18 Nov 2020
Digby’s Elite product Deft has an awareness of 72%. Digby’s Deft product manager for the Elite segment is determined to have more awareness for Deft than Andrews’ Elite product Ate. She knows that the first $1M in promotion generates 22% new awareness, the second million adds 23% more and the third million adds another 5%. She also knows one-third of Deft’s existing awareness is lost every year. Assuming that Ate’s awareness stays the same next year (77%), out of the promotion budgets below, what is the minimum Digby’s Elite product manager should spend in promotion to earn more awareness than Andrews’ Ate product?