For each segment, enter the number of inside salespeople. Each inside salesperson costs $50,000.

Diminishing returns in a segment is reached at 30 salespeople. For example, if your company is in all five segments, you would reach diminishing returns at 30 salespeople in each segment, for a total of 150 salespeople, and a total inside sales budget of 150 x $50,000 = $7,500,000. However, if your company only offered products in High, Performance and Size, you could only benefit from a total of 90 salespeople.

Distributors

For each segment, enter the number of distributors carrying your product. Distributors offer customers an opportunity to see your product, compare it with other products, and take delivery. Each distributor costs $100,000 per year.

Diminishing returns in a segment is reached at 15 distributors. For example, if your company is in all five segments, you would reach diminishing returns at 15 distributors in each segment, for a total of 75 distributors, and a total budget of 75 x $100,000 = $7,500,000. However, if your company only offered products in High, Traditional and Low, you could only benefit from a total of 45 distributors.