Scenario Summary
Current Values: Optimistic Pessimistic
Changing Cells: Fixed_cost_print $20,000 $18,000 Var_cost_print $0.10 $0.10 Var_cost_mail $0.15 $0.15 Num_mailed 100,000 100,000 Average_order $40 $45 Var_cost_order_pct 80% 75% Var_cost_envelopes $0.20 $0.20 Response_rate 8% 9% Result Cells: Num_of_responses 8000 9000 Total_revenue $320,000 $405,000 Fixed_costs $20,000 $18,000 Var_mail_costs $25,000 $25,000 Var_order_costs $257,600 $305,550 Total_cost $302,600 $348,550 Net_profit $17,400 $56,450 Breakeven_point 5769.2 3891.4 Breakeven_response_rate 5.8% 3.9% Notes: Current Values column represents values of changing cells at time Scenario Summary Report was created. Changing cells for each scenario are highlighted in gray.
$22,000 $0.10 $0.15 100,000 $35 85% $0.20 7% 7000 $245,000 $22,000 $25,000 $209,650 $256,650 -$11,650 9306.9 9.3%
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
A B Scenario analysis for Direct Mail Campaign Mailing inputs Fixed cost of printing Variable cost for printing Variable cost for mailing Number of catalogs mailed Order inputs Average order Variable % cost of order Variable cost of envelopes used Response rate
C
D
E
F
$20,000 $0.10 $0.15 100,000
Model of responses Number of responses Model of profit Total revenue Costs Fixed costs Variable mailing costs Variable order costs Total cost Net profit Breakeven model Breakeven point Breakeven response rate
8000
$320,000 $20,000 $25,000 $257,600 $302,600 $17,400
$40 80% $0.20 8%
5769.2 5.8%
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
G Cell names: Average_order Breakeven_point Breakeven_response_rate Fixed_cost_print Fixed_costs Net_profit Num_mailed Num_of_responses Response_rate Total_cost Total_revenue Var_cost_envelopes Var_cost_mail Var_cost_order_pct Var_cost_print Var_mail_costs Var_order_costs
H =Model!$B$10 =Model!$E$17 =Model!$E$18 =Model!$B$4 =Model!$E$9 =Model!$E$14 =Model!$B$7 =Model!$E$4 =Model!$B$13 =Model!$E$12 =Model!$E$7 =Model!$B$12 =Model!$B$6 =Model!$B$11 =Model!$B$5 =Model!$E$10 =Model!$E$11