Assignment Instructions:
Was the campaign effective? Did additional consumers convert as a result of the ad campaign?
Was the campaign profitable? BACK THIS UP WITH THE FOLLOWING CALCULATIONS
How much money did TaskaBella make by running the campaign?
What was the cost of the campaign?
Calculate the ROI of the campaign.
What was the opportunity cost of including a control group?
How did the number of impressions seen by each user influence the effectiveness of advertising? BACK THIS UP WITH THE FOLLOWING CALCULATIONS
Create a chart of conversion rates as a function of the number of ads displayed to users. Plot conversion rates for those who were in the control group and for those who were exposed to the ad. Then group together the number of impressions as necessary to obtain a meaningful plot. (Conversion rate means the percentage of unique visitors who make a purchase). For example, you may want to group the impression intervals as 1-10, 11-20,....201-210 as plotted in the sample below,
What can you infer from the charts? In what region (i.e., impression frequency intervals) is advertising most effective?
What do the above figures imply for the design of the next campaign assuming that consumer response would be similar?
How does consumer response to advertising vary on different days of the week and at different times of the day? BACK THIS UP WITH THE FOLLOWING CALCULATIONS
Create a chart with the conversion rates for the control group and the exposed group as a function of the day of week when they were shown the most impressions.
Create the same chart for hours within a day (excluding the period between midnight and 8 AM).
What days/hours is advertising most/least effective?