Portable wireless speakers are becoming increasingly popular, due to the diffusi
ID: 2813841 • Letter: P
Question
Portable wireless speakers are becoming increasingly popular, due to the diffusion of handheld media devices. These products are sold online and through electronics retailers.
There are numerous competitors, including Jawbone, Audiovox, Sony, Spracht, Philips and Uniden. Product examples include the Spracht Aura Blu Note ($49 - $79) and the Bose Soundlink ($299).
Spracht is targeting the 24 to 40 year old market, making up 21 % of the U.S. population (currently estimated at 309 million individuals). Spracht 2010 U.S. sales were $ 3.23 million. Research shows that $ 1.78 million were purchased by the target demographic.
Calculate the brand development index for Spracht. Report your answer calculated to two decimal places.
Explanation / Answer
Brand Development Index=(Brand salea to target demographic/Total Brand Sales)*(Total population/Target Demographic population)=(1.78/3.23)*(1/21%)=262 42