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Carogan

Member Since 17 Oct 2011
Offline Last Active Nov 10 2011 08:58 PM
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Posts I've Made

In Topic: Beverage market research - product mix questions

05 November 2011 - 02:54 PM

This is good info for everyone people!

Delving even further, do you monitor which product is more profitable - 355ml cans vs 591ml bottle, etc. In our neck of the woods a Coke can has the following cost info:

355ml can of Coke:

cost $0.47 Cdn
price $1.50 Cdn
gross profit per unit sold $1.03

591ml bottle of Coke:

cost $1.21 Cdn
price $2.50 Cdn
gross profit per unit sold $1.29

Intuitively I would assume that for Coke cans are the way to go, as I'd expect that the volume for cans sold would be much higher than bottles because it has a much lower price point and thus should have greater demand (but I'd imagine that there are many other factors that come into play when the client makes a purchasing decision).

The gross profit per unit has only a difference of $0.26 cents between $1.50 cans of coke and $2.50 bottles of coke...but bottles do have more gross per unit.

Do you people monitor the demand and know which is more profitable for you when you make your product mix decisions?