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Full MBA Course : Marketing

Marketing
Analyzing Business
Information
Consumer analysis
System
Customer Insights

Customer Insights identify the unique buyer’s journey.

For example, one study shows that 8 out of 10 millennials do not buy anything without
reading reviews on the product first.

Which channels, tactics, and content types resonate most with them.

How they need to be nurtured throughout the funnel.

How many (or few) touchpoints are needed for them to ultimately convert.

What offers/promotions will drive micro-conversions to keep your funnel full.


Generation charcatersitics

• Tech savvy.
Gen Z • High disposable income.

• Tech aware-Adoption curve.


Millennial • Spent Wisely.

• Late adopter.
Gen X • Spent very less.

• Traditional Approach.
Baby boomers • Rarely spent on anything.
Analyze Generation based on adoption
How generation consume the content
You are the Marketing Manager for these products

Robot University
Suitcase Fitness Apparel Knee cap Management
E-commerce
software
You are the Marketing Manager for these products
Segment Target

Robot
Suitcase

Fitness Apparel
E-commerce

Robot
Suitcase

University
management
software
Customer Insights

Marketing Marketing Funnel Unit economics


channels

UE = LTV/CAC
UE = Unit Economics
LTV = Life time value
CAC = Customer Acquisition cost
Marketing channels

Search Micro
Social media campaigns
Marketing influencers

Influencers Mega
Search Marketing Influencers
Engine ads
Internet
Marketing SEO
Content
Marketing

SEM
E-mail
Marketing
Understanding the market trend
Physical Store Sales By
Generation Facebook Sales By Generation

10% 12%
25%
31%

31% 29%

34%
28%

Gen Z Milennials Gen X Baby Boomers Gen Z Milennials Gen X 4th Qtr

Both Millennials and Gen Z spend the majority of their


shopping dollars on products they find on Instagram and
Snapchat.

https://www.bigcommerce.com/blog/omni-channel-retail/#where-consumers-shop-online
Instagram marketing

Mega
Influencers
Influencers
Micro
Instagram influencers
Marketing
Ad Sponsored
campaigns post/Story
Instagram marketing

• Kylie Jenner have 183 Million


followers
Mega • $1 million per 2 sponsored post.
influencers • Reach of 10 million
• Assumption - Conversion of 0.5 %

Micro
• Jen Selter have 12 Million
Influencers followers
• $ 40k per 2 sponsored post.
• Reach of 600k people.
• Assumption – Conversion of 3%
Instagram marketing
Investment = $1 million
Conversion = 10 million *0.01=100k
• Kylie Jenner have 183 Million
Mega followers
Product margins = $12
influencers • $1 million per 2 sponsored post. Net Revenue = $12*100k = $1.2 Million
• Reach of 10 million
• Assumption - Conversion of 1 % Net Profit = $1.2 M - $1M = $200k

Investment = $40k
• Jen Selter have 12 Million Conversion = 600k *0.04=24k
Micro followers Product margins = $12
Influencers • $ 40k per 2 sponsored post.
• Reach of 600k people. Net Revenue = $12*24k = $288 k
• Assumption – Conversion of 4% Net Profit = $288k - $40k = $248k
Let’s discuss IAAS,PAAS and SAAS
Why SAAS is special

Client Benefits:-
SAAS is fast and Secure.
No maintenance security patch and
update.
Device and user Flexible

Horizontal
SAAS
Vertical SAAS Benefits of building SAAS:-
• Low Marginal Cost.
• High Profit Margins.
• Easy to scale(Scalability)
• Reoccurring revenue.
You are marketing manager at Parashoot.Io
Parashoot.io makes University management SAAS Product

Onboarding Staff Management


• Lead Nuturing • Staff attendance Library
• Registration. • Staff Salary Management

Student Mess and cafeteria


Information system • Mess Menu
Gate security and
• Events GPS tracking • Ordering feature and
• Study material and Timings
Teacher interaction.
Understanding Unit economics for SAAS

ARPU = (Monthly Revenue / Users)


ARPU (average revenue per User)
CR = (the number of stopped paying / paying users)*100
CR (Churn Rate)
ALC = 1 / churn rate.
ALC (Average Lifetime of a Customer)

CAC (Customer Acquisition Cost) CAC = (budget for advertising / the number of
paying customers attracted to it)

COGS (Cost of goods sold) COGS = (hosting + salary of a support or accounting


(Manufacturing the product excluding team + any cloud solutions like mail / gitlab) /
salaries, advertisement) number of paid clients

LTV (Lifetime value) LTV = ARPU x ALC

AC = monthly revenue / transactions


AC (Average Check)
Parashoot UMS Unit Economics Hypothetical example

Parashoot.io who makes UMS acquire customer in $ 2000 with a churn rate of 10%
per year and Product price is $100 month with 70% of profit margin. Calculate CLV
and profits?

Retention rate =1/Churn


rate=1/10=10Years

Life time Value


LTV=$100x12x10=$12,000

Customer Life time value


CLV=$12,000*0.70=$8400

Acquisition cost=$2000

Gross profit=$8400-$2000=$6400
The Marketing Funnel

The Marketing Funnel/Sales funnel or Conversion


funnel
Nurturing a stranger in the funnel to become a
customer

• Awareness: Someone notice your products or


business.
• Interest: They look at your product for a while.
• Evaluation: decided to find out a bit more about
you.
• Intent: Visit some resources or website
• Evaluation: Look at your product and analyze it.
• Adoption: Finally decided to become customers.
The Marketing Funnel
What is Marketing Intelligence system?

Understanding the customer is the utmost important aspect of any


business.

• Turning data analysis insights into action


• Target your customers based on interest, behavior and past
purchase
• Forecasting demand to make decision like Plan to order and
Make to order.

Algorithms are build over the top of


data
Types of data MIS needs to work?
Engagement
Personal Data Behavioural data
data
• Full name • App Installed • Heat Map
• Physical • Cache and • Sentiment
address Cookies Analysis
• Email address • Traffic
• Login details resources
• Social security • Usage time
number.
• Credit/debit
card details
• Date of birth
• Phone number
Data driven recommendation engine
Name - Mike
Education – Life Science

Blue Ocean The Lean Startup Zero to One


Strategy

Name - Sophie
Education – MBA
Data driven recommendation engine
Name - Mike
Education – Life Science

The Lean Startup Zero to One


Blue Ocean
Strategy
How does a recommendation engine works ?
35% of Amazon.com revenue is generated by its recommendation engine

Content-Based Filtering Hybrid Recommendation Systems


Collaborative filtering
Advance recommendation engines

Item Vector
• Genre
• Cast
• director

Profile Vector
• Likes
• Dislikes
• Rating

Product Clustering
Euclidean distance
Pearson correlation
Regression analysis
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