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Most difficult task for marketers to comprehend
WEB 2.0
Marketers
Customers
Target market
Active young
between
girls aged
12 to 24 who have
unique style and taste in fashion
This shows that majority of the target market have a profile in social media
Option 1
Option 2
Option 3
Benefits
Risks
Benefits
Large active users and growing
at pretty high rate
high engagement with users
Can target audience by
demographics
Unique functionalities (can post
on newsfeed)
Risks
Highly costly($900,000)
Can lead to advertising
blindness
Benefits
Large customer base
Highly active users
Videos can have high effect on
audience
Good growth in user base
Potential for videos to go viral
Risks
Low interaction
Pre roll ads may seem intrusive
High advertising price
($500,000)
Creative videos must be made
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MEDIA
BUDGET
CPM
Television
$10,000,000
$29.85
Magazines
$2,000,000
$11.91
Radio
$1,000,000
$11.55
$250,000
$3.50
$250,000
$8.52
$13,500,000
Active users
Type of media
% of active users
Television
31
Newspapers
Radio
20
Magazines
online
34
Present budget in $
Reallocating budget
% active users
Television
10,000,000
Magazine&Newspap
ers
2,000,000
15
2,025,000
Radio
1,000,000
20
2,700,000
Online
500,000
34
4,590,000
TOTAL
31
Reallocated budget
4,185,000
13,500,000
$900,000
$600,000
Budget : $500,000
=$ 2,000,000
Remaining online budget =$2,590,000
Reallocated budget
Type of media
Present budget in $
Reallocating budget
% active users
Television
10,000,000
Magazine&Newspap
ers
2,000,000
15
2,025,000
Radio
1,000,000
20
2,700,000
Online
500,000
34
4,590,000
TOTAL
31
Reallocated budget
4,185,000
13,500,000
Drastic
change
Budget allocation
Type of media
Present budget in $
Television
10,000,000
Magazine&Newspap
ers
2,000,000
15
2,025,000
Radio
1,000,000
20
2,700,000
Online
500,000
34
2,000,000
TOTAL
% active users
31
Reallocated budget
6,775,000
13,500,000