3. Use the Online Consumer Purchasing Model (Figure 6.11) to assess the effectiveness of an e-mail campaign

Question:

3. Use the Online Consumer Purchasing Model (Figure 6.11) to assess the effectiveness of an e-mail campaign at a small website devoted to the sales of apparel to the ages 18–26 young adult market in the United States.

Assume a marketing campaign of 100,000 e-mails (at 25 cents per e-mail address). The expected clickthrough rate is 5%, the customer conversion rate is 10%, and the loyal customer retention rate is 25%. The average sale is $60, and the profit margin is 50% (the cost of the goods is $30). Does the campaign produce a profit? What would you advise doing to increase the number of purchases and loyal customers? What web design factors? What communications messages?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

E-commerce 2018

ISBN: 9780134839516

14th Edition

Authors: Kenneth Laudon

Question Posted: