Tier I retailer

Tier II retailer

Volume
Revenue( Vol weekly
weekly sale yearly sale Sales in
ume Sales * sale in
in year 1
in year 1
year 1
Avg Price)
year 2
20
960 76800000 1911552000
40
80000
15
720 43200000 1075248000
30
60000
2986800000

Avg price=Rs 30
Y-O-Y growth is assumed to be 100%
Retailer's Margin (10% of Avg price)= Rs 3
As wholesellers and distributers are bulk purchasers, the margin for them is around 4%
Wholeseller's Margin (4% of Rs 27)=Rs 1.08
Distributer Margin(4% of Rs 25.92)=Rs 1.03
Net Average price for the company per pack= Rs 24.89

yearly
Volume
Revenue( Vol weekly
yearly
Volume
Revenue( Volu
sale in
Sales in
ume Sales * sale in
sale in
Sales in
me Sales *
year 2
year 2
Avg Price)
year 3
year 3
year 3
Avg Price)
1920 153600000 3823104000
80
3840 307200000 7646208000
1440 86400000 2150496000
60
2880 172800000 4300992000
5973600000
11947200000