Effective Online Marketing Strategy for Active Feet

The assignment content discusses the budget allocation plan for Active Feet's online marketing campaign to increase its sale and profit over the next year. The company has a total budget of $2 million, which will be allocated among various online platforms such as email marketing, social media, mobile marketing, event sponsorship, video development, and content creation. The plan aims to reduce investment in traditional marketing tools like print media, television, and radio marketing, as these methods are not yielding desired results with the target audience of young people. The success measures for the campaign include financial viability, customer satisfaction, employee satisfaction, and planning. Key performance indicators such as profit, cost, and customer lifetime value will also be tracked to evaluate the effectiveness of the campaign.

Running head: PRINCIPLES OF ADVERTISING
Principles of Advertising
Name of the Student
Name of the University
Author note

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PRINCIPLES OF ADVERTISING
Executive summary
Active Feet is a footwear company in Melbourne and has its stores all over the city. It has been
growing for providing exclusive footwear fitting service to the customer with its technology. The
objective of the paper is to frame an advance advertising campaign for Active Feet. This is
because the company is recently experiencing a downfall in its revenue due to lack of brand
recognition and marketing strategy of the company. The company should take up the most
modern online marketing campaign to mark its recognition among the customers. Further, it has
taken up a streamline targeting strategy to target its customer and save the company from high
cost. The brand will target the young and sport enthusiast customer as they are the one that loves
wearing sport shoe and are active in online website. Moreover, through their campaign it will
convey the message to the consumers that the type of shoes they produce is not only for sport
person. Any youngster can use it for various purposes. The company for campaign activity has
decided online sites because it is one of the most growing marketing tools in today’s world.
Moreover, it is the easiest way in which the brand can show videos and acts for presenting its
product more nicely to the customer. It also helps to give various other opportunities and
advantages to the company such as better customer relationship, to demonstrate expertise, better
targeting opportunity, no geographic limitation and it is less costly than the traditional methods
used by the company in the past. The company can easily acquire all these advantages after
taking online advertising campaign. Customers too have developed a behavior of using online
platform for much of its activities. While taking up the online campaign the company can also
develop their own online site through which it can sell their products to the customers and
highlight their new arrivals. The most important credential of the campaign is its budget because
without a proper finance and backup the company cannot execute their plan properly. Budget

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includes the money or finance the company needs to invest in order to use the online marketing
tool and get benefits from it. Active Feet has decided to invest a total of $2 million money for the
online marketing campaign. Along with online marketing, the company will also take part in
events other than sport events to let people have a different picture for their product. The budget
has thus been designed for both online marketing and event sponsorship activity. Further, some
success measure and key performance indicators have been decided for evaluating the marketing
plan of Active Feet. The key success measure of Active Feet is financial viability, maximum
customer satisfaction, maximum brand recognition and maximum social benefit. The key
performance indicators of the campaign activity taken up by the company are profit, increase in
per day sale, customer retention rate and increase in demand.

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PRINCIPLES OF ADVERTISING
Table of Contents
Budget allocation.............................................................................................................................4
Evaluation criteria and Conclusion..................................................................................................6
Key Performance Indicators........................................................................................................7
References........................................................................................................................................9

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PRINCIPLES OF ADVERTISING
Budget allocation
A budget is termed as a financial statement of a company in which it plans its estimated
revenue and its expenditure in a year. It also plans the budget the company wants to invest in the
campaign or a project to get potential benefit from it. It is thus much more than just an
accounting tool. This is because it also helps the company to plan and manage its fiancé over the
year. Moreover, the company can also estimate it profit and loss at the end of the year after
looking at its budget plan. Budget allocation on the other hand is the way of allocating or
distributing the total budget available among various credentials and work designated to achieve
the actual motive of the project (Geyik et al. 2014).
The budget allocation provided here gives the allocation of the financial of Active Feet to
carry out its online marketing work effectively. It will divide the total budget of the company $2
to $2.5 million among various variable that will help them to achieve the maximum success from
the campaign.
Items Budget Allocation (in $) Decreasing Spend (in $)
Email Marketing 50,000
Social Media 50,000
Online Advertising 150,000
Mobile Advertising 50,000
Event Sponsorship 500,000
Video Production 500,000
Content Creation 200,000
Radio Advertising 200,000 -100,000
television Advertising 200,000 -200,000
Print Advertising 100,000 -200,000
Total 2,000,000
Figure: Budget Allocation

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PRINCIPLES OF ADVERTISING
Source: Author Creation
Email Marketing
Social Media
Online Advertising
Mobile Advertising
Event Sponsership
Video Production
Content Creation
Radio Adevrtising
television Advertising
Print Advertising
50,000
50,000
150,000
50,000
500,000
500,000
200,000
200,000
200,000
100,000
-100000
-200000
-200000
Budget Allocation For One Year For Active Feet
Decreasing Spend (in $) Budget Allocation (in $)
Figure: Budget Allocation
Source: Author Creation
The above figure shows the budget allocation of Active Feet for its advertising campaign
in the near future. The company has a total budget of $2 million within which it will allocate its
finance among various sources of advertising tools. It can be seen that the company will allocate
$ 50,000 in each of its marketing tools such as email marketing, social media and mobile
marketing (Vinerean et al. 2013). However, it will invest $500,000 in event sponsorship and
video development. Further $200,000 will be invested in content creation, radio advertising, and
television advertising (Lupiáñez-Villanueva et al. 2016). However, the company will also
decrease the investment on traditional way of marketing sic as print media, television marketing
and radio marketing. This is because the company used these tools previously and witnessed that

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it is not earning them any increase in sale at present. This is because the type of footwear the
company offers are mainly used by youngsters and at present the young generation are very
much engaged in online platform rather than using traditional tools such as reading newspapers,
listening to radio and others. In fact radio is not used by the new generation on a daily basis.
Only the old generation prefers to listen to radio every day. The brand can put adds only on radio
channels playing songs which still has some young traffic listening to them. Thus, the budget
plan presented above will also help the company to analyze its sale and profit at the end of the
year. This in turn will help them know the achievement of the online advertising campaign the
company should take to increase the sale (Tuten and Solomon 2014).
Evaluation criteria and Conclusion
To achieve full success and utilize the marketing campaign planned above the company
also needs to outline the success measures to be taken and the key performance measures that
will help the company to know the success of the campaign they are taking for the growth of the
company (D’Amico et al. 2017). Some of the key success measure of the company can be:
 First if the financial viability, which will help the company to measure its financial
condition and the growth in its finance from the online campaign, it is taking for sale
growth.
 Second is the customer satisfaction, which is the most important success measure as the
company taken up new plan only with the aim to satisfy its customers. Thus by the
amount of customer satisfaction the company will be able to measure the success of its
campaign as well (Perrin 2015).

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PRINCIPLES OF ADVERTISING
 Third is the employee satisfaction, which is yet another important duty of the company as
it is only through good customer the company is able to carry out the campaign. Thus, by
offering good salaries to employee and the satisfaction level in them the company can
measure the success of its campaign. This is because the employees will be the active part
of the campaign.
 Planning is yet another way a company can measure its success. This is because by
proper planning the company can track the completion of the targeted task and the
movement of the campaign. Thus, allowing the company to track its success as well.
Key Performance Indicators
Along with the key success measures, the company also needs to indicate its key
performance indicators to know the way it is performing in the market (Parmenter 2015). Some
of the important key performance indicators of the online marketing campaign put forward by
the company is:
 Profit is the first indicator as it is the most important factor that influences the motive of
the company to take any further investment in on the online marketing tool.
 Cost is yet another important KPI as it shows the ability of the company to manage its
cost for the campaign with the aim to earn maximum profit. It is the way the company
manages the operation of the business (Ruths and Pfeffer 2014).
 Customer Lifetime Value is also important along with the other two indicators because
customer is the asset of eh business and they help the company to measure its value in the
market.

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Thus, form the above analysis it can be concluded that Active Feet should take up online
marketing platform for increasing its sale and profit over the next one year. This is because
online marketing tool is being widely accepted by customers especially the young generation that
the company wants to target over the next few years. For the purpose a budget allocation is made
for the company with the total financial investment of $2 million over various online platforms.
Some of the financials from the traditional tools has been cut down to meet the budget. Further
some key success indicators and key performance indicators have been offered for the company.

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References
Vinerean, S., Cetina, I., Dumitrescu, L. and Tichindelean, M., 2013. The effects of social media
marketing on online consumer behavior. International Journal of Business and
Management, 8(14), p.66.
Lupiáñez-Villanueva, F., Gaskell, G., Veltri, G.A., Theben, A., Folkvord, F., Bonatti, L.,
Bogliacino, F., Fernández, L. and Codagnone, C., 2016. Study on the impact of marketing
through social media, online games and mobile applications on children's behaviour.
Geyik, S.C., Saxena, A. and Dasdan, A., 2014, August. Multi-touch attribution based budget
allocation in online advertising. In Proceedings of the Eighth International Workshop on Data
Mining for Online Advertising (pp. 1-9). ACM.
Tuten, T.L. and Solomon, M.R., 2014. Social media marketing. Sage.
Parmenter, D., 2015. Key performance indicators: developing, implementing, and using winning
KPIs. John Wiley & Sons.
D’Amico, F., D’Amico, F., Mogre, R., Mogre, R., Clarke, S., Clarke, S., Lindgreen, A.,
Lindgreen, A., Hingley, M. and Hingley, M., 2017. How purchasing and supply management
practices affect key success factors: the case of the offshore-wind supply chain. Journal of
Business & Industrial Marketing, 32(2), pp.218-226.
Perrin, A., 2015. Social media usage. Pew Research Center.
Ruths, D. and Pfeffer, J., 2014. Social media for large studies of behavior. Science, 346(6213),
pp.1063-1064.