Online Consumer Purchasing Model

Description


Use

the Online

Consumer Purchasing Model, Figure 6.11 in Chapter 6, to assess the

effectiveness of an e-mail campaign at a small website devoted to the

sales of apparel to the young adult market (ages 18–26) in the United

States. Assume a marketing campaign of 100,000 e-mails (at $0.25 per

e-mail address). The expected click-through 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 advice could you provide in order to increase the number of purchases and loyal customers?
  • What do you think could be some web design factors that contribute to the success of the site or reduce its success?
  • What types of messages might improve the possible effectiveness of the website in terms of generating sales?


Write

a paper of approximately 3 pages that discusses the questions above.

Awareness –
Need
Recognition
Search
Evaluation
of
Alternatives
Purchase
Post-purchase
Behavior –
Loyalty
Market
Communications
Web site hits
Page views
Stickiness
Site design
Acquisition;
Conversion
Search engine
Display ads
E-mail
Affiliates
Social networks
Blogs
Mobile ads
Apps
1,000
Unique visitors
(1% of impressions)
50 purchases
(5% rate)
100,000 Impressions
10,000 Search clicks
1,500 Likes
12 loyal
customers
(25% retention)

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