The Business Offer Cannibalization Observatory

 Build an interactive business tool called The Business Offer Cannibalization Observatory that determines whether a promotion creates genuinely incremental profit or merely shifts purchases from full-price products to discounted bundles.

Allow users to enter product prices, unit costs, historical sales, promotion dates, discount amounts, bundle composition, and estimated customer traffic.

The application should:

  • Calculate contribution margin before, during, and after a promotion.

  • Compare promoted-product sales with changes in related products.

  • Estimate incremental units and profit using a user-selected baseline.

  • Model customers switching from full-price purchases to discounted offers.

  • Compare alternative discounts, bundle combinations, and minimum-spend thresholds.

  • Show best-case, expected-case, and worst-case outcomes.

  • Highlight missing data that weakens the analysis.

  • Export a promotion evaluation report with transparent formulas.

Include realistic sample scenarios for a café, an online store, and a neighborhood retailer. Clearly distinguish observed results from estimates, and never claim that a promotion caused a sales increase without an appropriate comparison method. Build an interactive dashboard with adjustable assumptions and live recalculation.

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