To determine the potential for sales of coffee (as opposed to a specific brand)in a particular market area,a company should use:
A)brand development index.
B)category development index.
C)survey of buying power index.
D)Simmons Market Research Bureau (SMRB).
E)Mediamark Research Inc.

Question

Quizplus · Accepted Answer

The category development index (CDI) is a useful tool for determining the potential for sales of a product category, in this case, coffee, in a particular market area. It takes into account the percentage of households in the market that buy the category and the percentage of sales in the total US market that occurs in the market area. This information is helpful for a company to determine the level of opportunity or demand for their product in a given market area. The other options mentioned do not specifically address the potential for sales of a product category in a market area.

To Determine the Potential for Sales of Coffee (As Opposed