December 2017
Intermediate to advanced
390 pages
7h 51m
English
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Chapter 22 Net Sales Contribution
Measurement Need
Part of marketing’s responsibility is to target customer segments, understand their challenges, and develop meaningful solutions that resonate with them, thereby satisfying latent and/or articulated needs. Since each customer segment has different characteristics, addressing their unique needs can be expensive; therefore, marketers must measure the specific sales contribution of each customer segment being targeted.
Solution
Net sales contribution calculates the financial sales contribution of an individual segment to the total sales for all segments, expressed as a percentage. The formula for net sales contribution is:
Where
Sni = net sales contribution ...
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