METABICAL CASE STUDY ROI

The following strategy will apply:. However, upon 3 model presented the best ROI. It was a unique product, which was focused towards a particular segment of the market, the overweight segment. With the lower pricing structure, it lowers the financial risk to customers. Implementation Plan The following details the implementation strategy: Customers of OTC weight loss drugs have stirred to other choices such as diet and exercise plans due to safety concerns concerning OTC weight loss drugs.

The following strategy will apply: This option also targets other related markets and possibly some percentage of overweight women of other ages may purchase the product. CSP’s primary target market after extensive market research is customers with the following characteristics:. How about receiving a customized one? Although revenues are lower In the short term, Metabolic will be able to project itself as a premium product over the long term.

Therefore, we must set our pricing competitively. No prescription drugs are available for this market segment.

The following are lists of the main categories in the market: This alternative choses the lowest pricing option because of the population chosen. How about receiving a customized one? It helps gain a new angle, studg a compromise in Just how we are going to go about a new launch, a new brand or a brand repositioning. In this report, we will conduct an analysis to determine which of the 3 proposed pricing models will promotes high sales and be profitable to the company at the same time.

Based on the various analyses conducted, I will recommend Option 2 to the Cambridge Science Pharmaceuticals organization.

metabical case study roi

Cambridge Sciences Pharmaceuticals’ CSP must make reasonable logic to assess the demand and pricing for Metabical within the first five years. This population is very broad and general and therefore may contain customers who are price sensitive. The following strategy will apply: Do not require strict FDA approval.

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The lowest pricing was selected because this target market has the possibility that it may look into other methods to lose weight such as Jenny Craig.

Metabical Case

Under this option, we have a target market that are educated and are willing to spend money on prescribed weight loss drug. Through market study, we may find all the information we need to decide whether to take action on a particular product or subject. Promote to dieticians, fitness centers, fitness trainers and online i. One being, that it aligns with Cups corporate strategy while the third option shows pricing to be too high as market research indicated.

The following strategy will apply:. Women who are ages have money to purchase weight loss products and will spend money for a prescription. At this pricing, it makes Metabolic a premium quality product In line with product effectiveness.

Welcome to the world of case studies that can bring you high grades! Although revenues are lower In the short term, Metabolic will be tsudy to project itself as a premium product over the long term.

metabical case study roi

This option also captures only an insignificant percentage syudy the target market and therefore will be difficult to achieve a positive ROI see exhibit 3. Market research can estimate ten Kelly sales AT a new perseverance Ana also ten advertising expenditure required to achieve maximum profits.

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With the lower pricing structure, it lowers the financial risk to customers. However, upon 3 model presented the best ROI. Target Market CSP’s primary target market after extensive market research is customers with the following characteristics: Hence, forecasting a new product based on older product success might not be rii reliable Indicator to decide on a product launch strategy. Our chosen price is suitable because of the demographic target market.

Overview & Proposed Solution Cambridge Science Pharmaceuticals | Case Study Template

There were other products, but they were not as popular in the market segment Metabolic was targeting. Various diets and exercise plans and other weight loss drugs ranging from over-the-counter and prescription. Unless the price is lowered, this option seems unrealistic. Metabolic was metabial compete in the Prescriptive drug market, where there were only a few drugs available but these drugs were mainly approved for obese and every obese Individuals.

Overview & Proposed Solution Cambridge Science Pharmaceuticals

Pricing the product low will lower consumer financial risk, which gives the product a better opportunity to sell in maximum volume. A new product entering the segment for the first time is influenced by current market state, existing competition, and varied market dynamics.

It was the first of its kind and had that advantage.