Kayode Olusoji Module 6-Final Task

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Digital Marketing Capstone Project

Kayode Olusoji

24th July, 2016

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Contents Digital Marketing Capstone Project .............................................................................................................. 1

List of Tables ................................................................................................................................................. 4

List of Figures ................................................................................................................................................ 4

1.0 Executive Summary ........................................................................................................................... 6

2.0 Client or Brand Analysis .................................................................................................................... 8

2.1 Grainger ............................................................................................................................................ 8

2.2 Bosch Tools ....................................................................................................................................... 9

3.0 The Problem Statement .................................................................................................................... 9

4.0 The Consumer Decision Journey ..................................................................................................... 11

5.0 Data Collection and Analysis ........................................................................................................... 13

5.1 Data Analysis ................................................................................................................................... 16

5.2 Insight Benchmarking ..................................................................................................................... 19

6.1 Audience Category 1 ....................................................................................................................... 21

6.2 Audience Category 2: ...................................................................................................................... 24

7.0 The Content Strategy ...................................................................................................................... 25

7.1. Audience category 1 ....................................................................................................................... 27

7.1.1 New Customers .......................................................................................................................... 27

7.1.2 Current Customers ...................................................................................................................... 29

7.2 Audience Category 2 ....................................................................................................................... 31

7.2.1 Scenario 1 .................................................................................................................................... 31

7.2.2 Scenario 2 .................................................................................................................................... 32

7.2.3 Scenario 3 .................................................................................................................................... 32

8.0 Test and Control Plan Research objectives ..................................................................................... 33

8.0.1. Define your hypothesis ..................................................................................................................... 37

8.0.2 Mine Bosch Power Tools historical data ..................................................................................... 38

8.0.3 Design our test plan .................................................................................................................... 38

8.0.4 Deploying our campaigns ........................................................................................................... 38

8.05 Analyzing our results ................................................................................................................... 38

9.0 Recommendations ...................................................................................................................... 39

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10.0 References: ..................................................................................................................................... 40

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List of Tables

Table 1: The problem statement in the digital marketing campaign……………………………..............................9

Table 2: The CDJ, Key Questions and Business Objectives.........................................................................11

Table 3: showing data Collection & Analysis for customer landing on Bosch tool.com.............................13

Table 4: Cumulative Grainger Bosch Tools-Metrics by Day (5th October to 13th December, 2015).........14

Table 5: Cumulative Grainger Bosch Tools-Metrics by Day (5th October to 13th December, 2015).........16

Table 6: Targeting Tactics for Grainger & Bosch Tools...............................................................................18

Table 7: Users landing on Grainger website directly..................................................................................21

Table 8: Retargeting Tactics or Strategies ..................................................................................................22

Table 9: Various Coupons Strategy.............................................................................................................23

Table 10: Users landing on Boschtools.com first........................................................................................24

Table 11: Research on Building Brand Awareness.....................................................................................33

Table 12: Research on influencing Consideration.......................................................................................33

Table 13: Research on improving sales process .........................................................................................34

Table 14: The Research Objectives for the scenarios.................................................................................34

List of Figures

Figure 1: Market Fragmentation-North America (Source: GWW Facts Book)……………….............................7

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Figure 2: The Consumer Decision Journey (McKinsey & Company)...........................................................10

Figure 3: Customers' Decision Journey & Relevant questions for each phase...........................................12

Figure 4: A graph showing the relationship in the CPA, Total Revenue and Net Profit (Plotted through the data given in Table 4 above).......................................................................................................................14

Figure 5: Sum of CPA by Day (Plotted through the data given in Table 1 above).......................................15

Figure 6: Types of Data Science Questions (Source: Adapted from Jeffery Leek)......................................16

Figure 7: Total Impression versus Total clicks per day (Plotted through the data given in Table 1 above)17

Figure 8: Targeting Tactics: Spend versus Revenue....................................................................................18

Figure 9: Targeting Tactics: Spend, Revenue, CPA and ROAS.....................................................................19

Figure 10: Halvorson's content strategy framework "The Quad" includes Content Components and People Components...................................................................................................................................25

Figure 11: A Promotional Display Ad..........................................................................................................26

Figure 12: A Display ads showing 40% discount on power tools................................................................27

Figure 13: A display ads encouraging the customers to shop now.............................................................27

Figure 14: A sample banner for subscribing for company's email..............................................................28

Figure 15: Grainger's Landing page showing most popular Bosch Products..............................................29

Figure 16: Grainger's landing page with content showing other items purchased on the site..................29

Figure 17: Display banner for promoting Bosch Tools- "Shop Now"..........................................................30

Figure 18: Display banner for promoting Bosch Tools...............................................................................31

Figure 19: Banner promoting Bosch Power Tools......................................................................................32

Figure 20: A funnel showing the outcome of Brand Awareness.................................................................35

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1.0 Executive Summary

There is a common saying that "Hard work is good, but Team work is better". This consolidated

digital marketing plan looked at how the synergy between Grainger, a leading distributor of

maintenance, repair and operating (MRO) products and Bosch Tools, a major supplier of power

tools to Grainger, can lead to an increase in sales of Bosch power tools by 10% on

Grainger.com. This can be achieved by working more closely with existing customers, finding

new customers and selling across product categories.

The Consumer Decision journey of the first audience category was examined for the three

scenarios given in the problem statement. We realized that the audiences are in the initial

consideration set for the first scenario, active evaluation for the second scenario and moment

of purchase for the third scenario. We addressed the concerns, key questions, business

objectives and analysis to be performed considering the different scenarios (Table 2 & Figure 3).

This plan includes the steps that need to be taken in order to meet the business objectives.

After conducting some analysis on the two brands, the main business objectives and audience

profiles that need to be addressed in the digital marketing campaign in order to achieve the

sales goal has been identified.

The Business Objectives include:

Build brand awareness

Influence consideration

Improve sales process

In data collection and analysis section of this plan, the key data to be collected, the tools for

collecting the key data, the data sources, type of data analysis, the KPIs and benchmarks was

analyzed. The type of bias in the data collected and how they can be avoided (Figure 5) was also

examined.

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One of the most interesting aspects of this project is data analysis and the benchmark for the

insights. The analysis that was conducted includes descriptive analysis, inferential analysis,

exploratory analysis, causal analysis and predictive analysis. The targeting tactics for Bosch tools

on Grainger.com was considered. We looked at the amount spent versus revenue based on the

data given. We also looked at the Cost per Acquisition (CPA), and the Return on Advertising

Spending (ROAS).

A multi-channel digital marketing campaign has been designed to achieve this purpose and it

focused on display advertising and email marketing channels to achieve the goals of increasing

the sales of Bosch tools by 10% with a combination of good content strategy.

Finally, the test and control plan section clarify the research to be conducted, both primary and

secondary research as well as quantitative and qualitative research. The research include Brand

recognition, Brand recall, Brand image study, Brand trust study, Brand loyalty study and

Customer profile study. The marketing efforts in this plan, if well implemented will definitely

result in higher sales and the goal of having a 10% increase in the sales of Bosch tools product

on Grainger.com as well as cross-sell and up-sell more Bosch products from categories beyond

power tools to its existing customers will not only be achieved, but will also be surpassed.

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2.0 Client or Brand Analysis

2.1 Grainger

Grainger was founded in 1927 and is a leading distributor of maintenance, repair, and operating

(MRO) products that include motors, lab supplies, power transmission, test instruments,

outdoor equipment, safety products, power tools, and janitorial supplies. More than 4,500

manufacturers supply GWW with 1.4 million products made available to customers through

GWW’s branches and distribution centers. (Grainger Fact Book, 2016)

Grainger has developed two business models to meet these differing needs. The multichannel

model is the cornerstone of Grainger’s business and accounts for the majority of its sales.

Grainger goes to market in the United States, Canada, Latin America and Europe through the

multichannel model. This model primarily serves larger customers with complex operations and

purchasing processes. It is characterized by sales coverage, local branches, ecommerce

capabilities, catalogs and value-added services, such as inventory management solutions.

Driven by deep relationships, the multichannel model enables larger customers to operate with

the confidence that Grainger has them covered. (Grainger Fact Book 2016). Figure 1 below

shows Grainger’s market share in North America.

Figure 1: Market Fragmentation-North America (Source: GWW Facts Book)

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Some of the major players in the North American region are, Graybar Electric Company, Applied

Industrial Technologies and WESCO International Company.

2.2 Bosch Tools

Bosch Tools is a supplier of power tools to Grainger. It sells its products via its partners in its

distribution network, and Grainger is one of their main partners for the B2B. Bosch invested

around 5 billion Euros in research and development – around 10% of sales revenue. Bosch has

94 development and engineer locations worldwide.

The Bosch Group is a leading global supplier of technology and services. The company roughly

employs 360,000 associates worldwide. Operations are divided into 4 business sectors: mobility

solutions, industrial technology, consumer goods, and energy and building technology.

3.0 The Problem Statement

The aim of this digital marketing plan is to design a multi-channel digital marketing campaign

for the client, Grainger, as they target a sales increase of Bosch Power Tools by 10%

on Grainger.com. The client wants the campaigns to focus on display advertising and email for

this project.

Grainger is partnering with one of its big suppliers, Bosch Tools, to conduct joint promotional

campaigns. Bosch Tools is a unit of Bosch which supplies power tools to Grainger, and Grainger

is one of the main B2B resellers of Bosch.

They plan to achieve the 10% sales increase by working more closely to sell more products to

existing customers, find new customers, and sell across product categories as well.

Boschtools.com is a consumer-facing website and has data on customer behavior, and Bosch is

sharing the data with Grainger.

The campaign targets are the current and potential customers and we will be focusing on

display and email channels. Display advertising could be through Grainger.com or through

http://www.grainger.com/

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programmatic display ad purchases. The email database is owned by Grainger and has users

interested in the category of power tools.

Table 1 shows the problem statement in digital marketing campaign.

Table 1: The problem statement in the digital marketing campaign

Problem Statement 1 How can Grainger increase sales of Bosch Tools power tools on Grainger.com to customers who first visit Boschtools.com? Considering the scenarios listed below.

Scenario 1 Audiences that visit Boschtools.com, look at a power tool (for example a drill), but do not visit Grainger.com

Scenario 2 Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log in to Grainger.com, and visit the power tools category

Scenario 3 Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log in to Grainger.com, and visit the plumbing category but not power tools

Problem Statement 2 how can Grainger cross-sell/up-sell more Bosch products from categories beyond power tools to its existing customers, assuming that the existing customers have already bought Bosch brand tools on Grainger.com

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4.0 The Consumer Decision Journey

Consumers are changing the way they research and buy product. The consumer decision

journey starts after the trigger (Figure 2). In these three scenarios, the audiences have been

triggered to look for power tools. So the audiences could either be in the Initial consideration

set phase, active evaluation, moment of purchase, post purchase experience or loyalty loop.

Table 1 shows the description of the Consumer Decision Journey phases for each scenario, key

questions, concerns and business objectives for each CDJ phase.

Figure 2: The Consumer Decision Journey (McKinsey & Company)

Table 2 shows the consumer decision journey phase for three different scenarios for audience

landing on Boschtools.com. It also shows the key questions (figure 3), concerns and the

business objectives.

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Table 2: The CDJ, Key Questions and Business Objectives

The analysis to be conducted in scenario 1 is Competitive Analysis and that of scenario 2 is

Experimentation/Testing, while for scenario 3, it is outcome analysis.

Scenario 1 Scenario 2 Scenario 3

Description Audiences that visit Boschtools.com, look at a power tool (for example a drill), but do not visit Grainger.com

Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log in to Grainger.com, and visit the power tools category

Audiences that visit Boschtools.com, look at a power tool, and then visit Grainger.com, log in to Grainger.com, and visit the plumbing category but not power tools

CDJ Phase Initial Consideration Set Active Evaluation Moment of Purchase

Key Questions

Who are our major competitors?

What edge do our competitors have over us?

Do customers recall and recognize my brand?

What is our competitive advantage?

What problems are we solving for our customers?

Do my products satisfy consumer needs?

Why should the consumers consider my brand above others?

What is our unique selling points?

What value do we provide for our customers?

How much are the people in our target market willing to pay for the value the company brings?

What are the incentives that will motivate the customers to buy e.g. discount, percentage off or free shipping?

Do my sales efforts result in wins for my brands?

What are you doing at shelf, are you winning there?

Are they completing the checkout process online?

Concerns The price of the product compared to other competing brands

The quality and features of the products compared to other competing brands

Other incentives been given to the customers

The audience is trying to gather information about other competing brands to evaluate and find out which one best suit their needs

Are there incentives for a repeat purchase

If there are issues after purchase, will they be promptly addressed or the complaints will be discarded

Business Objectives

Build Brand Awareness Influence Consideration


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Figure 3: Customers' Decision Journey & Relevant questions for each phase

Our major or overall objective is to facilitate a sales increase of Bosch Power Tools by 10%

on Grainger.com.

5.0 Data Collection and Analysis

The first and second stage in the marketing analytic process (MAP) includes planning and data

collection respectively. Tools are used to acquire data that is needed to answer key questions

and assemble them into a data management program for analysis. Find below the key data to

be collected, the data sources, type of data analysis, the key KPIs and benchmarks (table 3).

http://www.grainger.com/

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Table 3: showing data Collection & Analysis for customer landing on Bosch tool.com

For Tool bar data, the sources include Google, MSN and Yahoo. Search engine data helps in

getting the data for SEO (Search Engine Optimization) and PPC (Pay per Click) campaign. The

Sources of such data include queries such as Bing, Google and Yahoo etc.


Description Audiences that visit Boschtools.com, look at a power tool (for example a drill), but do not visit Grainger.com



Business Objectives

Build Brand Awareness

Influence Consideration


Analysis Competitive Intelligence

Experimentation/Testing

Outcome Analysis

Data sources Adwords Keyword Tool

Google Trends

Google Correlate

Google Analytics

Google Website Optimizer

Optimizely

Adwords Campaign Experiments

Mongoose Metrics

Ifbyphone Liveperson

Google Analytics Ecommerce

Other Key Data

Tool bar data

Panel data

ISP (Network data)

Search engine data

Total cost of marketing activities

Number of conversions

Average order value

Number of repeat sales

Average retention time

Total revenue

Total expenses

People who don't complete checkout

People who start checkout

KPIs Bounce Rate

Applause Rate

Amplification Rate

Site traffic

Traffic Sources

Unique Visitors

Conversion rate

Revenue Increase

Increase in the rate of form sign-ups

Economic Value

Cost Per Acquisition

Economic Value

Conversion rate

Net Profit

Customer Lifetime Value

Shopping cart abandonment rate

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Table 4: Cumulative Grainger Bosch Tools-Metrics by Day (5th October to 13th December,

2015)

From table 4, figures 4 and 5 shows that Sunday has the lowest CPA, yet sum of revenue and

net profit is very low on Sunday. The CPA on Thursday is also not too high and the revenue and

net profit for this day is the highest. Grainger should concentrate on more promotion for this

day since it yields good returns.

Figure 4: A graph showing the relationship in the CPA, Total Revenue and Net Profit (Plotted

through the data given in Table 4 above)

DAY SUM OF CPA

($)

Total

Impressions

Per day

Total

Clickcs

Per day

Total CTR

Per day

Total Spend

Per day

Total Post-Click

Order Per day

(Order

Contains at

least 1 Bosch

SKU)

Total Post-View Order

Per day (Order

Contains at least 1

Bosch SKU)

Cummulat

ive Total

Orders

Per day

Sum of

Revenue

Per day

($)

ROAS

Average

Order

Value/Day

Conversio

n RateNet Profit

SUNDAY 120.01 954,541.00 546 0.61 3,574.58 0 2 2 1239.8 4.23 619.9 0.003663 (2,334.78)

MONDAY 1,823.49 1,927,751.00 898 0.53 7,153.92 0 51 51 40658.91 86.34 797.233529 0.056793 33,504.99

TUESDAY 2,056.02 1,840,512.00 880 0.55 6,859.91 2 48 50 26883.54 54.91 537.6708 0.056818 20,023.63

WEDNESDAY 1,325.18 1,628,805.00 778 0.49 6,088.33 0 64 64 39921.95 109.08 623.780469 0.082262 33,833.62

THURSDAY 816.73 1,753,791.00 905 0.57 6,524.55 0 54 54 55622.18 136.73 1030.04037 0.059669 49,097.63

FRIDAY 1,730.20 1,659,548.00 796 0.53 6,220.56 0 44 44 24430.26 51.55 555.233182 0.055276 18,209.70

SATURDAY 1,577.09 904,186.00 552 0.68 3,390.52 0 5 5 3031.91 11.21 606.382 0.009058 (358.61)

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Figure 5: Sum of CPA by Day (Plotted through the data given in Table 1 above)

The types of bias I feel are Sampling bias and interpretation bias. In the data given in Table 1, it is just a

sample for about ten weeks and not a full representation of all the data for Grainger Bosch Tools-

Metrics. The data might not be a true representation of the total data. Also, there are some ambiguous

situations in the data which may be reported in a positive or negative way giving room for interpretation

bias.

To avoid a sample bias, I will ensure that sample that shows the true representations of the data are

taking. I will also ensure that the right information is gathered and I will develop a good data analysis

strategy to avoid interpretation bias.

5.1 Data Analysis

There are five primary categories of marketing data analysis that can be use to drive answers to

business objectives. They are descriptive, inferential, exploratory, causal and predictive. Each of

them has varying level of detail that will be required and each of them producing a varying level

of detailed response and answers to our questions. (Figure 6)

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500

1000

1500

2000

2500

DAY

SUM OF CPA ($)

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Figure 6: Types of Data Science Questions (Source: Adapted from Jeffery Leek)

The analysis which I will perform on the data collected include Descriptive Analysis whereby

competitive intelligence, web traffic data reports and web transaction data reports will be

analyzed. Also, inferential analysis will be carried out using the small data of about eleven

weeks of Grainger Bosch Tools-Metrics by day to say something about a larger set (Table 5).

Usability studies and voice of customer studies will be conducted.

Table 5: Cumulative Grainger Bosch Tools-Metrics by Day (5th October to 13th December,

2015)

DAY SUM OF CPA

($)

Total

Impressions

Per day

Total

Clickcs

Per day

Total CTR

Per day

Total Spend

Per day

Total Post-Click

Order Per day

(Order

Contains at

least 1 Bosch

SKU)

Total Post-View Order

Per day (Order

Contains at least 1

Bosch SKU)

Cummulat

ive Total

Orders

Per day

Sum of

Revenue

Per day

($)

ROAS

Average

Order

Value/Day

Conversio

n RateNet Profit

SUNDAY 120.01 954,541.00 546 0.61 3,574.58 0 2 2 1239.8 4.23 619.9 0.003663 (2,334.78)

MONDAY 1,823.49 1,927,751.00 898 0.53 7,153.92 0 51 51 40658.91 86.34 797.233529 0.056793 33,504.99

TUESDAY 2,056.02 1,840,512.00 880 0.55 6,859.91 2 48 50 26883.54 54.91 537.6708 0.056818 20,023.63

WEDNESDAY 1,325.18 1,628,805.00 778 0.49 6,088.33 0 64 64 39921.95 109.08 623.780469 0.082262 33,833.62

THURSDAY 816.73 1,753,791.00 905 0.57 6,524.55 0 54 54 55622.18 136.73 1030.04037 0.059669 49,097.63

FRIDAY 1,730.20 1,659,548.00 796 0.53 6,220.56 0 44 44 24430.26 51.55 555.233182 0.055276 18,209.70

SATURDAY 1,577.09 904,186.00 552 0.68 3,390.52 0 5 5 3031.91 11.21 606.382 0.009058 (358.61)

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Other analyses include Exploratory, whereby connections and patterns in the data will be

considered so as to define future studies. However, this cannot be used alone for predicting,

combination of some other analysis for a deeper look will be required and I will perform

outcome analysis. Causal Analysis will also be performed which include Experimentation and

Testing, Multivariate and A/B Testing. One variable can be altered to see what happens to other

variables. For instance, the total spend per day (table 5) can be increased and we will look out

for the effect on the revenue, the Post Click and the Post View order.

The last analysis that will be considered is Predictive Analysis. Under this, we will perform

Media Optimization modeling and Attribution modeling. Under this analysis if one element of

the model is moved, it's going to move the other (figure 7).

Figure 7: Total Impression versus Total clicks per day (Plotted through the data given in Table

1 above)

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100

200

300

400

500

600

700

800

900

1000

-

500,000.00

1,000,000.00

1,500,000.00

2,000,000.00

2,500,000.00

Tota

l Clic

ks

Tota

l Im

pre

ssio

n

Days

Total Impression versus Total Click Per day

Total Impressions Per day Total Clickcs Per day

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5.2 Insight Benchmarking

The benchmark for the insights is as follows:

Data should be cleared from signal noise before further process

Focus should be on -Grainger and Bosch Visitor and Purchase- targeting tactics

CPA at -Grainger Power Tools Category- should be optimized and monitored

Table 6: Targeting Tactics for Grainger & Bosch Tools

Figure 8: Targeting Tactics: Spend versus Revenue

Targeting Tactic Impressions Clicks CTR Spend Click Orders View Orders Total Orders Revenue CPA ROAS

Bosch Tools.com Only 2,885,607 1,688 0.06% $10,743.73 2 18 21 $5,220.08 $517.08 $0.49

Bosch Tools Visit, No Grainger.com visit 2,459,467 1,219 0.05% $9,223.00 0 0 0 $- $- $-

Grainger Power Tools Category 2,989,892 1,311 0.04% $11,106.37 1 65 66 $56,461.19 $168.28 $5.08

Grainger & Bosch Visitor and No Purchase 1,732,177 1,024 0.06% $6,493.19 0 1 1 $1,547.17 $5,312.61 $0.24

Grainger & Bosch Visitor and Purchase 601,992 116 0.02% $2,246.06 0 192 192 $128,560.08 $11.71 $57.24

Grand Total 10,669,135 5,358 0.23% $39,812.35 3 276 280 $191,788.52 $5,409.68 $61.06

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From figure 8 (according to the data from Table 6), we realized that the amount spent on both

Grainger and Bosch visitor is the least and yet it generated the highest revenue followed by

Grainger Power tools category. Therefore the synergy between Grainger and Bosch will yield

higher result. Spending on Boschtools.com only gives very low revenue, so we can concentrate

our spending on areas that are yielding good revenue.

Figure 9: Targeting Tactics: Spend, Revenue, CPA and ROAS

Comparing these four parameters, Spend, Revenue, CPA (Cost Per Acquisition) and ROAS

(Return on Advertising Spending) the ROAS is lower than 1 for these categories:

"Boschtools.com only" and “Grainger and Bosch tools visitors and no purchase".

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There is none for Bosch Tools visit and no Grainger.com visit. It means less revenue is

generated compared to the amount spent. ROAS is high for "Grainger tools" category and

extremely high for "Grainger and Bosch visitor and purchase". Our promotion should be

targeted on these two areas

6.0 Display Advertising and Email Campaigns for Grainger & Bosch Tools

Email marketing is a great tool for customer’s relationship management. It is cost effective; it is

highly targeted, customizable on a large scale and completely measurable. Also considering

Display advertising, the ads are relatively inexpensive in delivering impressions and with

creativity and repetition; they can create brand awareness and long term brand equity. Let us

consider the Email marketing and Display Campaign for these two audience categories (Table 7

and 8):

6.1 Audience Category 1

Audience category 1 includes users landing on Grainger website directly. Table 7 shows the display ad

and email campaign for this audience category while table 8 shows the re-targeting tactics.

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Table 7: Users landing on Grainger website directly

New Customers Current Customers

De

scri

pti

on

Many new customers visit Grainger.com on a daily basis. Grainger wants to target these new customers and increase the sales of Bosch power tools on Grainger.com

Grainger wants to cross-sell or up-sell different categories of Bosch brand products to customers who have purchased Bosch power tools on Grainger.com

Dis

pla

y

Display banner for coupon incentives on Bosch Tools can be placed on the landing page

They can be retargeted afterwards through various display banner on various sites they visit via the use of cookies

A retargeting campaign could be used by putting the following into consideration:

Use a Frequency Cap

Use a Burn Code

Audience Segmentation

Demographic, Geographic & Contextual Targeting

Setting view through conversion window

Single-Provider Retargeting

Retargeting Creative plus A/B Testing

Optimized Creatives

Banners that display related products or complimentary products to what the customers has already bought can be introduced.

Grainger.com can up-sell and cross-sell through display ads that direct the customers to entirely different products

Emai

l

Coupon incentives can be used to target new customers and encourage them to sign up for promotional emails via a banner on the landing page e.g. 5% discount on first three purchase for our email subscribers

This Strategy can be used to get the customers' database

Promotional emails can be sent through Grainger email database of the users interested in the category of power tools, to persuade them to buy some additional products

As new products comes out, the existing customers can be notified via email using various coupon strategies

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Table 8: Retargeting Tactics or Strategies

Table 9 shows the types of coupons or discounts that can be applied during the email

campaign and display advertising strategies

Retargeting Techniques or Strategies The Reasons or Effect Use a frequency cap

So that prospects will not ignore your ad

completely. Be strategic with how and when you serve your ads and take note that not all website visitor will be at the same point in their purchase journey

Use a burn code or burn pixel in your post transaction phase

So that users who have made a purchase will stop seen your ads. It saves the company money so as not to waste a valuable impression on the people who are already converted

Audience Segmentation This allows you to tailor your ad messages to various users in different stages of the purchase funnel. It also ensures you are serving relevant and engaging ads

Demographic. Geographic and contextual targeting

Advertisement can be targeted based on demographic information like age or gender, contextual factors like subject matter of the website or geographic data

Setting view through conversion window

Single-provider retargeting Running retargeting campaigns with multiple providers has a number of serious drawbacks because they will be bidding for the same spots on the same website

Retargeting Creatives plus A/B Testing

Click through rate decrease by almost 50% after five months according to a Retargeter study. Sample A/B Test can provide the data you need-

Optimized Creatives The banner ads used may do more to determine success than any other factor of retargeting campaign, so it is crucial to devote sufficient resources to making beautiful ads

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Table 9: Various Coupons Strategy

6.2 Audience Category 2:

Audience category 2 includes Users landing first on Boschtools.com. Table 10 shows the display

ad and email campaign for this audience category

Types of Coupons or Discount Clarifications Money Off e.g. & 10 off your next purchase

Percentage off e.g. 25% off your next order

Free shipping

Evangelist You can sometimes reward your loyal following fans and customers by giving them a special coupon with a significant discount as a thank you. The strategy works well if they promote the exclusive coupon to their network of friends and followers and they will also feel special because they are part of a select group

Exclusive Discount This discount can be kept private and exclusive to specific fans by sharing a link to your discounted product. Another benefit of exclusive discount is that, this can make the recipient feel really special

Prelaunch If you are launching a new product, you can promote it by giving a limited quantity away or sell a limited number at a discount e.g. first ten customers get it at 50% off. Set a quantity discount

Up-sell and Cross-sell discounts You can give customers incentive to buy additional products or complimentary products by giving them a coupon code in an email following their initial order

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Table 10: Users landing on Boschtools.com first

7.0 The Content Strategy

A key component of marketing strategy is content marketing. High consideration needs to be

given to what is being created across channels who it is intended for, and what purpose it


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Audiences that visit Boschtools.com, look at a power tool (for example a drill), but do not visit Grainger.com



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The effectiveness of display advertising can be improved on using behavioral targeting

Bosch tools data on consumers' behavior can be used to track the customer through retargeting by constantly display ads that promotes power tools on other websites been visited by the potential customers

A prelaunch coupon can attract this set of customers if Bosch Tools has a new product

The specific cookie and reference analytics can be used to identify this audience and when they login into the website show them a relevant banner ad with new tools or promotional offers.

Floating ads and wall paper ads can be used to redirect the customers to consider the patronage of power tools

Programmatic advertising can also help to automate the decision-making process of media buying by targeting specific audiences and demographics

These ads can be placed using artificial intelligence (AI) and real-time bidding (RTB) for online display, social media advertising, mobile and video campaigns

Emai

l

Incentives can be given to spur customer to subscribe to the company's promotional email so as to reduce the bounce rate

Emails to be sent to these set of customers should include product reviews and relevant product offer

Email marketing to be aimed at maximizing value and retention of customers for higher return on investment

Promotional emails should be used to spur the customers to download some useful content

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serves. A good content core strategy framework includes the substance and the structure of the

content and the workflow and the governance (Figure 10).

Figure 10: Halvorson's content strategy framework "The Quad" includes Content Components

and People Components

The content strategy used should be focused around the Bosch power tools which are our main

sales target and their unique characteristics, such as durability and quality of manufacturing

along with reviews that add to the overall estimate of the brand. However, because Grainger

also plan to up-sell and cross-sell, the content needs to be strategic.

The tone followed should be direct and accurate emphasizing the fact that Bosch tools are the

tools to get the job done, with safety and ease which is what all the potential customers want.

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The visuals used should focus on the work and the benefits that he acquires from these unique

products.

7.1. Audience category 1

7.1.1 New Customers

For these categories of customers who are already on the Grainger.com site, a display ad which

could be a promotional ad i.e. sales or discount could be displayed on the landing page (Figure

11 & 12). It could also be a banner, which is encouraging the customer to shop right away

(Figure 13). Similar ads could be used during the retargeting techniques and such could be

included for the email marketing (Figure 14).

Figure 11: A Promotional Display Ad

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Figure 12: A Display ads showing 40% discount on power tools

Figure 13: A display ads encouraging the customers to shop now

Also for these set of customers, a display banner could be used to encourage them to sign on

for the company's email. The tone should be a form of asking for a permission telling them to

opt-in with their consent (Figure 13).

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Figure 14: A sample banner for subscribing for company's email

7.1.2 Current Customers

For this set of customers, the content of the banners should display related products or

complimentary products to what the customers has already bought (Figure 15 and 16). The

content should include the benefits to be derived from these products, a banner for an online

survey or audience feedback. We should inquire if these customers are satisfied with the

company's product and employ them to state areas where improvement is expected. (Figure 3

& table 3).

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Figure 15: Grainger's Landing page showing most popular Bosch Products

Figure 16: Grainger's landing page with content showing other items purchased on the site

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Grainger already has the email database of the users interested in the category of power

tools. Promotional emails could be sent to these customers to persuade them to buy some

additional products or related products. The content of the email could be product reviews,

thank you letter for patronage and introduction of new products. The objective should be put

into consideration, i.e. to up-sell and cross-sell or it could be for brand repositioning. We could

send an online survey to the client to learn about what they are interested in receiving.

7.2 Audience Category 2

7.2.1 Scenario 1

These are those who visit Boschtools.com, look at the power tool but do not visit Grainger.com.

The content or messages that will create more brand awareness is needed at this stage. The

display banner should reflect this on Bosch Tools site and if the banner is clicked it should take

the customer to the landing page on Grainger's site (Figure 17 and 18). This same banner and

content can be used for retargeting the customers. The tone should be that of brand

repositioning.

Figure 17: Display banner for promoting Bosch Tools- "Shop Now"

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Figure 18: Display banner for promoting Bosch Tools

7.2.2 Scenario 2

The audiences here are in the Initial Consideration Set stage and the business objective is to

influence consideration. Therefore the target of the email marketing and the display ads is to

reposition the brand. Mails detailing product reviews can be employed here. Seeing what other

customers who have purchased the product says could win the customers eventually. The focus

of the message in the email is to share your knowledge and provide a content that would get

people to take an additional action. Emails to be sent to this set of customers should include

product reviews and relevant product offer.

7.2.3 Scenario 3

The aim objective here is to improve sales process. The focus of the content of the email to this

set of customers is brand repositioning with the aim of maximizing value and customer

retention and high ROI. To ensure that the brand occupy a distinct position relative to

competitive brands by emphasizing the features of the brand

For all the scenarios, the frequency cap should be set based on the customer's behavior.

Emphasis should be laid on the brand's essence in our banners and emails. It should be clearly

stated that Bosch tools provide a full line of measuring solutions for industrial and construction

professionals with innovative features that solve problems for the end users (Figure 19). It is

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also the world market leader for power tools. The tools are strong, reliable and durable which

gives it an edge above other power tools.

Figure 19: Banner promoting Bosch Power Tools

8.0 Test and Control Plan Research objectives

Research is the systematic investigation into and study of materials and sources in order to

establish facts and reach new conclusions. There are two major types of research to be

conducted on our marketing objectives which are secondary and primary research. The primary

research conducted includes both qualitative and quantitative research. The marketing

objectives include:

Build Brand Awareness (table 11)

Influence Consideration (table 12)

Improve Sales Process. (table 13)

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Table 11: Research on Building Brand Awareness

Table 12: Research methodology on influencing consideration

Research Methodology Brand Recognition It is an aided research

It is carried out by aided question

Example, "Please select from the list the brand tools you are aware of

in this case, a list of various power tools will be listed

the aim is to know if Bosch's brand is well recognized

Brand Recall It measures the ability of customers to summon the name of your brand without having appear in a list first

It is achieved through questionnaires with an open ended question

A higher quality data can be gathered from this method

Example, "Please write the name of any power tools you are aware of?"

Research Methodology Brand Image Study It can be achieved by gathering

internal and external feedback

The aim is to see how closely the customers' perception matches the brand identity

Brand Trust Study It is important to keep tabs on the levels of brand trust in this era of data breaches

If the brand doesn't appear trustworthy, the company will have difficulty retaining customers

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Table 13: Research methodology on improving the sales process

Table 14 shows the research objectives and some relevant questions that serve as a guide to

achieve the objectives.

Table 14: The Research Objectives for the scenarios

Research Methodology Brand Loyalty Study Loyal customers can become

evangelists

We however need to consistently track loyalty levels

This is to determine how often the transformation is happening

Customer Profile Study Changes in the core customer base may signal the need for a pivot

This could be either in the product, or the marketing messages or both

Research Objectives Objectives Details Building a greater brand awareness What percentage of Bosch Tools target

market is aware of Bosch Power tools products?

Influence consideration for a greater market share

What is the Conversion rate?

At what rate is the revenue increasing?

What is the rate at which the form sign-up is increasing?

What is the cost per acquisition (CPA) for Bosch Tools products?

At what rate is Grainger.com up-selling and Cross-selling?

Improve sales process for an improved conversion rate

What is the average number of conversions per ad click for Bosch tools products

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To build a greater Brand Awareness, we will measure the Bounce Rate, Applause Rate,

Amplification Rate, Site traffic, Traffic Sources, and Unique visitors. These are primary research

which can be conducted through the following tools: Google Correlate, Google Trends

Intelligence, Ad words Keyword Tools and Google Analytics for data analysis. Other primary

research that can be conducted include surveys, personal interviews such as private chat rooms

and video calling to know how well the consumers are aware of the Bosch Tools brand .

To improve the sales process we need quantitative data (secondary research) such as numbers,

figures and statistics and monitor specific KPI’s that are inherently connected with the sales

process like Return on Investment (ROI) and Return on Ad Spent (ROAS) and analyze the

Conversion Funnel of the Grainger.com website (Figure 20). It can also be combined with

surveys into certain sample segment (like Bosh tools buyers) to enrich our data with useful

insight.

Figure 20: A funnel showing the outcome of Brand Awareness

Let us assume that some of the research might be on Grainger or Bosch web properties, the

measures to be taken to ensure that the research methodology does not hamper the user

experience include the use of various tools online that will not affect the users' experience. For

example, for conducting personal interviews we can use tools like private chat rooms or video

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calling. Online observation or ethnography is another method that can be used. We can also

look at online research communities. These are great tools for secondary research data and can

also be used to gather primary research data: We have blogs, social media and other channels

which can be used to ask consumers questions about a particular problem or topic. Also,

listening labs can be set up to test apps and websites. Consumers use the new site or app and

are observed in doing so. Also, Conversion Optimization can be used in listening or watching,

from search advertisements to email subject lines and online shopping cart design. Tests can be

set up to determine what variables are affecting that conversion rate

Let us consider a campaign or study via the use of Email Digital Marketing Channel. We can

observe the impact of emails in marketing the Bosch Power Tools and related products. The

recommended test plan:

8.0.1. Define your hypothesis

The email objectives might be defined by:

Opens

Clicks

Purchases

Revenue

Unsubscribers

Our influential factors could include anything from:

Day of the week the email is sent

Week of the month the email is sent

Subject line length

Keywords in the subject line

Types of content

Message frequency

Email design and images

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8.0.2 Mine Bosch Power Tools historical data

The historical data contains a wealth of information that will help in achieving the test

objectives.

8.0.3 Design our test plan

The next stage is to set out the test methodology. We can carry out A/B-split tests, multi-

variant tests, or test-and-send? We can develop a test plan that entails making small, regular

changes to the campaign. Once we have prioritized our test factors, we will need to define our

sample size. This will dictate how many factors can be tested each week, month and year.

Efficiencies in the testing process can be achieved by using dynamic content, personalization or

triggered campaigns based on a date field in the data.

8.0.4 Deploying our campaigns Having taken any resource constraints into account during the planning stages, we can now

deploy our campaigns using the schedule we have produced in our test plan. We can develop a

naming structure for the test campaigns, which will ensure our post-campaign analysis will be

as easy as possible.

8.05 Analyzing our results

We can wait for a month, depending on the subscriber purchasing patterns. We can use the

original hypothesis as the benchmark for analysis - and conversely the process of analysis might

cause us to question some of our thinking in the hypothesis. And so the process goes full circle.

The results from each of the tests can now be used to fine-tune the hypothesis, give us fresh

ideas for looking into our historical data and possibly re-prioritize the test plan.

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9.0 Recommendations

If the plan in this digital marketing campaign is well implemented, the goal of increasing Bosch

Tools sales by 10% on Grainger.com will definitely be achieved and surpassed. I recommend

that the specific KPI’s that are inherently connected with the sales process like Return on

Investment (ROI) and Return on Advertising Spending (ROAS) are well monitored and the

Conversion Funnel of the Grainger.com website is well analyzed. There should be more focus

on the types of incentives given during the display advertising and email campaigns and how

the customers are responding to this campaign should be reviewed periodically, either weekly

or monthly for optimal performance.

Total Words Count: 3926 Word

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10.0 References:

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http://www.alexa.com/comparison/grainger.com

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3. Analyzed Analysis of tweets from Grainger (942 most recent words - (2016, Jul. 6) Retrieved

from http://www.analyzewords.com/index.php

4. Avinash Kaushik.(2006, May 22) Occam's Razor. Experimentation and Testing: A Primer.

Retrieved from

http://www.kaushik.net/avinash/experimentation-and-testing-a-primer/

5. Avinash Kaushik (2010, Feb. 22) Occam's Razor. The Definitive Guide To (8) Competitive

Intelligence Data Sources!

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practices/

6. Avinash Kaushik. (2011, Oct 10). Occam's Razor. Best Social Media Metrics: Conversation,

Amplification, Applause, Economic Value

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amplification-applause-economic-value/

7. Bret Kershner. (2015, July, 24) Marketer Gizmo. Retrieved from

http://www.marketergizmo.com/the-definitive-guide-to-doing-a-brand-awareness-study/

8. Business Wire. (2016, Jul.30). Research and Markets: Power Tools Market in Europe 2015-

2019 with Bosch, Makita, Stanley Black & Decker & Techtronic Industries Dominating. Retrieved

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Tools-Market-Europe-2015-2019

9. Carly Stec. (2015, Sept 25) Hubspot- Where Marketers go to Grow. 20 Display Advertising

Stats That Demonstrate Digital Advertising's Evolution. Retrieved from

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stats#sm.00191ydep1b9feb3swa1gvebd4qdo

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Retrieved from http://centreforaviation.com/profiles/hot-issues/mro---maintenance-repair--

overhaul

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differences-methods.html

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%2Fm%2F03_byc%2C%20%2Fm%2F04f5kvw&cmpt

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reduce-b6.

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21. Ilana. (2015, Jan. 31). Retargeter Blog. 8 Best Practices For Running a Retargeting Campaign.

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