What is currently the total amount of revenues of CEFFA

Assignment Help Financial Accounting

Reference no: EM132804264

Question - The company CEFFA' is competing in the business of commercializing Nespresso-like coffee machines to SMEs (Small and Medium-sized Enterprises).

CEFFA' is using a direct channel deploying its own salesforce.

The company currently offers one single subscription plan providing the machines and capsules for a contract to be renewed each year at the beginning of the year; the customers have to pay a monthly fee, which includes the coffee machine(s) for free and an unlimited consumption of capsules.

The SMEs customers usually buy from this company or a competitor with the same or a different offering.

The CEFFA' company targets the medium-sized companies with at least 250 employees. A CEFFA' customer has to pay €2.200/month. CEFFA' offers this single pricing plan. Other companies offer different plans with different price points.

The company has currently a 10% of the value market share of the total market. It aims to increase the value market share to 12% by the end of Year 1 and to 20% by the end of Year 2.

In the geographic context of reference market, there are currently 5.000 SMEs in Year 1; the number of SMEs is set to be 5% higher at the end of Year 1 and an additional 10% higher by the end of Year 2.

Currently in geographic context of the reference market, there are 20% of SMEs willing to pay €2.200/month and more; on average, they pay €2.400/month. There are 30% of companies willing to pay between €500/month and €2.200/month; on average, they pay €1.000/month. Finally, there are 50% of SMEs willing to pay less than €500/month; they pay on average €200. The growth rate in Year 1 and in Year 2 will be the same for all three categories.

Currently, what is currently the total amount of revenues of CEFFA'? Please indicate CEFFA's revenues. How many customers does the company CEFFA' currently have in its customer portfolio? Please indicate the number of customers of CEFFA'.

Reference no: EM132804264

Questions Cloud

Characteristics of the board of directors : Provide reasons for your response, citing the ways in which these characteristics usually lead to effective corporate governance.

Identify and discuss three internal control weaknesses : Suggest an improvement to internal control for each weakness. The manufacturing supervisor interviews people who have specialized manufacturing skills

What is the expected stock price a year from now : Alderon Manufacturing's stock is currently trading in the market for $65.00 per share. The stock just paid a dividend of $1.75 per share.

What is your vision of your future as instructional designer : What is your vision of your future as an instructional designer? Has that vision changed from Week 1 to Week 7? Did your chosen professional help you change.

What is currently the total amount of revenues of CEFFA : Finally, there are 50% of SMEs willing to pay less than €500/month; what is currently the total amount of revenues of CEFFA'? Please indicate CEFFA's revenues

What louie and kyo respectively would receive : The first sale of other assets having book value of P300,000 realized P150,000 and available cash is distributed, Pam, Louie and Kyo respectively would receive

How much is the total investment at amortized cost : How much is the total Investment at Amortized Cost? The net amount of gain or loss to be recognized in 2020 profit or loss related to these investments shall be

What useful information does the article provide : What do the authors want you to learn about building mental and emotional health? What useful information does the article provide?

Prepare the entries on raffy for years : Prepare the entries on Raffy for years 2020 through 2023 as a result of the forgoing. (Raffy Company reports on a calendar year basis)

User Account

All Pages