This Doritos commercial is probably my favorite out of them all. I thought it was hilarious and witty. Although very funny, it cost Doritos a lot of money. $2.8 million to $3.0 million for a 30 second ad. So the question is, how many bags of chips would they have to sell in order to make up for that cost??
If the avarage cost of a 12 oz. bag of Doritos is $3.00, and lets say it cost them $ 1.75 per bag to manufacture and ship to the selling location. (NOT EXACT #'s) Then the company would make $1.25 per bag.
So that means Doritos would have to sell 24,000,000 bags of chips to compensate for the commercial. Considering 111 million viewers watched the superbowl, I think that the ad will pay off soon enough.
If the avarage cost of a 12 oz. bag of Doritos is $3.00, and lets say it cost them $ 1.75 per bag to manufacture and ship to the selling location. (NOT EXACT #'s) Then the company would make $1.25 per bag.
So that means Doritos would have to sell 24,000,000 bags of chips to compensate for the commercial. Considering 111 million viewers watched the superbowl, I think that the ad will pay off soon enough.
You're one of the few students that has taken into account the manufacturing cost, a key component when running the numbers on this. Good job. Check your digits on the number of bags you say, I think you've shifted the decimal place.
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