. However, the following year we realized that this strategy had not worked to our advantage so we increased the volume discounts to the same levels as Allround. This list was primarily compiled by Prof. The extension we launched in the 4th period, AllRound+, gave us a focused window into the cough market and helped us diversify our risk. As the most reported symptoms changed from year to year, we tried to push the products that the consumer would most want to see in the stores. Therefore, we reduced the percentage of allowances and paid more attention to release trial size. Another reason that we set 18% because we did not buy any research about promotion allowance so we made decision to set to be this percentage.
We used Sully and Rogers, the Tier 2 advertising firms in the starting periods. First, theAllstar brand had a limited product line compared to the competitors, specifically when it cameto the allergy market. A comprehensive discussion of the guidance on allocating variable consideration is available in. PharmaSim offers three playing levels with varying degrees of complexity. However, the Allstar is declined in market share.
PharmaSim Simulation Presented by Group 1 Section 2Mr. It is high in the PharmaSim world and will impact your costs and should affect your price. Pharmasim is very helpful and useful for the marketer in decisionmaking, how the problem should have been solved. Cumulative net income throughout the simulation and final stock price 12. In Period 4, we chose not to move forward with the line extension known as Allround +. Point of purchase promotions proved to increase brand awareness, market share, and unit sales.
Our initial approach to staffing wasto focus our sales force on two of the indirect channels, which had proven successful in our trialperiods. The AllStar sales force was the second lowest of all its competitors so we decided to grow our sales force over the next few years to a level closer to that of the other companies. Issue 1 In transactions that involve a large number of goods or services, there can be multiple combinations of those goods or services that are regularly sold as bundles at a discount. In addition, we also increased the expenses in coupons to gain more sales to compensate our sales reduction in the next period. Allright A is compared to Defogg I and Believe D. In addition, we also kept increasing product display expense to attract our customers, because from the result of the previous period which cause our revenue to increase dramatically. For example, sending Allright to empty nesters would be pointless and allowing us to target young families with the brand trials would have been more successful.
For Allround+, we did some switching of targets. We focused on these brands since they had the strongest presence in the cough and cold sector. Volume discounts and promotional allowances 3. This also meant that much of our business was being done before the product reachedthe consumer. We influenced stores to allocate additional shelf space to our brand in order toprovide more products for the consumer.
Moreover, Allround+ has been accepted widely as the most quality brand due to the formations and it was easy to carry. Prices increased an average of 4. This means it could not piggyback on the past success of Allround brand name. For market share, the Allround+ can expand themarket share because the consumers accepted to the product well as shown in the share ofmanufacture sales chart. This occurred fairly early for Allright since it created very little conversions.
On the other hand, with Allright we started at a fairly high level and decreased it to a more competitive level as brand awareness increased, which took longer because it was a completely different brand name than Allround, unlike Allround+. The benefit advertising for Allround was especially important when it was reformulated in order to get the word out about its improvement. However,we did not want to let their decisions sway us from continuing with our own marketing strategy. Thisfinancial stability alsoallowed us to employ asubstantial sales force,totaling nearly 1000 employees by the end of the simulation. Symptoms reported remained fairlyconstant, so consumer demands for products addressing those symptoms could be easilypredicted. This will help you when you finish and have to re-construct all this for the Marketing Plan.
Therefore Allstar could raise the price a bit and consumers were still willing to buy the product. This was especially important for the introduction of new products. It is a good opportunity to practicemarketing strategy in Pharmasim simulation because once the marketers make a wrongdecision, the Pharmasim can be replayed as many time they needs. The same applies to increasing the coupon value. Our pricing strategy was initially based off trial Periods 1 through 3.