Scribd
Upload
55 views2 pages

US Exercise Equipment Market Analysis

Company holds an 18% market share in the US exercise equipment industry, with higher shares in retail (27%) and lower shares in private (10%) and commercial (17%) sectors. It generates $630 million in annual revenue. The document considers alternatives like reassigning salespeople, hiring new salespeople, or firing underperformers to improve sales in underperforming territories based on criteria like sales, productivity, and costs.

Uploaded by

RohanMohapatra
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
55 views2 pages

US Exercise Equipment Market Analysis

Company holds an 18% market share in the US exercise equipment industry, with higher shares in retail (27%) and lower shares in private (10%) and commercial (17%) sectors. It generates $630 million in annual revenue. The document considers alternatives like reassigning salespeople, hiring new salespeople, or firing underperformers to improve sales in underperforming territories based on criteria like sales, productivity, and costs.

Uploaded by

RohanMohapatra
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

BACKGROUND

Company

• 18% market share in the US industry of exercise equipment's


• Company held market share of
• 27% in retail
• 10% in Pvt.
• 17% in Commercial
• Competitive advantage- Products’ Quality and Effectiveness
• Revenue- $630 million (2011)

Customer Context

• • Lower bargaining power of the


Retail Products - Big Box Retailers,
buyers: Highly fragmented US health
Sporting Equipment Chains and
Online Retailers Competitors club industry,
Collaborators • Competition rivalry: Low (18%
• Private & Institutional Products –
market share)
Private Organizations such as Private • Other similar equipment
Clubs, Universities, Training facilities • CRM tool supplier • Threat from substitutes: Low
manufacturers (Increased usage of exercise
for sports and Residential property
• equipments required health clubs to
Commercial Products – Health clubs
replace them before the usually
charging fee
expected life)
Criteria and Alternatives

Criteria for Evaluation

1. District sales of Step Smart’s Equipment.


2. Salesforce Productivity.
3. Cost Incurred.

Alternatives:

• Reassign existing salesperson to different territories- best salesperson to bad territory sales and vice versa
• Hire new salesperson for territory with bad sales and put those territory previous sales person under probation
• Fire bad performing salesperson and replace with new sales person

You might also like