Measuring K&N's Trade Advertising Performance Line# Trade Advertsing Line Items Show Metric Source COMPANY'S COST FOR TRADE ADVERTISING $13 800.00 2 - Cost per trade ad 3 - Total number of months running ads 4 - Total number of placed ads per month 5 - Total number of placed ads COMPANY'S COST PER TRADE ADVERTISING LEAD $766.67 7 |- Expected number of qualified leads per month 8 - Total number of qualified leads 9 TOTAL COST TO CLOSE $4,299.75 10 - Cost of one follow-up field visit $325 11 - Number of follow-up field visits to close deal (per lead) 12 - Cost for follow-up field visits needed to close deal (per lead) $682.50 13 -% estimate of leads that will be followed up by sales personnel 35% 14 |- Number of leads that will be pursued by sales personnel 15 NET SALES & REQUIRED TO REACH "BREAK EVEN THRESHOLD $18.099.75 16 - Average net selling price of company's products $125.00 17 - Number of required units sold to reach "break even threshold $144.80 18 - Avg. net unit sales required from each pursued lead to reach "break even" threshold $22.98 Question #2: Based on the completed Trade Advertising ROI table, will K&N most likely re-coup their advertising investment with follow-up sales of their most popular cold air intake filters? Explain your answer. (3+7pts) 2.1 Measuring K&N's Trade Advertising Performance Line# Trade Advertsing Line Items Show Metric Source COMPANY'S COST FOR TRADE ADVERTISING $13 800.00 2 - Cost per trade ad 3 - Total number of months running ads 4 - Total number of placed ads per month 5 - Total number of placed ads COMPANY'S COST PER TRADE ADVERTISING LEAD $766.67 7 |- Expected number of qualified leads per month 8 - Total number of qualified leads 9 TOTAL COST TO CLOSE $4,299.75 10 - Cost of one follow-up field visit $325 11 - Number of follow-up field visits to close deal (per lead) 12 - Cost for follow-up field visits needed to close deal (per lead) $682.50 13 -% estimate of leads that will be followed up by sales personnel 35% 14 |- Number of leads that will be pursued by sales personnel 15 NET SALES & REQUIRED TO REACH "BREAK EVEN THRESHOLD $18.099.75 16 - Average net selling price of company's products $125.00 17 - Number of required units sold to reach "break even threshold $144.80 18 - Avg. net unit sales required from each pursued lead to reach "break even" threshold $22.98 Question #2: Based on the completed Trade Advertising ROI table, will K&N most likely re-coup their advertising investment with follow-up sales of their most popular cold air intake filters? Explain your answer. (3+7pts) 2.1