We will target the 27000 people in market

Total soaps produced=
(4 per person monthly consumption)
Price of soaps(@12 per soap)=
Ex-Factory price+logistic(@9per soap)=
(Rs.8+Rs.1)
Profit of the company= (1,296,000-972,000)

108,000
1,296,000
972,000
324,000

50% of the profit used for advertisement:

324000X50%=
162,000
So,
We use Rs.162,000/- on Advertisement

a City
people
soaps p.m
per soap
per soap
per soap

rs Share in

per day
/1000
per day

, 1 person will response.

buted in 1000 persons

e by one rickshaw advertisement

people
people
people

soaps
Rupees
Rupees
Rupees

per month

10%
20%
25%
45%