NEWS RELEASE February 2023
Sales Targets for U.S. AWE Sales Territories
The Air, Water, Energy (AWE) Most Profitable Market program (MPM) is based on validation of forecasts at the local sales level. Mcilvaine standard reports provide forecasts for each country. However, for the U.S and China segmentation by State and province is necessary.
The Most Profitable Market (MPM) niches are determined by compiling the relevant facts and then multiplying them by the relevant factors which includes the ability to sell in the region covered in the niche. Individual States in the U.S. are large enough markets to create profitable niches.
When the U.S. is segmented into 9 regions, each is larger than most countries. China is the only other country for which this is true.
State by State segmentation in the U.S can now be provided. You can use a template to instantly determine the MPM in any State or region.
With this additional segmentation for the U.S. and China creates 160 geographical market niches which can be the basis for sales targets and totals.
As shown below the local salesman in California is responsible for 3 product sub niches in 2 industries or 6 sub niches. The regional product manager is responsible for 1 product in 3 States in two industries or 6 sub niches. Since regional managers spend less time per sub niche it is likely that they are involved in more sub niches than the local salesman.
Sub-niches for local salesman and regional manager.
Here is an example using Pharmaceutical AWE and the Pacific States.
The pacific region has X % of the U.S. pharmaceutical market and X % of the world market. California is a major market by itself. It has X % of the U.S. pharmaceutical market and X % of the world market.
The pharmaceutical market in California is growing at 6% and will be the equivalent of 8% of the 2022 U.S. market in 2027. Note that by basing all future numbers as a percent of the 2022 market, the 2022 revenue number is all that needs to be inserted.
The segmentation of the U.S. and Chinese markets by State/province plus further segmentation by industry (food has up to 33 subcategories) allows a company to create a forecast target for each salesman.
These percentage analyses are available as a supplement to the standard market reports or individually. They generally apply to any AWE product.
The Most Profitable AWE Market is an aggregation of selected niches.
- The $10 trillion Air, Water, Energy (AWE) Market is an aggregation of 1 million niche markets.
- The Most Profitable Market (MPM) is achieved by selecting those niches which are most appropriate.
- The size and requirements for success in each niche are determined by the relevant facts multiplied by the appropriate factors.
- The more shared facts and factors across products the higher the potential EBITDA.
- A niche network of facts and factors can be continually updated to provide revenues and other estimates used for the forecasts, and value propositions.
- Reliable forecasts can become the foundation of management strategy as well as use throughout the organization down to quotas in sales territories.
- Mcilvaine has been supplying forecasts and niche knowledge since 1974 and can support any or all niche programs.
The video description of MPM is shown at https://youtu.be/zPkphlA0KiM
Here is a link to the Power Point presentation: http://home.mcilvainecompany.com/images/mpm.pdf