Microsoft Excel 16.

0 Answer Report
Worksheet: [Data (1).xlsx]Annexture Data
Report Created: 15-07-2021 03:48:09
Result: Solver found a solution. All Constraints and optimality conditions are satisfied.
Solver Engine
Engine: GRG Nonlinear
Solution Time: 0.016 Seconds.
Iterations: 0 Subproblems: 0
Solver Options
Max Time Unlimited, Iterations Unlimited, Precision 0.000001
Convergence 0.0001, Population Size 100, Random Seed 0, Derivatives Central
Max Subproblems Unlimited, Max Integer Sols Unlimited, Integer Tolerance 1%, Assume NonNegative

Objective Cell (Max)

Cell Name Original Value Final Value
$Q$44 2.12044599063 2.12044599063

Variable Cells
Cell Name Original Value Final Value Integer
$P$37 Urban 2.77884210239 2.77884210239 Contin
$P$38 Rural 0 0 Contin
$P$39 Urban 0.06947105256 0.06947105256 Contin
$P$40 Rural 0.07578660279 0.07578660279 Contin
$P$41 Urban 0.25262200931 0.25262200931 Contin
$P$42 Rural 0 0 Contin

Constraints
Cell Name Cell Value Formula Status Slack
$R$44 2778.84210239 $R$44<=$B$34 Binding 0
$P$37 Urban 2.77884210239 $P$37<=$E$37 Binding 0
$P$38 Rural 0 $P$38<=$E$38 Not Binding 13.894210512
$P$39 Urban 0.06947105256 $P$39<=$E$39 Binding 0
$P$40 Rural 0.07578660279 $P$40<=$E$40 Not Binding 0.1557835724
$P$41 Urban 0.25262200931 $P$41<=$E$41 Binding 0
$P$42 Rural 0 $P$42<=$E$42 Not Binding 1.2631100465
NonNegative
 Acquisition

Available outlets Industry HBL

Sales/Consumption point
Total coverage Coverage

lakhs lakhs lakhs

Grocery Urban 50 35 16
Rural 70 30 5
Convenience Urban 1.5 1.45 1.3
Rural 0.2 0.2 0.1
E&D (Eating & Drinking) Urban 30 15 5
Rural 40 10 1.5
Other Channels

Available Activation Cost 3,334,610,523 Rs.

Activation Cost/Month 2,779 Lakhs
Investment for
Increase in
Sales/Consumption point maximum % Max Outlets
sales/outlet
sales/outlet

Rs. Rs Lakhs
Grocery Urban 1000 300 2.78
Rural 200 150 13.89
Convenience Urban 40000 3000 0.07
Rural 12000 3000 0.23
E&D (Eating & Drinking) Urban 11000 250 0.25
Rural 2200 150 1.26
** Calculated only for Post-Covid

Available Acquisition Cost 52,652 Lakhs for successful market activation

 Available Acquisition Cost - 52,652 Lakhs

One time Potential

Possible HBL Average
% HBL coverage cost of Increase in
Outlets for Sales/out
of Total Industry acquisition sales by
Aquisition let/mth*
** Aquisition
52652

% Rs lakhs Lakhs Rs lakhs Lakhs

Lakhs Units
45.7% 0.05 10.53 0.02 252,728 16
16.7% 0.01 52.65 0.005 315,910 5
89.7% 0.3 1.76 0.3 631,821 1.45
50.0% 0.2 2.63 0.15 473,866 0.2
33.3% 0.1 5.27 0.05 315,910 5.3651995
15.0% 0.05 10.53 0.03 379,093 10.000001

Possible
Total
Outlets that Branded Non Branded % Branded
ROI Possible
can be Outlets Outlets Outlet
store
acquired
Lakhs Lakhs Lakhs Lakhs Lakhs
0.30 10.53 26.53 2.78 23.75 10.47%
0.75 52.65 57.65 13.89 43.76 24.10%
0.08 1.76 3.06 0.07 2.99 2.27%
0.25 2.63 2.73 0.23 2.50 8.47%
0.02 5.27 10.27 0.25 10.01 2.46%
0.07 10.53 12.03 1.26 10.77 10.50%

successful market activation

 Industry
Competition
Average
pressure
Sales/outlet/
factor#
mth*

Rs lakhs

lakhs Revenue Lakhs Expenseavailable

0 0 19 0 1.2 0.018
0 0 25 0 0.8 0.004
4500 0.045 0.15 0.15 1.5 0.5
1500 0.02 0.1 0.1 1 0.25
1825.99750000001 0.03651995 10 0.3651995 1.75 0.03
25500.003 0.42500005 8.5 8.500001 1 0.02

33326.0005 52652

Assumption : Base Sales for new stores is same as existing

Case I : Case II:
HBL Average
Activation Activation on possible Outlet Outlet Revenue
Sales/out let/mth*
on existing new

Rs Rs. Lakhs Rs. Lakhs

2000 27,452.03 21,894.35 16 1.77884210239 533.65263072
500 35,357.11 28,410.00 5 5 750
30000 54,944.29 52,860.16 1.45 0 0
15000 43,657.07 40,183.52 0.2 0 0
5000 27,652.14 26,389.03 5.3651995 0 0
3000 35,569.84 31,780.51 10.000001 0 0

1283.6526307
 Financial Data

Total
Total
Annual
Total Annual HBL HBL Annual
HCL Business Total Annual Sales Sales -
Sales - Business Business Sales -
(Pre- Covid) - HBL (Pre Covid) HCL
Industry (Covid) (Post Covid) HCL
(Post
(Covid)
Covid)

Rs lakhs % % %

7.56 29% 40% 48% 3.84 5.94 7.81

1.44 0.3 0.46 0.61
8.7 33% 40% 33% 4.68 6.16 5.58
0.6 0.18 0.24 0.21
5.4 24% 11% 14% 3 1.49 2.08
2.4 0.54 0.27 0.37
0 14% 9% 5% 2.04 1.44 0.88
Revenue GT 12.54 14.56 16.67

Total Revenue 14.58 16.00 17.55

(GT + MT)

expense

1778.8421024
1000
0
0
0
0

2778.8421024
 100000 Conversion to Lakhs

Average activation cost vs Sales

increase

Min
Threshold
Cost rs Sales in Sales/Activation
for
lakhs crease % Cost
activation
Rs lakhs
0.005 0.005 15% 0.30
0.001 0.001 30% 0.75
0.1 0.3 10% 0.08
0.02 0.1 20% 0.25
0.01 0.1 5% 0.02
0.002 0.02 5% 0.07
 Total
Total Total
Annual
Annual Annual
Sales -
Sales - Sales -
HCL
HCL (Pre HCL
(Post
Covid) (Covid)
Covid)

Rs lakhs Rs lakhs Rs lakhs

384,000 593,521 781,382

30,000 46,369 61,046
468,000 616,190 557,718
18,000 23,700 21,451
300,000 149,127 208,227
54,000 26,843 37,481
204,140 143,975 87,753
### ### ###

### ### ###

 Point of consumption dynam

Available outlets Industry HBL

Sales/Consumption point
Total coverage Coverage

lakhs lakhs lakhs

Grocery Urban 50 35 16
Rural 70 30 5
Convenience Urban 1.5 1.45 1.3
Rural 0.2 0.2 0.1
E&D (Eating & Drinking) Urban 30 15 5
Rural 40 10 1.5
Other Channels (MT)

Total Annual
Total Annual Total Annual
Sales / Outlet
Sales/Consumption point Sales / Outlet - Sales / Outlet
- HCL (Post
HCL (Pre Covid) - HCL (Covid)
Covid)

Rs Rs Rs
Grocery Urban 24,000 37,095 48,836
Rural 6,000 9,274 12,209
Convenience Urban 360,000 473,993 429,014
Rural 180,000 236,996 214,507
E&D (Eating & Drinking) Urban 60,000 29,825 41,645
Rural 36,000 17,895 24,987

Available Activation Cost 3,334,610,523 Rs.

Activation Cost/Month 2,779 Lakhs
Minimum Cost/% inc
Sales/Consumption point # Max Outlets
Threshold Sales

Rs. Lakhs
Grocery Urban 500 33 5.2
Rural 100 3 26.9
Convenience Urban 30000 1000 0.1
Rural 10000 100 0.3
E&D (Eating & Drinking) Urban 10000 200 0.3
 Rural 2000 40 1.4
** Calculated only for Post-Covid

Available Acquisition Cost 52,652 Lakhs for successful market activation

% of
Potential potential
Sales/Consumption point Possible Outlets Increase in outlets that
sales can be
covered
Lakhs Lakhs/Month %
Grocery Urban 10.5303490 21,061 49.48%
Rural 52.6517451 26,326 51.08%
Convenience Urban 1.7550582 52,652 5.11%
Rural 2.6325873 39,489 10.45%
E&D (Eating & Drinking) Urban 5.2651745 26,326 5.17%
Rural 10.5303490 31,591 12.94%
** Calculated only for Post-Covid
Point of consumption dynamics pre pandemic

% HBL HBL
Competition
coverage of Industry Average Average One time cost
pressure Average activation cost vs Sales incr
Total Sales/outlet/mth* Sales/out of acquisition **
factor#
Industry let/mth*

% Rs lakhs Rs lakhs Rs lakhs Cost rs lakhs

45.7% 0.018 0.02 0.05 1.2 0.005

16.7% 0.004 0.005 0.01 0.8 0.001
89.7% 0.5 0.3 0.3 1.5 0.1
50.0% 0.25 0.15 0.2 1 0.02
33.3% 0.03 0.05 0.1 1.75 0.01
15.0% 0.02 0.03 0.05 1 0.002

Investment for
Increase in
Sales/Outlet Inc in Sales ROI maximum %
sales/outlet
sales/outlet
Monthly Lakhs
2020 10,525 378.8% 1000 300
505 13,580 488.7% 200 150
30300 2,716 97.7% 40000 3000
15150 4,168 150.0% 12000 3000
5050 1,376 49.5% 11000 250
 3030 4,127 148.5% 2200 150

successful market activation

ROI

40%
50%
100%
75%
50%
60%
 HCL HCL
HCL
Total Annual Sales Business Business
Average activation cost vs Sales increase Business
- Industry (Pre- (Post
(Covid)
Covid) Covid)

Min
Threshold for Sales in crease Sales/Activati
Rs lakhs % % %
activation Rs % on Cost
lakhs

0.005 15% 0.30 7.56

29% 40% 48%
0.001 30% 0.75 1.44
0.3 10% 0.08 8.7
33% 40% 33%
0.1 20% 0.25 0.6
0.1 5% 0.02 5.4
24% 11% 14%
0.02 5% 0.07 2.4
0 14% 9% 5%
Revenue GT
Total Revenue
(GT + MT)

Non
Branded
Max Outlets Sales Increase RoI Possible Outlets Branded
Outlets
Outlets

277,884 83,365,263.07 0.30 1053034 277884 775150

1,389,421 208,413,157.68 0.75 5265174 1389421 3875753
6,947 20,841,315.77 0.08 175505 6947 168558
23,157 69,471,052.56 0.25 263258 23157 240101
25,262 6,315,550.23 0.02 526517 25262 501255
126,311 18,946,650.70 0.07 1053034 126311 926723
 100000 Conversion to Lakhs
Activation Cost

Total Total Total

Total Annual Total Annual Total Annual Total Annual
Annual Annual Activation
Sales - HCL Sales - HBL Sales - HBL Sales - HBL
Sales - HCL Sales - HCL cost (Pre
(Post Covid) (Pre Covid) (Covid) (Post Covid)
(Pre Covid) (Covid) Covid)

Rs lakhs Rs lakhs Rs lakhs Rs lakhs

3.84 5.94 7.81 384,000 593,521 781,382 7,680

0.3 0.46 0.61 30,000 46,369 61,046 600
4.68 6.16 5.58 468,000 616,190 557,718 9,360
0.18 0.24 0.21 18,000 23,700 21,451 360
3 1.49 2.08 300,000 149,127 208,227 6,000
0.54 0.27 0.37 54,000 26,843 37,481 1,080
2.04 1.44 0.88 204,140 143,975 87,753 4,083
12.54 14.56 16.67 1,254,000 1,455,750 1,667,305
14.58 16.00 17.55 1,458,140 1,599,725 1,755,058
Activation Cost Acquisition Cost

Total Total Total Total

Total
Aquisition Activation Aquisition Aquisition
Aquisition
cost (Post cost (Pre cost cost (Post
cost (Covid)
Covid) Covid) (Covid) Covid)

Rs lakhs Rs lakhs Rs lakhs Rs lakhs Rs lakhs

11,870 15,628 11,520 17,806 23,441

927 1,221 900 1,391 1,831
12,324 11,154 14,040 18,486 16,732
474 429 540 711 644
2,983 4,165 9,000 4,474 6,247
537 750 1,620 805 1,124
2,880 1,755 6,124 4,319 2,633
 447
Weightage CAGR 9.72

CAGR 10%

Activation Cost 2%

Acquisition Cost 3%
Based on the weightage average CAGR. NAB market of 28k crore and CAGR of 6% (average of 5-7% as mentioned in case and J
Industry CAGR same as company CAGR
Location Potential Element Content
Store Front Main Thematic Poster Product + Demographic/Celeb

In-Store Descriptive Poster Emotional Lock in

Logical Lock in

Call To action
Usage
Capturing the consumer's attention
Demographic helps identify consumer with TG
Specifically used for impulse marketing
Placing it in appropriate category to show superiority over other products
Highlighting the ingredients and features of the product
Helps consumer makes logical decision of certain product attributes
Shelf Wobblers, shelf strips