This is a marketing analytics proposal for a shoe client that I presented at GroupM Headquarter. I allocated the advertising budget for a new shoe product line on TV, Print, SEM and Digital to reach $300 million sales. I identified target audience and product profile through cluster analysis on audience listening data file, MRI, Nielsen @Plan and Simmons database. I successfully designed the media plan and marketing strategies to hit target sales.

1. 1
GroupM Case Competition Team 3
Jeffery Chen
Yang Cheng
David Fleischmann
Nicole Lavon
Contents
Introduction.......................................................................................................................................2
Methodology......................................................................................................................................2
Identifying the most effective channels................................................................................................2
Target Audience.................................................................................................................................3
Product Description............................................................................................................................3
Media Plan.........................................................................................................................................4
Performance Metrics..........................................................................................................................6
References.........................................................................................................................................7
Appendix............................................................................................................................................8

2. 2
Introduction
Basedon the fourexistingproductlines,ourteamisdecidingonthe bestwayto launcha new product.
Our objective is$300M insalesrevenue fromthe new productinthe nextfiscal year.We are evaluating
whoour target customersare,the mosteffective mediachannelstoreachthem, productattributesthe
audience wouldlike aswell asthe mostefficientwaytoallocate ouradvertisingbudget.
Methodology
We firstran a curve estimationonthe salesdatato identify the mosteffective advertisingchannels.
Basedon those channels,we are able to define the targetaudienceassegmentsthatare heavyusersof
those channels.
Sale Volume
Apply the addict model to
the sale volume and
identify the most effective
channels to advertise this
company s shoes
Identify the target
customers who is most
active in the most effective
channel and discover their
demographic ,
psychographics and
behaviors
Identify the best way to
reach the target customers
and design the media plan
to hit target sales
Audience
Listening
Simmons
MRI
Target customers
Media plan and
sales forecast
Design the product to
appeal to our target
customers
Other resources
Product profile
Other resources
Identifying the most effective channels
We appliedthe addictmodel toidentifythe relationshipbetween the salesindollarsandadvertising
costs foreach channel.We foundthatSearch Engine Marketing (SEM) isthe most effective wayto
advertise forourcompany, followedbyotherdigital marketing. Ouranalysissuggestedthatasignificant
relationship betweensalesandpaidsearchadvertisingcouldbe modeledbyanS curve.
Exhibit1 showsthat,for all 4 existingproducts,the returnon investmentforSEMis high. There wasno
clearrelationshipbetween salesvolume, TV, &Printadvertising. We foundthissame result forall 4
existingproducts.
Therefore,we willspendmostof ourbudget onSearchEngine Marketing bytargetingpeople whoare
heavy Internetusers,since theyare presumablymore likelytosearchthe Internetforproductsand
customerreviews before makingpurchase decisions.

3. 3
Target Audience
We didour researchonSimmonsdatabase,Nielsen@Plandatabase,andthe Audience Listeningfileto
figure outthe followingattributesforheavyinternetusers:
 Demographic
The target audience consistsof womenwhoare 25 to 44 yearsold, whoare heavy Internet
users,are eithermarriedorsingle, andhave 2-4 people intheirhousehold. They are highly
educated,withatleasta college degree. Theyare professionalsworkingfull time,withan
annual householdincomeof atleast$75,000.
 Psychographic
Consumers’personalitytraitsare conservative andorganized. Theyare independentandlike to
control theirownfinances.Theyhave highself-esteem,anddon’tcare how theyare perceived
by others.Theyare familyorientedandsociable andenjoysharinginformationwithfriends.
Theycare about the environment.Theybelievelifeshouldbe asmuch funas possible andliketo
seekoutvarietyandchangesineverydaylife.
 Behavioral
The target audience valuesphysically comfortableproducts overhighfashion. Theylike to
enhance theirappearance.Theyare willingtopaymore forhighqualityproducts that alignwith
these goals.Theylike tolearnnew information andshoponline. 80% of our target market
agreedwithcomfortbeingone of the mostimportantfactorswhenselectingfashionproducts
to purchase.
 Geographic
We usedthe SimmonsOneViewand Nielsen@Plandatabasestoidentifythe citieswiththe
largestconcentrationof female,heavyInternetusers,whobuydressshoes andweightthe
resultsfromthe twodatabases.The resultsof thisanalysisare showninExhibit2.Our
campaignsshouldfocusonthe followingregions,indescendingorder of purchase likelihood:
Boston,WashingtonD.C.,Chicago,New York,Houston,Atlanta,SanFrancisco/Oakland/San
Jose,andPhiladelphia.
Product Profile
We have decidedtolauncha productsimilartoproduct3 for several reasons.First, womentendtobuy
more dress shoesthanmen.Second,womenpurchase 10.1% more dressingshoesthanboots(US
Market for Footwearin2006). Third,basedonGoogle TrendsinUS inthe past twoyears,pumpsand
highheelshave asignificantlyhighersearchvolume thanhighheel bootsanddressboots.Fourth,
advertisingspendingof product3 has a significantrelationshipwithadvertisingspendingintotal.
24.9% of womenboughtdressshoes,comparedto19.5% of men,whichsuggeststhatwomenbuymore
dressshoesthanmen (US Market for Footwearin2006). We therefore decidedthatournew shoe line
shouldtargetwomen.
The new shoe featuresasimple,elegantdesign,withapatent leatherexteriorandblackheel. The shoes
feature a cute but classicbowtie design element. The insideof the shoe hasa softlining, withadded
cushioningtomake itcomfortable towear. Our productcan be seeninExhibit3.

4. 4
Media Plan
MediaPlan FlowChart
As showninExhibit 5,our mediaplanwill be launchedoverone yearthroughthe use of SEM, Digital
Display,TelevisionandPrintMedia. The mediaplanflowchartshowsadetailedcalendarof the typesof
mediatobe launched, the frequencyof the advertisements, the marketsbeingserved, expected
impressions,andestimated costandsales.
Search Engine MarketingStrategy
Google AdWords
Accordingto Nielsen@Plan, Google isthe mostpopularsearchengine amongourtargetaudience,with
72.9% of our marketvisitingthe site. Basedonexistingproduct3data, the conversionrate forour
companyis20%. Also,we use the industrytopquartile of CTRof 10% to calculate that we will needto
purchase keywordsthatwill generate2millionmonthlysearches inordertoreach the minimum
numberof impressions.
UsingGoogle’sKeywordPlanner,we were able tochoose the mostrelevantkeywords,withthe highest
monthly search volume. A few of the keywords chosen are: high heels for women, women’s dress shoes,
and comfortable heels. Due tothe highcompetitionof the adgroupschosen, we will bidbetween150%
and 200% of the suggestedbid. Exhibit4showsexamplesof possible searchkeywordsandtheir
correspondingsearchvolume.
Social MediaMarketing
The top social mediaplatformforouraudience is Facebook,with60% of our market visitingthe site,
accordingto Nielsen. The campaignobjectiveforFacebookwillbe to maximize impressionsand
optimize forclickstothe website. UsingFacebook’sadvertisingplatform, we are able tospecifyour
target audience byage,gender,educationlevel,and history of shoppingforwomen’sshoes,hasgiven
us the potential toreacharound1.5 millionpeople. Allowinga$500,000 budgetfora 5 monthperiod,
we will have anestimateddailyreachbetween450,000 and 1,200,000 people.
Accordingto Nielsen@Plan,ourtargetaudience is32% more likelythanotherstovisittwitter.com. The
Twittercampaignwill be similartothe campaignrunningonFacebook,withimpressionsandclicksto
the website beingthe mainobjective. FromTwitter,we are able todefinethe marketwe wantto
advertise tothroughseveral demographicsandpsychographicsprofiles. Tofitour targetage,
‘milennials’and‘trailingbabyboomers’are selected,withhouseholdincome greaterthan$75,000.
Additionally,‘bigcitymoms,’‘corporate moms,’and‘businesstravelers’lifestylesare selectedtofitour
target.These segmentshave highhouseholdincomes,liveinlargermetropolitanareas,andare career-
oriented. We are alsoable to specifythatouraudience hasinterestinpurchasingwomen’sshoes. This
givesusan estimatedaudience size of 4million,usingabudgetof $500,000 forour 5 monthcampaign.
To calculate estimated sales for both social media sites, we used the industry top quartile of CTR of 0.25%
and conversionrates of 2%.

5. 5
Digital DisplayStrategy
Email MarketingCampaign
Basedon the salesvolume file,currently,the companyhas 34,266,358 existingfemale customers.We
knowthat itis alwayscheapertomaintainthe existingcustomersthantoacquire the new customers.
We planto sendemail promotionstothose existingcustomerswiththe goal of makinga second
purchase.The cost for eachemail wouldbe $0.02. Therefore,we wouldspend$685,327 onemail
marketingintotal.Basedonthe research,the click-throughrate fortopquartile retaileris7.8% and the
conversionrate fortop quartile retaileris8%.Since ourcustomersare heavyinternetusers,we
estimatedthatthe click-throughrate forourcompanywouldbe 10% and the conversionrate forour
companywill be 10%. Thisemail campaignwouldleadtoabout $267M in sales.
Google DisplayAd Network
Our goal for Google’sDisplayAdNetworkisgoingtobe influence considerationandclickstothe website
usinga CPMbidstrategy. Thisad networkhasseveral differenttargetingmethods. We focusedonfour
of the methods:placements,demographics,interests,andaudience. Usingthe insightsgatheredfrom
the audience listeningfileregardingthe targetmarket,we are able tosegmentthroughinterestsand
affinitygroups. We knowourtarget customerisveryfamilyoriented,butalsoworkingprofessionalsin
businessrelatedfields. We alsoknowthattheycare about the environmentandare environmentally
conscious. Additionally we want to reach those whoenjoy shopping and are somewhatfashion oriented,
evenif they’re notinterestedinhighfashion. Additionally,we have selectedthree websitestoplace
advertisingon:Walmart,Kohl’s,andHuffingtonPost. These three websiteswere chosenbasedon2014
Nielsen@Plandata,whichshowsthatourtargetaudience hasa higherlikelihoodthanotherstovisit
these sites.
Witha dailybudgetof $3,000 we will be able togenerate between1and 1.5 millionweeklyimpressions
for thiscampaign.
TV Marketing Strategy
We will advertise ournewshoe line onpremiumcable TV networksthatthe highestpercentage of our
target audience watches,andwhose audience demographicsmostcloselymatchthe demographicsand
interestsof ourtarget.Since TV viewershipisincreasingamongolderage ranges,we will be using
commercialstoreachthe oldersegmentof ourtargetmarket(Kang,2014). We decidedtouse a 30
secondadvertisement,witheachadbudgeted $3,000 (Inc.,2010).
Cable TV
Network
MedianAge MedianHousehold
Income
Viewers(Spring
2014)
% Female
Viewers
FoodNetwork 47 $70k 46.9 million 64
TBS 44 $68k 52.31 million 56
TLC 45 $67k 28.8 million 68

6. 6
Print MarketingStrategy
We will advertise ournewshoe line inmagazinesthat the highestpercentage of the targetaudience
reads,whose audience demographicsmostcloselymatch ourtarget market. We believe thatacolor,
1/3 page ad run over2 months will give usenoughexposure tocreate brandawarenessforournew
product. People Magazine andBetterHomes& Gardensare publishedonaweeklybasiswithissues
stayingon newsstands forupto 2 weeks,while GlamourMagazine ispublishedonamonthlybasis.
Magazine % of
Target
Audience
Reading
Median
Age
Median
Household
Income
% Attended
or
Graduated
College
Total
Audience
%
Female
Readers
Total Ad
Cost
People 28 44.4 $69,262 62 42,615,000 72 $318,200
Better
Homes&
Gardens
24 51.02 $65,041 61.6 39,376,000 80 $557,600
Glamour
13
72% are
18-49
$64,280 67 12,161,000 96 $330,165
Performance Metrics
We will use severalkeyperformance indicatorstogauge the effectivenessof ourmarketingcampaigns.
Our social mediaeffortscanbe assessedusingHootSuite,toassesstrendsinaudience engagementand
brand sentiment,determine whichcontentgeneratedthe mostinterest,aswell astrack how many
conversionstouchedthe social mediachannel (Hootsuite,2015).
Our SearchEngine Marketinganddigital advertisingeffectivenesscanbe measuredwithGoogle
Analytics andGoogle AdWords.We will see the clickthroughrate,the numberof impressions,the
number of conversions, the cost per conversion, browsing patterns, and traffic sources (Google Analytics,
2015).

7. 7
References
BetterHomesand Gardens.(2015). BHG MediaKit.Retrievedfrom http://bhgmarketing.com
ComcastSpotlight.(2014). ViewerProfile.Retrievedfrom http://www.comcastspotlight.com/
Conde Nast(2015). GlamourMediaKit.Retrievedfrom
http://www.condenast.com/brands/glamour/media-kit/print
ExperianMarketingServices.(2012).SimmonsOneView (Fall 2012) [ComputerSoftware].Retrieved
fromhttps://oneview.experian.com
Fireclick.(2015).FashionandApparel.Retrievedfrom
http://index.fireclick.com/fireindex.php?segment=1
Google.(2015). Google Analytics:Features.Retrievedfrom
http://www.google.com/analytics/features/
HootSuite.(2015). Social MediaManagementforAny Organization.Retrievedfrom
https://hootsuite.com/
Inc. (2010). How to Buy TV AdvertisingonaBudget.Retrievedfrom
http://www.inc.com/guides/2010/09/how-to-buy-tv-advertising-on-a-budget.html
Kang,C. (2014). TV isincreasinglyforoldpeople.Washington Post. Retrievedfrom
http://www.washingtonpost.com/news/business/wp/2014/09/05/tv-is-increasingly-for-old-
people/
Kobliski,K.(2006).Cable TV Ads. Entrepreneur. Retrievedfrom
http://www.entrepreneur.com/article/83082
Nielsen@Plan.(Q42014). [ComputerSoftware].Retrievedfrom http://answers.nielsen.com.
NielsenScarborough.Cable TV networks:Numberof TV viewersof TBSwithinthe last7 days inthe
UnitedStates(USA) fromspring2008 to spring2014 (inmillions).In Statista- The Statistics
Portal.
PackagedFacts. (2006). The U.S.Market for Footwear.Retrievedfrom
http://www.packagedfacts.com/Footwear-1189571/
People. (2015).2015 Rate Card. Retrievedfrom
http://www.people.com/people/static/mediakit/media/pdf/ratecard.pdf
Statista.(2014). Cable TV networks:Numberof TV viewersof FoodNetworkwithinthe last7 daysin
the UnitedStates(USA) fromspring2008 to spring2014 (inmillions).Retrievedfrom
http://www.statista.com/statistics/228950/cable-tv-networks-food-network-watched-within-
the-last-7-days-usa/
Statista.(2014). Cable TV networks:Numberof TV viewersof TBSwithinthe last7 daysinthe United
States(USA) fromspring2008 to spring2014 (inmillions).Retrievedfrom
http://www.statista.com/statistics/228984/cable-tv-networks-tbs-watched-within-the-last-7-
days-usa/
Statista.(2014). Cable TV networks:Numberof TV viewersof TLC (The LearningChannel) withinthe
last7 days inthe UnitedStates(USA) fromspring2008 to spring2014 (inmillions).Retrieved
fromhttp://www.statista.com/statistics/228987/cable-tv-networks-tlc-the-learning-channel-
watched-within-the-last-7-days-usa/

8. 8
Appendix
Exhibit1 Exhibit2. WeightedIndices
*TV_SPD 000 stands forcost for TV advertisinginthousands
P_SPD 000 standsfor cost for Printadvertisinginthousands
D_SPD 000 standsforcost for Digital impressioninthousands
S_SPD 000 stands forcost for SEMadvertisinginthousands
Exhibit3. New shoe design
Exhibit4. Keywordexamples
Ad group Keyword
Avg. Monthly
Searches (exact
match only)
Competition Suggested bid
Womens Heels high heels for women 2400 High $1.02
Womens Heels heels for women 5400 High $1.10
Shoes High cute high heel shoes 480 Medium $1.18
Comfortable comfortable high
heels
1600 High $0.97
Comfortable comfortable heels 6600 High $1.05
Cute cute high heels 1900 Medium $1.50
Cute cute heels 5400 High $1.11
Dress womens dress shoes 4400 High $1.20

9. 9
Exhibit 5. Media Plan Flowchart