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interviews and we found that most of those interviewed were willing to pay anywhere from
$10-$20 for a nice T-shirt. The average price was around $15. For that reason, we decided
to not go any higher than $15.99 for our shirts. With a unit cost of $5.79, we had a gross
margin of 64%. The way to get the gross margin is $15.99 - $5.79 = $10.20, then $10.20 /
$15.99 = .64 or 64%. However; we decided to lower our prices later to $13 and that gives us
a gross margin of 45%.
#10) (15) List some of the key customer insights you have gotten, tell me how you got them
(survey, observation, interviews, focus group, etc), AND what you did about it. We got insights
on what prices to set from the customer interviews. I already explained them on Question
#6. We also got insights on how to what kind of shirts to get. We found that most girls like
to wear V-necks, so we made sure that we got V-necks for girls. We also found that the
quality of the t-shirt is very important. Some of those interviewed said that if the shirts
were not soft, then they would not buy them. We also found that those interviewed were
concerned about how well the transfers would stick to the shirt, especially after washes.
We decided to do some research into it and found that the best type of shirt for us to get
was a 50/50 shirt. It means that 50% of the shirt is made of cotton and 50% is made of
polyester. It is soft, durable, and a low cost for us.