“MIS
677 E-Commerce Spring 2015
Assignment
2 – 10 Points
Due by end of day US CST Sunday, July 19, 2015

Reference Chapter for Assignment 2: Chapter 6: E-Commerce Marketing and
Advertising Concepts

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Use the above Online Consumer Purchasing Model and information
provided to assess the effectiveness of an e-mail marketing campaign for a
small-sized e-commerce company focused on sales of trendy apparel to the ages
18-26 young adult market in the United States.

For this e-mail marketing campaign:
The company purchased and used 100,000 e-mails @ 25 cents cost per e-mail
address.
The expected clickthrough rate is 15%
The conversion to customer rate is 10%
The loyal customer retention rate is 25% (for the
purpose of this e-mail marketing campaign assume that a loyal customer makes
two purchases).
The average sale is $60.00
The profit margin is 50%

Answer/Respond to the following:

1.
Does
this e-mail marketing campaign produce a profit? (Must show all work to support
answer to receive credit).

2.
Suggest
some specific ways to increase the response rate to this e-mail marketing
campaign.

3. Are e-mail marketing campaigns effective? If not, why
not? If yes, why are they effective and which specific types of e-mail
marketing campaigns are most effective?MIS
677 E-Commerce Spring 2015Assignment
2 – 10 PointsDue by end of day US CST Sunday, July 19, 2015Reference Chapter for Assignment 2: Chapter 6: E-Commerce Marketing and
Advertising Concepts.0/msohtmlclip1/01/clip_image002.jpg””>Use the above Online Consumer Purchasing Model and information
provided to assess the effectiveness of an e-mail marketing campaign for a
small-sized e-commerce company focused on sales of trendy apparel to the ages
18-26 young adult market in the United States.For this e-mail marketing campaign:The company purchased and used 100,000 e-mails @ 25 cents cost per e-mail
address.The expected clickthrough rate is 15%The conversion to customer rate is 10%The loyal customer retention rate is 25% (for the
purpose of this e-mail marketing campaign assume that a loyal customer makes
two purchases).The average sale is $60.00The profit margin is 50%Answer/Respond to the following:1.
Does
this e-mail marketing campaign produce a profit? (Must show all work to support
answer to receive credit).2.
Suggest
some specific ways to increase the response rate to this e-mail marketing
campaign.3. Are e-mail marketing campaigns effective? If not, why
not? If yes, why are they effective and which specific types of e-mail
marketing campaigns are most effective?”