Final Campaign Analysis Report

Due: April 25, 2013 @midnight

Final Campaign	20%
The Client Concise description of business to show understanding of client Client goals as described during the client briefing.	/5
The Target Market Summative description of target market. Explain the segments chose and why. Completed List in proper field type format showing segments and updated at completion of campaign.	/13
The Big Idea Describe the overall idea, how it came to be and how it meets the goals of the client.	/10
The Message Explain the offer and why it was chosen. Explain what appeal you chose and why. Explain what action you were trying to generate.	/12
The Channel Explain the channel(s) chosen and why. Describe how the channel will be used. Highlight the industry standard for redemptions within that channel(s).	/10
The Creative Include all components of creative.	/10
The Results Describe metrics that would be tracked and how they were tracked. Describe any noticeable differences before and after the revisions were done. Estimate versus actual numbers of the appropriate analytics that highlight the benefits of this campaign. (CPP, CPR, CPS, GP, BLP if possible, LTV, and ROI) Include metric and analytic reports available through tools used.	/15
The Analysis Determine future recommendations based on results for the client to duplicate, discontinue or expand this campaign. Taking into consideration all milestones, sections, timelines, budgets and results.	/20
Format ●    Proper spelling and grammar required (client ready). ●    References and research required. Proper APA citation expected. ●    Created as a presentation file type, posted on Slideshare or Prezi and the link emailed to lfair@sl.on.ca. Only 1 per team required.	/5
TOTAL	/100

Analytics Take Up from review class

Client: Green Door Vitamins
Channel: Email & DM Website
Expenses: $15/month for 1 year for Constant Contact, Website hosting $240 / yr, $15 domain / yr, $2500 development
Reach: 500 email subscribers, 12000 website views
Reponses: 100 phone calls or emails, 196 clicks, 65 subscribers
Offers redeemed: 68 total, 20 from email only
Average customer: 15 x / year
Average sale: $26
Attrition of customer: 6 years
Offer: Free vitamin C with $10 purchase (vitamin C retail value = $8)
Wholesale price of vitamin C: $5
Pro-rated operating expenses per product: $2
Total sales from customers redeeming the offer: $1015 

CPP (cost per piece)

• ($15x12months) + $240+$15+2500 = $2935 expenses
• 500+12000 = 12,500 pieces sent (equivalent)

$2935/12,500 = 0.24 / CPP

CPR (cost per response)

• $2935 expenses
• 100+196+65 = 361 responses

$2935 / 361 = $8.13 / CPR

CPS/ CPT (cost per sale / transaction)

• $2935 expenses
• 68 sales / redemptions

$2935 / 68 = $43.16 / CPT

Gross Profit (campaign specific)

• 68 (redemptions) x $8 (offer) = $544 lost opportunity cost $544+$2935 = $3,479 total direct campaign expenses
• $10 (terms) x 68 = $680 offer generated revenue

$680 - $3,479 = $-2,799 Gross Loss

Bottom Line Profit (bottom line = can we pay our bills too?)

• $2 x (68 x 2) = $272 prorated operating expenses
  (don’t have # of products so must use # of transactions x 1 for $10 item and 1 for Vitamin C = 2, as an estimation)
• $5 (wholesale of Vitamin C) x 68 = $340 wholesale expense
• $3,479 + $272 + $340 = $4,091 true cost of campaign

$1,015 - $4,091 = $-3,076 Bottom Line Loss

LTV (Lifetime Value)

• 15 x 6 = 90 number of average sales of a customer’s lifetime at store
• 90 x 26 = $2,340 Lifetime revenue potential of an average customer

$2,340 + $43.16 = $2,383.16 LTV of a customer
$2,383.16 x 68 = $162,054.88 LTV of this campaign

ROI (Return on Investment)

• $162,054.88 LTV of campaign - $3,479 total direct campaign expenses

$158,575.88 ROI

Analytics Cheat Sheet

CPP (cost per piece) (sent / distributed, not created)

• direct campaign expenses / # of pieces sent

CPR (cost per response)

• direct campaign expenses / # of responses

CPS/ CPT (cost per sale / transaction)

• direct campaign expenses / # of sales

Gross Profit (campaign specific)

• lost opportunity cost + direct campaign expenses = total direct campaign expenses
• offer generated revenue – total direct campaign expenses = gross profit

Bottom Line Profit (bottom line = can we pay our bills too?)

• total direct campaign expenses + prorated operating expenses (make sure it's for the total number of products sold) + wholesale expenses = true cost of campaign
• offer generated revenue + additional sales = total revenuetotal revenue – true cost of campaign = BLP

LTV (Lifetime Value)

• # of sales per year per customer x churn rate = number of average sales
• number of average sales x average sale value = Lifetime Revenue PotentialLifetime Revenue Potential + CPS = LTV of customer
• LTV of customer x # of customers that redeemed offer = LTV of campaign

ROI (Return on Investment)

• Revenue – Expenses = ROI (important to disclose which numbers you are using)

Metrics & Analytics Slidedeck - Class 7

Mcom30 slidedeck- class 7 - analysis from Lindsey Fair