Background
X.com marketing director has consulted with a few agencies and discussed potential impact of building a few landing pages to maximize engagement, registrations and net sales on the retail website.
You were hired as a consultant to help the director make a decision.
The marketing manager decided to test 4 landing pages:
A - "On Sale" products without an offer
B - "On Sale" products with a strong offer: 30% off
C - Hot New Merchandise: New Arrivals with an offer 20% off
D - Hot New Merchandise: New Arrivals without an offer
E (Control) - Current frontpage
Assumptions:
1) All landing pages include registration bottom
2) All landing pages have a similar creative design
3) Average order revenue = $125
4) Landing page subsequent click rate off the current frontpage = 1.4%, and in external media we don't mention any promotions or discounts.
5) COGS = 30% of Gross Revenue
6) Production cost of 1 landing page = $3000
Definitions:
- Engagement is defined as number of pages per visit.
- Registrations are defined as number of visitors who registered but not purchased.
- Net Sales is total revenue minus ( COGS, total offer costs and promotion costs).
Test Strategy, design and implementation
Please layout a test plans with all relevant:
- Marketing objectives
- The profit drivers
- Detailed test design: what do we test, how do we test?
- Test administration and implementation
- Organizational coordination and collaboration
- Data collection
- Proforma P&L
- Measurement methodology , statistical testing (show at least 4 tests)
- Key findings and recommendations
Questions/Deliverables: Write a test design including the following sections:
- Marketing objectives
- The profit drivers: Clearly define what are the KPIs
- Detailed test design: what do we test, how do we test?
o Hypotheses testing: write at least 4 H0/H1 pairs
- Test administration and implementation:
o Determine at 95% confidence internal
o What are the minimum samples sizes needed per cell?
o Please provide start and end dates for the testing
- Organizational coordination and collaboration
o Who does what?
o What are the steps from planning to execution?
o Time frames
- Data collection
o What data do we collect?
o Who collect the data
o When does it delivered for analysis
- Proforma P&L
o Please develop a Proforma P&L to assess the viability and test priorities
- Primary and Secondary KPIs
Attachment:- PART 1.rar