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Marketing Metrics GWR

The document analyzes the performance of Guinness World Records' (GWR) business solutions campaigns targeting three customer segments: non-profit organizations, PR agencies, and corporations. Key metrics such as return on investment, monthly profitability, sales conversion rates, and revenue potential are calculated and compared across segments to determine where to invest an additional $10,000 marketing budget. The analysis finds that while corporations are the most profitable segment, non-profits have the highest ROI and conversion rate. It is recommended to invest the additional budget in corporations and test online events to drive higher sales.

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Adison Brille
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0% found this document useful (0 votes)
150 views9 pages

Marketing Metrics GWR

The document analyzes the performance of Guinness World Records' (GWR) business solutions campaigns targeting three customer segments: non-profit organizations, PR agencies, and corporations. Key metrics such as return on investment, monthly profitability, sales conversion rates, and revenue potential are calculated and compared across segments to determine where to invest an additional $10,000 marketing budget. The analysis finds that while corporations are the most profitable segment, non-profits have the highest ROI and conversion rate. It is recommended to invest the additional budget in corporations and test online events to drive higher sales.

Uploaded by

Adison Brille
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Your paper will be focused on demonstrating your understanding of the knowledge and impact

of data analytics and measurement in B2B marketing. For this paper, your goal will be to use

your data analytics and measurement knowledge to examine the performance of a company, its

marketing, and its salespeople.

The company I’ve selected for this paper is Guinness World Records (GWR), specifically their

Business Solutions area. This is a B2B part of the company that offers marketing campaigns to

organizations based on breaking a record.

There are three B2B customer segments you will focus on in this paper:

1. NON-PROFIT ORGANIZATIONS

Example: https://www.guinnessworldrecords.com/business-solutions/case-studies/national-

federation-of-the-blind

2. PR AGENCIES

Example: https://www.guinnessworldrecords.com/business-solutions/case-studies/ozo

*CORPORATIONS (I.E. BIG COMPANIES)

Example: https://www.guinnessworldrecords.com/business-solutions/case-studies/xbox-one

At GWR, each customer segment is assigned a Sales Manager and Marketing Manager.

The job of the Marketing Manager is to generate leads and oversee the campaign for each client.

The role of the Sales Manager is to convert a lead into a confirmed sale. Your job is to determine

key metrics for each of the three customer segments so you can make informed

recommendations and provide convincing data to your boss on where to invest additional

marketing budget.
DATA ANALYSIS QUESTIONS:

 What is the ROI for each of these customer segments?

 Which is the most profitable segment on a monthly basis? Profit here is defined as

revenue less marketing expense (and commission if applicable).

 Which Sales Manager has the highest conversion rate?

 Which market segment has the greatest earning potential? Why?

Here is information you’ll need to analyze in order to determine the key metrics for each

segment.

*NON-PROFIT ORGANIZATIONS

 The Marketing Manager generates 10 leads per month and the Sales Manager makes

three sales per month.

 The Marketing Manager spends $9,500 in SEM to generate those 10 leads.

 The average sale generates $6,000 in revenue

 There are 1,000 potential non-profit organizations in this market. The non-profit market

tends to search online for marketing ideas.

*PR AGENCIES

 The Marketing Manager generates 20 leads per month and the Sales Manager makes

three sales per month.

 The Marketing Manager spends $16,000 in attending conferences to generate those 20

leads.
 The average sale generates $10,000 in revenue but the agency takes a 20% commission

per sale, which GWR must pay to the agency out of its revenue.

 There are 500 potential agencies in this market, each of which have at least 7 clients.

Agencies tend to look for marketing ideas from other businesspeople they already know

(even if from just one meeting) or from recommendations of other colleagues.

*CORPORATIONS

 The Marketing Manager generates 12 leads per month and the Sales Manager makes one

sale per month.

 The Marketing Manager spends $25,000 in event marketing and in-person presentations

to generate those 12 leads.

 The average sale generates $35,000 in revenue.

 There are 3,000 big companies in this market. Big companies tend to seek out marketing

ideas from attending events, both online and in person.

PLEASE PROVIDE TWO MARKETING RECOMMENDATIONS BASED ON THE

FOLLOWING:

1. How would you convince your boss to provide you with an additional $10,000 per month in

marketing budget, and which segment would you invest that marketing budget in and why?

2. Given the customer segments GWR is marketing to, what would be one marketing tactic you

would recommend testing to drive higher conversion rates?

Please provide specific detail on the tactic, why the tactic is appropriate for the customer

segment, and what the ROI would need to be to make the tactic successful.
Specifications of paper:

• A maximum of two, double-spaced pages

• 1” margins

• 12 pt Times New Roman font

• Bullets and paragraph headings are allowed

Grading criteria:

• Papers will be graded on a 20-point scale.

• Points will be taken off for papers longer than 2 pages.

• Not addressing all the points above clearly will result in a grade of 16 or less

• Accurately calculating the required measures (ROI, Conversion rate, etc.) will help you achieve

a 16 at a minimum. Errors in these calculations will result in half point deductions depending on

the # of incorrect calculations and my assessment of your effort.

• A good paper (18 of 20) or excellent paper (19 or 20 out of 20) will bring thoughtful marketing

insights to this paper; I will put particular emphasis on the real-world applicability of your two

marketing recommendations. Be specific, concise, clear, and innovative in your thinking.

• The quality of your writing, structure and grammar will be considered as grading criteria.
Answer:

The purpose of this report is to examine the performance and effectiveness of Guinness World

Records (GWR)’s marketing campaigns using data analytics and measurement knowledge. It

measures the impact of GWR’s marketing by using different metrics such as profitability,

conversion rates and earnings potential. Moreover, the report draws attention to the ROI for three

customer segments that GWR is marketing to, namely the non-profit organizations, the PR

agencies and corporations. Ultimately, this report aims to optimise future marketing efforts by

strategically allocating budgets and resources for future campaigns.

Using the market insights in the past, we calculated and compared the marketing ROI for each of

the customer segments. The marketing ROI for non-profit organisations is at its highest at

89.5%, which suggests GWR’s marketing initiatives in this segment is most impactful in driving

profit and revenue growth (Saura 94). Marketing to PR Agencies gave an ROI of 87.5% while

ROI for corporations was the lowest at only 40.0%.

Nonetheless, the most profitable segment on a monthly basis was corporations – registering a net

profit of $10,000.00. The segment of non-profit organisations followed suit with $8,500

profitability whereas PR agencies were the least profitable at only $8,000.00 net profit per

month.

As for measuring the effectiveness of the sales funnel, the Sales Manager for non-profit

organisations had the highest conversion rate at 30.0%, demonstrating his efficiency in

converting leads into customers while saving time and resources. This allows GWR to increase
their number of customers, without increasing resources. It also means GWR can have more time

to complete projects and other work to move the business forward. This rate is followed by the

PR Agency segment at 15.0% and corporations segment at 8.3%. It may benefit GWR if the

sales manager.

Interestingly, the corporations segment has the greatest earning potential with a potential revenue

size of $8.75 million. This is derived from conversion rate multiplied by average revenue per

unit (ARPU) and potential number of related entities in the market.

On the other hand, potential revenue size for the PR agency segment is valued at $5.25 million,

whereas the non-profit organization segment is valued at only $1.8 million. Taking into account

the impact of the marketing campaigns of each segment and the associated performance of their

respective Sales and Marketing managers, it would be wise to invest an additional $10,000 per

month to marketing campaigns geared towards the corporations segment. The average lead value

for the non-profit and PR agency segment is low at only $600.00 and $500.00. In contrast, the

average value of the corporations segment is estimated at $2,900. This means that the additional

$10,000 budget would only require 3 additional leads per month to convert a sale from

corporations – suggesting efficiency. The other segments, however, would require roughly

double the marketing effort with non-profit organisations and PR agencies requiring 17 and 20

additional leads respectively.

Given the customer segments GWR is marketing to, we recommend the testing of organising

online events and presentations to drive higher conversion rates. This marketing tactic would be

most appropriate for the corporations segment as many of the players in the market seek out their

marketing strategies from both online and in person events. To make this tactic successful, the
ROI can be greatly improved by creating more impactful campaigns, experimenting and trying

other marketing channels besides in-person presentations.


Non-Profit
Guinness World Records (GWR) Customer Segment PR Agency Corporation
Organisation
Monthly Metrics Formula
Return on Investment (ROI) (Sales Growth - Marketing Cost) / Marketing Cost 89.5% 87.5% 40.0%
Total Number of Sales N/A 3 3 1
Number of Leads N/A 10 20 12
Conversion Rate (Total Number of Sales / Number of Leads) x 100 30.0% 15.0% 8.3%
Marketing Cost N/A $ 9,500.00 $ 16,000.00 $ 25,000.00
Cost Per Lead (CPL) Total Marketing Spend/Total number of leads $ 950.00 $ 800.00 $ 2,083.33
Event marketing and
Attending
Online search in-person
conferences
Marketing activities N/A presentations
Average revenue per unit (ARPU) N/A $ 6,000.00 $ 10,000.00 $ 35,000.00
Total revenue ARPU x Total number of sales $ 18,000.00 $ 30,000.00 $ 35,000.00
Total lead value Total revenue/ Total number of leads $ 1,800.00 $ 1,500.00 $ 2,916.67
Average Lead Value Value of sale / Number of leads $ 600.00 $ 500.00 $ 2,916.67
Leads needed Marketing budget/ Avg Lead Value 17 20 3
Gross Profit Total revenue - Marketing cost $ 8,500.00 $ 14,000.00 $ 10,000.00
Additional Expenses
Marketing spend - commission percentage N/A 0% 20% 0%
Marketing spend - commission per sale N/A $ - $ 6,000.00 $ -
Net Profit Revenue less marketing expense $ 8,500.00 $ 8,000.00 $ 10,000.00
Potential number in market - 1,000 3,500 3,000
Conversion rate x ARPU x Potential number of of
$ 1,800,000.00 $ 5,250,000.00 $ 8,750,000.00
Potential revenue size entities in the market
References

1. “OZO Foods Longest Line of Tacos.” Guinness World Records, 2022,

www.guinnessworldrecords.com/business-solutions/case-studies/ozo.

2. “National Federation of the Blind Largest umbrella mosaic.” Guinness World Records,

2022, www.guinnessworldrecords.com/business-solutions/case-studies/national-

federation-of-the-blind.

3. “Xbox One - Microsoft Case Study.” Guinness World Records, 2022,

www.guinnessworldrecords.com/business-solutions/case-studies/xbox-one.

4. Lipták, Katalin, et al. "Innovative Financial Indicators: Marketing ROI." Eurasian

Business and Economics Perspectives. Springer, Cham, 2022. 137-147,

https://link.springer.com/chapter/10.1007/978-3-030-94672-2_9

5. Saura, Jose Ramon. "Using data sciences in digital marketing: Framework, methods, and

performance metrics." Journal of Innovation & Knowledge 6.2 (2021): 92-102,

https://www.sciencedirect.com/science/article/pii/S2444569X20300329

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