1. What is the CDI Formula?

The Category Development Index (CDI) measures how well a product category performs in a particular market segment compared to its expected performance. It's calculated by dividing actual units sold by expected units and multiplying by 100.

2. How Does the Calculator Work?

The calculator uses the CDI formula:

Where:

• \( \text{Units Sold} \) — Actual number of units sold
• \( \text{Expected Units} \) — Predicted or benchmark number of units

Interpretation:

• CDI = 100: Performance matches expectations
• CDI > 100: Performance exceeds expectations
• CDI < 100: Performance below expectations

3. Importance of CDI Calculation

Details: CDI helps businesses understand market performance, identify strong/weak markets, and allocate resources effectively. It's commonly used in retail and marketing analytics.

4. Using the Calculator

Tips: Enter whole numbers for units sold and expected units. Expected units must be greater than zero. The calculator will compute the CDI percentage.

5. Frequently Asked Questions (FAQ)

Q1: What's a good CDI value?
A: Values above 100 indicate better-than-expected performance, while values below 100 suggest underperformance. The ideal value depends on your specific goals.

Q2: How is expected units determined?
A: Expected units can be based on historical data, market averages, or predictive models depending on your analysis needs.

Q3: Can CDI be over 100?
A: Yes, CDI can exceed 100 when actual sales surpass expectations, indicating particularly strong performance in that category.

Q4: What's the difference between CDI and BDI?
A: BDI (Brand Development Index) measures brand performance, while CDI measures category performance. They're often analyzed together.

Q5: How frequently should CDI be calculated?
A: This depends on your business cycle, but typically monthly or quarterly calculations provide useful insights.