“Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

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www.daraz.pk www.daraz.pk Measuring Return On Investment on Online Marketing Spend

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This presentation was shared on PAS Digital Marketing Conference "Dig-It 2.0" Session name: e-Retail Start-ups – Implications on Brand Marketing Presentation: Measuring ROI on Online Marketing Spend Speaker: Muneeb Maayr, Co-Founder, Daraz.pk , Pakistan

Transcript of “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

Page 1: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

www.daraz.pkwww.daraz.pk

Measuring Return On Investment on Online

Marketing Spend

Page 2: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

www.daraz.pk

Page 3: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

www.daraz.pk

Still doesn’t know me

Millions spent on Billboards, TV & Print

Page 4: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

www.daraz.pk

Who am I?

Name Muneeb Maayr

Age 34

Addresses Karachi & Islamabad

Cellphone Mobilink

Email Gmail

Spending Power Rs. 3,000 / transaction

Customer Lifetime Value ?

Page 5: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

www.daraz.pk

What we do

Daraz.pk

Target Market 27 million internet users

Advertising Channels Google Display

Google Search

Facebook RHS & Sponsored Stories

Email & Facebook Timeline

Core Expertise MEASUREMENT of Customer Acquisition Cost

Page 6: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

www.daraz.pk

The Customer Acquisition Cycle….1

The Customer Acquisition cycle starts with an ad impression and runs all the way through to a new customer generating revenue

Landing PageCPCCTRImpressions

Impressions is the number of times your

ad is displayed

Click Through Rate

measures the proportion of visitors who

clicked the ad

Cost Per Clickmeasures

what cost you incurred for the clicks to

your site

Landing PageA SEM, GDN or Facebook

ad could land on the same

page but have different costs

Page 7: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

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Landing Page

Category Page

Product Page

Cart

The Customer Acquisition Cycle….2

Conversion!

Funnel trickles further

As we measure heat maps

Page 8: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

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CLVCACCIRNet of Invalids

Attribution ModelingConversion

Conversion Customers

who end up committing to

buy

Attributionmeasures the % allocation of cost to ad

channels based on

customer click history

InvalidsCustomers

who end up cancelling or

not paying are excluded

Cost Income Ratio

is a measure of the

efficiency of your online advertising(The lower the better)

Customer Acquisition

Costis the cost incurred to acquire a

NEW customer

Customer Lifetime

ValueAccumulated profit times

an assumption

on repurchase net of CAC

The Customer Acquisition Cycle….3

Page 9: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

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Current Market Limitations

Local Publishers are lured by CPM (cost paid per 1000 impressions) by Multinationals that are burning ad money for “billboard space”

Digital ad companies in Pakistan are not linking conversions and failing to meet the advertisers conversion goal

Daraz will solve two problems in the industry by November:

1. Get brands to have a store where they can actually sell

2. A separate advertising entity to help multinationals advertise ONLINE with knowledge and measurement and not in the dark

Page 10: “Measuring ROI on Online Marketing Spend” by Muneeb Maayr, Co-Founder, Daraz.pk

www.daraz.pk

THANK YOU!

Please contact for further details:

Muneeb Maayr | Co-Founder | Daraz.pk 6/A, 6th Floor, Executive Tower, Dolmen City, KarachiMobile: +92 300 8555428 | Email: [email protected] Skype: muneebi | LinkedIn: linkedin.com/in/muneeb1

Shamail Wasi | Manager Marketing | Daraz.pk 6/A, 6th Floor, Executive Tower, Dolmen City, KarachiMobile: +92 346 8202077 | Email: [email protected] Skype: shamailwasi | LinkedIn: linkedin.com/in/shamailwasi