The direct marketing campaign for Agent 99, a women's fashion store, utilized online advertisements targeting teenage girls to promote prom dresses and increase store traffic. The campaign offered a free ring with any dress purchase for those who printed and redeemed a coupon. While impressions and clicks were generated cost-effectively, few coupons were redeemed, resulting in no sales or revenue. Going forward, Agent 99 should consider online advertising for broader promotions rather than local offers with short windows.
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MCOM30 Final Campaign Presentation
1. Final Campaign
Results
By: Alannah Haig, Amber Giles, Chad Ewart, Matthew
Meagher, Nicholas Hovencamp
2. THE CLIENT
• Our client for the direct marketing campaign was
Agent 99. Agent 99 is an independently owned,
and operated women’s fashion store, with a focus
towards selling trendy, modern dresses and a
target market of teenage girls, to older women
(18-30).
For our direct marketing campaign our client listed
her goals as trying to increase in store foot traffic,
as well as trying to promote Agent 99 as a
destination store for prom dresses.
3. TARGET MARKET
• Our target market consisted of young females between the ages of 15
and 19, attending prom. We targeted our online advertisements at girls
attending Holy Cross Secondary School and Bayridge Secondary School.
• We chose these segments due to the fact that according to PRIZM and
NAICS, consumers in this area were likely to have a fair amount of
disposable income, therefore consumers in this area would be much
more likely to purchase a high end, modern dress.
4. THE BIG IDEA
Our big idea initially consisted of utilizing Agent 99’s unique
selling point of having a “list” of all dresses purchased for
prom, and which high schools the dresses were going to be
worn at. We wanted to inform consumers about this list,
and communicate the benefits of purchasing a prom dress
at Agent 99 to get on this list.
We believed that this would meet the needs of the client by
promoting a unique feature of the store, as well as
promoting the prom dresses, which was the main product
our client wanted focus on. Upon discussing our campaign
plans with the client, she disregarded our big idea, and
wished for us to place our focus on the offer of our
campaign instead.
5. THE MESSAGE
• The offer that we chose involved a printable online coupon. Upon
printing the coupon off the consumer is required to fill out the
coupon with their name, email address, and school. Upon filling
out this information, and bringing the completed coupon to the
Agent 99 Store location, the consumer was allowed to receive
any free ring in the store.
• We decided to utilize a savings/urgency appeal, as we wanted
people to feel that this offer was worth the act of printing off and
returning a coupon, as well as trying to encourage action as
quickly as possible. The action that we were trying to generate
was having consumers print off the coupon, and go to the Agent
99 store. This is due to the fact that we were trying to increase
foot traffic in the store location, as well as promote Agent 99’s
prom clothing, and accessories.
6. THE CHANNEL
• The channel we chose to use for our campaign was digital online
advertising; specifically search engine and social media advertising. With
our advertising in this medium we chose to have two different
approaches with a shotgun and rifle strategy ad.
• We chose to use a shotgun strategy with our search engine advertising
on Google; this was reaching out to anyone that searched the keywords
“prom dress Kingston”. The Facebook advertising we implemented
targeted aged 15-19 females from Bayridge and Holy Cross Secondary
Schools. Since this advertisement was so focused on a particular type of
person this part of our campaign was a rifle strategy.
• We chose these channels because we felt that it was the most effective
way to reach teenage females in the Kingston area. With an average
response rate of 2-28% for social media advertising we felt that this was
one of the highest responded to mediums and would best fit our
campaign and objectives.
9. THE RESULTS
• The metrics that we tracked for this campaign were click rates,
redeemed coupons and overall impressions. It was very easy to
track the metrics of this campaign due to the very user friendly
interfaces that Google Ads and Facebook Ads provides. Both of
these sites have automated tracking systems for their
advertising.
• We would go onto our accounts into the campaign stats section
and would be given hourly – daily updates on impressions and
click rates, this made this portion of the campaign much easier
for us to track than for example a print DM campaign.
• Unfortunately, the revisions we made to our ad had no noticeable
impact on increasing the impression, click, or redemption rates of
our advertisements.
10. THE METRICS
• CPP= $125 expense / 2 (Facebook and Google) = $75 cost
per piece per medium
• CPR= $125 expenses/ 149 clicks = $0.8389 = $0.84 cost per
response
• CPS= $125 expenses / 0 sales = $125 cost per sale
• GP= Total Campaign Expenses = ($0 Lost Opportunity +
$125 Expenses) = $125
• $125 total expenses - $0 Offer Generated Revenue = -$125
Gross Profit although the client paid for none of the
expenses so realistically for the client Gross Profit
was $0, but for analytic purposes the Gross Profit was -
125 dollars.
11. THE METRICS
• LTV= # of sales/year/customer x churn rate = # avg. sales
• 2 sales/ year/ customer x 4= 8 average sales
• 8 average sales x $120 average sale value= $960 Lifetime Revenue
Potential (LRP)
• $960 LRP + $125 CPS = $1085 Lifetime Value of a Customer
• $1085 LTVC x 0 redemptions = $0 Lifetime Value of the
Campaign
• ROI $0 Revenue - $125 expenses = -125 dollars return on
investment
12. THE ANALYSIS
The online direct marketing campaign generated a lot of impressions,
and a fair amount of clicks, but the number of redeemed offers was
lower than expected. We believe that online is a great method to quickly
promote a message, and that Agent 99 should keep online marketing in
mind when promoting various aspects of itself.
The online advertisements were able to quickly generate impressions
while being cost effective, but there was difficulty turning these
impressions into consumer activity. In the future we believe that Agent
99 would benefit from utilizing online advertising when trying to create
general awareness for an activity such as a wide spread contest with a
larger time window, versus a local promotion with a small window of
time to generate interest.
If online advertisements are used again in the future by Agent 99, we
think that a more focused offer/incentive would help to bring in more
consumers, as well as help to draw a correlation between the offer, and
the objectives of the campaign.