BUSINESS MODEL

Ocean & Earth manufactures and sells the world’s leading surf accessories and lifestyle products across 30 countries worldwide using the following channels;

RETAIL PARTNERS

INTERNATIONAL LICENSEE

O&E BRICK AND MORTAR STORES

ONLINE STORE

VALUE PROPOSITION Ocean and Earth surf accessories and lifestyle products have been tested and proven by the world’s best surfers since 1979; offering the world’s largest range of quality and innovative products for those people who are passionate about surf and travel.

BUSINESS CANVAS KEY PARTNERS •  International

Licensees •  Retail Partners •  Suppliers •  Banks •  Government •  Big Commerce •  Software partners

KEY ACTIVITIES •  Production •  Selling •  Distribution •  Marketing •  Accounts Receivable

KEY RESOURCES •  Sales Team •  Production/Design

Team •  Distribution and

warehousing •  Developers/IT •  Customer Service

VALUE PROPOSITIONS

•  World’s largest range of quality and innovative surf hardware

•  Tested and proven by the world’s best surfers since 1979

CUSTOMER RELATIONSHIPS

•  Sales Reps •  Customer Service •  Social Media

CUSTOMER SEGMENTS

•  Surfer 35-44 male (30%) •  Surfer 25-34 male (25%) •  Surfer 45-55 male (20%) •  Surfer 18-24 male (10%)

CHANNELS •  Online store •  Retail partners •  O&E Brick and

Mortar stores •  International

Licensee

COST STRUCTURE •  Cost of goods •  Distribution costs •  Marketing costs

•  Salaries/Commissions •  Bank loans

REVENUE STREAMS •  Surf accessories •  Surf Fashion clothing •  Domestic and International sales •  3rd party production •  Royalties

CUSTOMER JOURNEY

Awarness Consideration Purchase Retention Advocacy

DISPLAY ADS

PRINT ATHELTES

ECOMMERCE STORE

BLOG

REVIEWS

SOCIAL NETWORKS

EMAIL FAQ

WORD OF MOUTH

SOCIAL

SOCIAL PAID

GOOGLE ADS

EMAIL PROMOTIONS

NEWSLETTER

GOOGLE SEARCH

CUSTOMER PERSONA

•  35-44 year old male

•  Finished secondary school (high school)

•  Income of $60,000

•  Married with young family of two

•  Works in the construction industry

TIM THE CONSTRUCTION WORKER

Thinks & Feels •  Worries about the mortgage

•  Loves taking the kids to the beach

•  Would love to surf more

•  Needs a new wetsuit for winter as his current wetsuit has holes

Hears •  Checks Facebook once a day

on his mobile

•  Watches his favorite surfers on WSL.

•  Listens to friends who just got back from surf trip

Say & Do •  Surfs twice a week

•  Checks surf forecast when gets to work

•  Loves to debate politics

•  Friendly guy, looks after the younger kids at the beach

See •  Lives in a 3 bedroom

modest house

•  Neighborhood is working class

•  Best friends live close by

•  House is always messy due to the kids

CUSTOMER PERSONA

•  25-34 year old male

•  Income of $40,000

•  Single looking for girlfriend

•  Just starting his career after finishing university. Is in the Tech Industry

•  Rents an apartment with friends

KALANI THE 1ST YEAR GRAPHIC ARTIST

Thinks & Feels •  Needs to start saving more money

•  Has to take work more seriously

•  Needs to party less on the weekend

•  Wants a the best wetsuit on the market this winter

Hears •  Checks Facebook and

Instagram every hour on his phone

•  Stabmag.com is his favorite website

•  Loves debating best surfers with his mates on the couch

Say & Do •  Surfs everyday if he can

•  Buys 50% of his products online, usually through Google search

•  Wants to keep his abs, so works out a lot

•  Looking for a girlfriend

See •  Lives in a shared apartment

with his mates

•  Gets the train to work but takes too long

•  Neighborhood is run down but has some good bars

MARKETING OBJECTIVE Ocean and Earth’s goal for the 1st quarter (Jan-March 18) is to increase Australian website sessions to our recently launched new wetsuit range by 100% (MoM), in order to increase wetsuit revenue in Australia to $900.

2018 WETSUIT RANGE ! Best Quality

! Best Prices

! World’s Easiest Entry - Zipperless Wetsuit

KPIS AND METRICS !  Increase sessions of wetsuit page to 340 per

month

!  Increase conversion rate to 1.0% from wetsuit page

!  Increase wetsuit revenue to $900.00

! Return on ad budget x 2

! Budget = $450.00

LAST MONTHS KPIS

170 Sessions

SOURCE: Google Analytics December 12TH 2017 – January 12th 2018

0% Conversion Rate

$0.00 Revenue

TACTICS

75% Of Customers Are

Aged Between 25-55

95% Of Customers Visit Website Through

Google

4000 Database With High

Conversion Rate

FACEBOOK ADWORDS EMAIL

TACTICS IN THE MARKETING FUNNEL

FACEBOOK ADWORDS EMAIL

$20 Budget

CPM KPI

$127 Budget

CPC KPI

$123 Budget

CR% KPI

$60 Budget

CPC KPI

$120 Budget

CR% KPI

$0 Budget

CR% KPI

AWARNESS

CONSIDERATION

PURCHASE

RETENTION

FACEBOOK

AWARNESS

TEST A TEST B

M 25-34 •  Wetsuit •  Surfing •  World surf league •  Mick Fanning •  Rip Curl

M 35-44 •  Wetsuit •  Surfing •  World surf league •  Mick Fanning •  Rip Curl

$20 Budget

$3.50 Cpm target

$20 Budget

$4.00 CPM target

3 days

FACEBOOK RESULTS

AWARNESS

4773 Impressions

TEST A, 35-44 Optimization

$4.19 CPM

$0.19 over FAIL

TEST A

TEST B

FACEBOOK

CONSIDERATION

TEST A TEST B M 25-34 •  All website visitors •  Wetsuit page visits •  People engaged on FB •  Lookalike email

M 35-44 •  All website visitors •  Wetsuit page visits •  People engaged on FB •  Lookalike email

$127 Budget

$0.60 CPC target

3 days

FACEBOOK RESULTS

121 Clicks

TEST B, 35-44 Optimization

$1.05 CPC

$0.45 over FAIL

CONSIDERATION

TEST B

TEST A

FACEBOOK

PURCHASE

TEST A TEST B M 25-34 •  Visited wetsuit page •  No purchase 90 days •  Add to cart no purchase

M 35-44 •  Visited wetsuit page •  No purchase 90 days •  Add to cart no purchase

$123 Budget

1.5% CR target

3 days

FACEBOOK RESULTS

0 CR%

TEST B, 35-44 Optimization

$0.85 CPC

Incomplete Audience too small

NOTE: Audience was too small to complete tactic. Only $17 was used of the $123 budget saving $106 on total budget.

PURCHASE

TEST A

TEST B

ADWORDS

CONSIDERATION

TEST A TEST B •  Ocean and Earth wetsuits

•  Wetsuits online •  Women’s wetsuits •  Women’s wetsuit sale •  Best wetsuits for surfing •  Wetsuit brands •  Wetsuit •  Wetsuit sale

25-44 Males

$60 Budget

$1.00 CPC target

3 days

ADWORDS RESULTS

56 Click

TEST B Optimization $1.05

CPC

$0.05 over CLOSE

CONSIDERATION

ADWORDS

PURCHASE

TEST A TEST B •  Buy wetsuits •  Where to buy wetsuits •  Wetsuits sale online •  Wetsuit sale near me •  Wetsuit shop near me •  Buy wetsuits online •  Wetsuits clearance •  Where can I buy a

wetsuit

25-44 Males

Visited store last 90 days

$120 Budget

1.5% CR target

3 days

ADWORDS RESULTS

0 CR%

TEST A Optimization $1.59

CPC

1.5% off FAIL

PURCHASE

EMAIL MARKETING SUBJECT LINE: “DON’T GET COLD THIS WINTER”

PURCHASE

30% Open Rate Target

5% CTR Target

EMAIL RESULTS

30.6 OR%

0.6% higher SUCCESS

5.1 CTR%

0.1% higher SUCCESS

PURCHASE

KPI RESULTS

NOTE: Google Analytics was not correctly set up for tracking Revenue. Revenue and CR% was tracked through big commerce. 3 wetsuit transactions were reported through the consideration stage. SOURCE: Google Analytics January 13TH 2018 – February 11th 2018

449 SESSIONS

0.66 CR%

$790 REVENUE

2.3 AD RETURN

$344 COST

109 MORE SUCCESS

0.34% off FAIL

$110 off FAIL

0.3 HIGHER SUCCESS

$106 SAVED SUCCESS

OPTIMIZATION

•  Better content

•  Test more Audiences

•  Bigger budget to get quality data and traffic

•  Test more ad creatives and extensions

•  Test more keywords and for longer period

•  Bigger budget to get quality data and traffic

•  Invest more budget into Adwords

•  A/B test subject line

•  Segment audience better

•  Work on better email copy

FACEBOOK ADWORDS EMAIL

NOTE: FIX DIRECT REVENUE ATTRIBUTION IN GOOGLE ANALYTICS

Q&A Marketing Campaign by Phil Macdonald