A DATE WITH DATA

PRODUCT LAUNCH STRATEGY

HIRING – NUMBER OF SALES REP

Estimating Simulating Sales

Approach Sales’ relation and other
Optimizing
with Rep Visits financial data
number of Reps
based on proxy on number of
data Reps

Establish
Establish Sales
Sales as
as aa Build
Build financial
financial metrics
metrics Identify
Identify the
the inflection
inflection
logarithmic
logarithmic function of
function of based
based on given costs for
on given costs for point
point to get Rep count
to get Rep count
no.
no. of
of visits
visits by
by reps
reps each
each scenario
scenario ofof no.
no. of
of reps
reps for
for maximum
maximum profit
profit

$160,000
$140,000 $ 134,882
$120,000
$100,000
Profit vs $80,000
$60,000
No. of Reps $40,000
$20,000
$-
10 17 24 31 38 45 52 59 66 73 80 87 94 101 108 115 122 129 136 143 150
63

The
The absolute
absolute profit
profit initially
initially increases
increases with
with the
the number
number of of reps
reps but
but post
post 63
63 Reps,
Reps, the
the cost
cost
increases
increases at
at higher
higher rate
rate than
than the
the sales
sales resulting
resulting in
in an
an inflection
inflection point
point
FORECASTING – COMPANY SALES FOR Q4
Since company
Predict the industry
sales only depend
sales for the month
on industry sales,
of October,
forecast the
November and
company sales as a
December by
function of the
following the
predicted industry
growth trajectory
sales

Month Forecasted Sales

October 2021 $154677
November 2021 $165376
December 2021 $174160
Q4 2021 $494213

A
Amore
more accurate
accurate prediction
prediction could
could have
have been
been performed
performed ifif the
the company
company supply
supply data
data would
would have
have
been available. The forecasts from the supply wise sales model could have been
been available. The forecasts from the supply wise sales model could have been comparedcompared
with
with the
the demand
demand research
research report
report of
of the
the company.
company.
THANK YOU
Submitted by L11