Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In December 2015, Cynthia Wright, a vice-president at Skyrose Marketing Agency (Skyrose), had just finished reviewing a summary of her team's performance for the past

In December 2015, Cynthia Wright, a vice-president at Skyrose Marketing Agency (Skyrose), had just finished reviewing a summary of her team's performance for the past year. As head of the group responsible for beverage industry clients, she had led her team of four associates to achieve excellent results in revenue generation and client satisfaction. Despite these successes, she was determined to develop a plan for the upcoming year that would enable her to better manage her team while still delivering results. Wright noted that in the past year, her team's quality of life had suffered as she worked to grow her client book, particularly due to the cyclical nature of the marketing business. Around peak times, such as the holidays, her team members became overwhelmed both from completing projects for existing clients and generating new clients by responding to numerous requests for proposals. Wright was eager to devise a method for smoothing out the workload between peak and quiet periods of the year by better forecasting her clients' needs ahead of time. Specifically, she was planning to implement the new technique Google Trends, a database of search trends that spanned the past decade and that could be used to proxy consumer interest in different products. Wright believed that by forecasting consumer interest, she could predict demand from her clients, whom she anticipated would engage her firm to capture this consumer interest. As a result, Wright would be able to address two key problems. First, staffing decisions and firm resource allocation could be predicted ahead of time, giving her team members time to prepare for upcoming projects. Second, Wright could deliver better results for her clients by anticipating the timing of consumer demand and developing marketing plans around these timelines. Wright planned to use the upcoming calendar year as a trial for the Google Trends approach for forecasting demand. To test its efficacy, she would assess its influence on three key clients: Vintage Vino, On The Rocks Whiskey, and Downtown Brew Co.

THE BEVERAGE CLIENTS GROUP

Skyrose's staff members consisted of four associates plus Wright. Each associate had several years o experience in marketing or advertising. They were all well-versed in the beverage products marketing market segment. The team's work could be generally divided into two functions: (1) gaining new business by networking and responding to requests for proposals from potential new clients, and (2) maintaining recurring business by completing projects for existing clientsAlthough many ongoing projects had to be completed under a time-sensitive schedule, some functions such as networking, project preparation, and relationship building with old clients could be completed at any time throughout the year. Wright compiled all employee work hours from the previous year (see Exhibit 1).

CLIENTS Wright was planning to implement this initiative with three key companies: two current clients (Vintage Vino and On The Rocks Whiskey) and one prospective new client (Downtown Brew Co) Vintage Vino, a Canadian wine producer and distributor, had been working with Skyrose for the previous three yearsAs a leader in the wine market segment, the company was planning the release of a new white wine in the upcoming year. However, the company was unsure when exactly to release the new product to maximize sales. On The Rocks Whiskey was a Vancouver-based distributor of whiskey that worked closely with producers throughout the country to source the best products for consumersThe company had seen incredible success in sales in the previous year and credited this growth partially to the work of Wright and her team. As a loyal client, On The Rocks Whiskey was likely to seek direction from Skyrose on upcoming industry and consumer trends. Downtown Brew Co. was a rising star in the craft beer industry. As Wright was recently informed, the company was planning to expand its presence from Ontario to various other Canadian provincesThe company was not currently a Skyrose client, but Wright had a strong desire to win Downtown Brew Co.'s businessThe company was experiencing exponential growth and would likely be looking for a marketing agency in the upcoming year.

GOOGLE TRENDS Google Trends was a database that tracked search queries and the relative popularity of queries over t The online platform contained data from 2004 onwardIt contained search trends that could be segmente geography and timedown to minute-by-minute results (see Exhibit 2)A specific period of Google Tr data could be exported, with search data scaled relative to the highest search volume within that time fra The Google Trends database had shown great promise for numerous applications in the pastIt was even to make predictions about influenza outbreaks, in an attempt to slow the spread of the flu virus.2 Although Wright had never personally used Google Trendsshe had read about the impressive applicatio ofthistool1

image text in transcribed

Year Month Relative Interest
2010 1 6
2010 2 9
2010 3 15
2010 4 12
2010 5 17
2010 6 17
2010 7 12
2010 8 14
2010 9 14
2010 10 18
2010 11 13
2010 12 12
2011 1 11
2011 2 14
2011 3 22
2011 4 22
2011 5 43
2011 6 22
2011 7 21
2011 8 22
2011 9 27
2011 10 20
2011 11 18
2011 12 25
2012 1 24
2012 2 25
2012 3 34
2012 4 31
2012 5 48
2012 6 35
2012 7 37
2012 8 38
2012 9 32
2012 10 28
2012 11 31
2012 12 34
2013 1 32
2013 2 43
2013 3 49
2013 4 52
2013 5 67
2013 6 51
2013 7 50
2013 8 49
2013 9 55
2013 10 51
2013 11 51
2013 12 56
2014 1 52
2014 2 57
2014 3 61
2014 4 74
2014 5 89
2014 6 64
2014 7 68
2014 8 70
2014 9 71
2014 10 69
2014 11 61
2014 12 67
2015 1 55
2015 2 78
2015 3 76
2015 4 90
2015 5 100
2015 6 77
2015 7 79
2015 8 84
2015 9 75
2015 10 66
2015 11 66
2015 12 70

Year Month Relative Interest
2010 1 41
2010 2 42
2010 3 44
2010 4 41
2010 5 39
2010 6 36
2010 7 39
2010 8 39
2010 9 39
2010 10 40
2010 11 43
2010 12 55
2011 1 52
2011 2 51
2011 3 52
2011 4 48
2011 5 47
2011 6 49
2011 7 49
2011 8 46
2011 9 49
2011 10 52
2011 11 60
2011 12 73
2012 1 60
2012 2 55
2012 3 60
2012 4 52
2012 5 58
2012 6 59
2012 7 56
2012 8 53
2012 9 55
2012 10 55
2012 11 65
2012 12 84
2013 1 69
2013 2 65
2013 3 67
2013 4 59
2013 5 58
2013 6 61
2013 7 61
2013 8 63
2013 9 57
2013 10 66
2013 11 73
2013 12 90
2014 1 71
2014 2 66
2014 3 73
2014 4 66
2014 5 66
2014 6 65
2014 7 67
2014 8 66
2014 9 65
2014 10 72
2014 11 84
2014 12 98
2015 1 74
2015 2 69
2015 3 73
2015 4 65
2015 5 66
2015 6 67
2015 7 67
2015 8 69
2015 9 63
2015 10 65
2015 11 87
2015 12 100

Year Month Relative Interest
2010 1 54
2010 2 54
2010 3 58
2010 4 52
2010 5 61
2010 6 59
2010 7 67
2010 8 64
2010 9 56
2010 10 50
2010 11 65
2010 12 74
2011 1 73
2011 2 72
2011 3 66
2011 4 63
2011 5 67
2011 6 72
2011 7 79
2011 8 72
2011 9 66
2011 10 67
2011 11 72
2011 12 83
2012 1 77
2012 2 78
2012 3 71
2012 4 69
2012 5 74
2012 6 84
2012 7 83
2012 8 73
2012 9 77
2012 10 65
2012 11 78
2012 12 86
2013 1 77
2013 2 77
2013 3 72
2013 4 69
2013 5 73
2013 6 79
2013 7 80
2013 8 79
2013 9 71
2013 10 67
2013 11 83
2013 12 91
2014 1 82
2014 2 77
2014 3 68
2014 4 70
2014 5 74
2014 6 79
2014 7 83
2014 8 73
2014 9 68
2014 10 63
2014 11 77
2014 12 84
2015 1 81
2015 2 74
2015 3 72
2015 4 68
2015 5 76
2015 6 76
2015 7 84
2015 8 81
2015 9 72
2015 10 70
2015 11 83
2015 12 100
1. Why is Wright choosing to use Google Trends data? What insights can this data set provide to help her manage her team? (Explain how useful the Google Trend data is and whether using search trends as a proxy for sales is valid.) 2. Which months have the highest search volumes for each of the three key products: white wine, whiskey, and craft beer? (Run a descriptive analysis on the data set for each product and discuss the behaviour of the data) 3. Which time series modelling techniques are the most appropriate for the data sets? (Compare different forecasting models, tested on each product data, based on the accuracy factors learned in our course. Use the methods covered in our course) 4. What do your forecasted search volumes imply for wright and her team in 2016? What can she do to plan for the upcoming year, based on the findings from your model? should she use Google Trends in the future to optimize her teams workload

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Strategic Project Management Made Simple

Authors: Terry Schmidt

1st Edition

0470411589, 978-0470411582

More Books

Students also viewed these General Management questions

Question

Describe ERP and how it can create efficiency within a business

Answered: 1 week ago