Basil & Co: Launching Into a Market With an Incumbent
Marketing
hard45 min0 submissionsMorgan Stanley
Scenario
Basil & Co is a growth-stage quick service restaurants business in India, preparing to launch a new product into an established category.
The category is dominated by an incumbent holding roughly 54% share. The addressable market is about ₹7585 Cr.
Candidate segments:
| Segment | Addressable accounts | Share expressing willingness to switch |
|---|---|---|
| Enterprise | 432 | 64% |
| Mid-market | 3,340 | 49% |
| SMB | 60,017 | 16% |
Constraints:
- Planned list price: ₹14147 per account per year
- Fully loaded cost of a field sales rep: ₹102 Cr per year
- First-year launch budget: ₹46 Cr
- The product is genuinely better on one dimension and worse on two
The founder wants to launch to all three segments simultaneously "to see what sticks".
Supporting data
market
- tam
- 7585
- incumbent share pct
- 54
segments
| segment | accounts | switch willingness pct |
|---|---|---|
| Enterprise | 432 | 64 |
| Mid-market | 3340 | 49 |
| SMB | 60017 | 16 |
economics
- launch budget
- 46
- loaded sales rep cost
- 102
- list price per account
- 14147
derived hints
- accounts per rep to break even
- 72101
Your task
Design the go-to-market. Your answer should provide:
- Analysis — which segment to enter first and why, sized with the numbers given.
- Risks — what your plan depends on, and what would make you change segment.
- Recommendation — a specific first segment, channel, price and success threshold.
State any assumptions you make.
Ready to move forward? Up next: Kirana Connect: Where Should the Acquisition Budget Go?Next question
How you'll be graded
100 points, 60% to pass.
- positioning25
- segmentation25
- recommendation25
- quantitative analysis25
Hint
Reveal suggested structure
Beachhead selection; switching motivation; GTM motion affordable at price point; staged expansion