For your final project, you will be taking the role of digital marketing director for RogueFitness.com. RogueFitness.com sells a large variety of workout equipment, with a focus on CrossFit equipment that is sold both to individuals and to CrossFit gyms. Review last month’s data from each of Rogue’s major channels in the Rogue Fitness Data Download Rogue Fitness Dataexcel spreadsheet available in your online classroom. The spreadsheet contain a summary sheet, and 8 other sheets each of which provides data for each channel that Rogue Fitness utilizes. A detailed explanation of each channel is provided below. SEO. The $10,000-per-month investment in SEO could be used to hire a marketing agency or to pay a single in-house SEO employee. The breakdown between demand generation and demand harvesting reflects a targeting of purchase-ready keywords (e.g., “wrist wraps” and “rogue barbell”) and research keywords (e.g., “best weightlifting belt” and “garage gym setup”). Paid Search. All of Rogue’s $75,000-per-month investment in paid search is categorized as demand harvesting. While it is true that much of this budget may be spent on past customers, paid search ads are not typically targeted differently to past and potential customers. Email. Rogue has two methods of collecting email addresses. Most commonly, email addresses are collected during the checkout process. As a result, these emails belong to past customers, so these efforts are considered loyalty building. A second method of email collection comes from the website without a purchase, and these emails belong to people who have not yet purchased from Rogue. Therefore, these emails are considered demand harvesting. Social Media Ads. Rogue’s social media advertising campaigns can be categorized into all three marketing activities. Demand generation campaigns are targeted toward social media users who have not yet purchased from Rogue and are higher up in the purchase funnel. These ads tend to be more experimental and thus receive only a small budget. The demand harvesting campaigns from Rogue also go to users who have no purchase history with Rogue but who are likely to be further down the purchase funnel (e.g., look-alike audience campaigns and retargeting campaigns). Finally, Rogue targets campaigns toward past customers, and these fall into the loyalty building category. While the daily budget for these loyalty building campaigns is highest, the actual spending for these campaigns is lower than the spending for the demand harvesting campaigns because the population size and social media usage is not high enough among past Rogue purchasers to use the entire budget. Social Media Posting. Not all of Rogue’s social media followers are past purchasers. But, there is no reliable way to divide potential and past customers and show different posts to them, so Rogue creates only one unified social media content stream. Display Advertising. Rogue evenly divides its budget across generation, harvesting, and loyalty building. Sponsored Ads. Rogue only offers a limited portfolio of products on Amazon, and it invests some budget into running sponsored ads for these products on appropriate product searches. These ads are considered demand harvesting. Direct. There is no data to examine for direct traffic because there is no direct investment in advertising to generate this traffic. The breakdown of demand harvesting and loyalty building comes from the fact that anyone who purchases on the site either has to log in to an account (loyalty building) or create an account (demand harvesting). As the digital marketing director, your job is to determine how the budget should be increased or decreased in different channels to maximize overall profit. You have not been given permission to increase the total digital marketing budget, so any increases in one channel will have to come from decreases in another channel. Your final project deliverable includes 2 documents: 1) The Excel Spreadsheet with your updated budget allocation and updated attributed revenue. 2) A Word document paper that contains your justification for each choice you make here as well as addressing the following questions. Final Project Instructions 1) Excel Spreadsheet: You need to update the first worksheet of the file labeled “Summary Date” with your new budget allocation (column C). Only update the second table, rows 14 – 39. You will also update the Attributed Revenue column to provide your projections for how revenue will increase/decrease with your new budget allocations (column D). 2) Written paper: First, provide a justification for budget increase, decrease or budget maintenance on each of those eight channels/tactics. You need to have 8 sub-headers as below to describe your rationale for each channel/tactic: SEO, Paid Search, Email, Social Media Ads, Social Media Posting, Display Advertising, Sponsored Ads (Amazon), Direct.

 

Channel SEO Paid Search Email Social Media Ads Social Media Posting Display Advertising Sponsored Ads (Amazon) Direct TOTAL Topline Numbers $ Demand Harvesting Loyalty Building Demand Generation Monthly Budget Attributed Revenue 10,000 $ $ 75,000 $ Channel 185,000 SEO 202,000 Paid Search Monthly Budget $ 8,000 $ Attributed Revenue Channel 181,000 SEO Monthly Budget $ - $ Attributed Revenue Channel SEO Monthly Budget Attributed Revenue $ 2,000.00 $ 4,000.00 $ 75,000 $ 202,000 Paid Search $ $ Paid Search $ $ $ 28,000 $ 110,000 Email $ 7,000 $ 20,000 Email $ 21,000 $ 90,000 Email $ $ $ 45,000 $ 105,000 Social Media Ads $ 25,000 $ 33,000 Social Media Ads $ 15,000 $ 65,000 Social Media Ads $ 5,000.00 $ 7,000.00 $ 18,000 $ 25,000 Social Media Posting $ $ Social Media Posting $ 18,000 $ 25,000 Social Media Posting $ $ $ 42,000 $ 89,000 Display Advertising $ 14,000 $ 24.000 Display Advertising $ 14,000 $ 47,000 Display Advertising $ 14,000.00 $ 18,000.00 $ 16,000 $ 63,000 Sponsored Ads (Amazon) $ 16,000 $ 63,000 Sponsored Ads (Amazon) $ $ Sponsored Ads (Amazon) $ $ $ $ 1,280,000 Direct $ $ 262,000 Direct $ - $ 1,018,000 Direct $ $ $ 214,000 $ 2,059,000 TOTAL $ 145,000 $ 785,000 TOTAL $ 68,000 $ 1,245,000 TOTAL $ 21,000.00 $ 29,000.00 Topline Numbers Channel Marketing Effort Monthly Budget Attributed Revenue Demand Generation $ 2,000 $ 4,000 SEO Demand Harvesting Loyalty Building $ 8,000 $ 181,000 $ - - Demand Generation $ $ Paid Search Demand Harvesting $ 75,000 $ 202,000 Loyalty Building $ S Demand Generation S $ Email Demand Harvesting $ 7,000 $ 20,000 Loyalty Building $ 21,000 $ 90,000 Demand Generation $ 5,000 $ 4,000 Social Media Ads Demand Harvesting S 25,000 $ 36,000 Loyalty Building $ 15,000 $ 65,000 Demand Generation $ $ Social Media Posting Demand Harvesting Loyalty Building Demand Generation $ $ S 18,000 $ 25,000 $ 14,000 $ 18,000 Display Advertising Demand Harvesting $ 14,000 $ 24,000 Loyalty Building $ 14,000 $ 47,000 Demand Generation S Sponsored Ads (Amazon) Demand Harvesting $ 16,000 $ 63,000 Loyalty Building $ $ Demand Harvesting S $ 262,000 Direct TOTAL Loyalty Building S $ 1,018,000 $ 214,000 $ 2,059,000