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    Days Roasaroasbcostofa Cost of B

    Uploaded by

    Seema Behera
    The document analyzes different advertising investment strategies over various time periods to maximize return on ad spend. It uses an Excel solver model with constraints to determine the optimal strategy is to initially invest in Keyword A for 195 days, then reinvest those returns in Keyword B for the next 545 days.

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    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd

    Days Roasaroasbcostofa Cost of B

    Uploaded by

    Seema Behera
    14 views3 pages
    The document analyzes different advertising investment strategies over various time periods to maximize return on ad spend. It uses an Excel solver model with constraints to determine the optimal strategy is to initially invest in Keyword A for 195 days, then reinvest those returns in Keyword B for the next 545 days.

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    Digital marketing

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    The document analyzes different advertising investment strategies over various time periods to maximize return on ad spend. It uses an Excel solver model with constraints to determine the optimal strategy is to initially invest in Keyword A for 195 days, then reinvest those returns in Keyword B for the next 545 days.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
    14 views3 pages

    Days Roasaroasbcostofa Cost of B

    Uploaded by

    Seema Behera
    The document analyzes different advertising investment strategies over various time periods to maximize return on ad spend. It uses an Excel solver model with constraints to determine the optimal strategy is to initially invest in Keyword A for 195 days, then reinvest those returns in Keyword B for the next 545 days.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
    of 3

    Days ROAS A ROAS B Cost of A Cost of B

    1 0.8 0.5 30 70
    7 0.9 0.6 210 490

    15 1.1 0.7 450 1050


    30 1.3 0.8 900 2100
    60 1.5 0.9 1800 4200
    90 1.7 1 2700 6300

    180 1.85 2.5 5400 12600


    365 2 5 10950 25550

    Days Return A Return B impression A impression B


    1 24 35 167 0
    7 189 294 24 0
    15 495 735 11 0

    30 1170 1680 6 0

    60 2700 3780 4 0

    90 4590 6300 4 0

    180 9990 31500 0 1

    365 21900 127750 0 2

    195
    545

    10/20/2020 AXP Internal 1


    I solved it using excel solver Constraints:
    Formulae used are Cost* ROAS <
    Reinvesting
    Roas=return/ cost budget =
    Cost=Number of appropriate clicks*CPC
    Number of clicks= CTR* Number of impressions according to budget
    Keeping the impressions variable
    and objective is to show the most profitable investment
    to maximize the return

    Return
    4000 Return is less than Cost so we will not invest on this plan Goal To maximize Return on c
    4500 Return is less than Cost so we will not invest on this plan Constraint:
    5500 We will start investing in a 15 days plan on Keyword A 5000 =
    We will reinvest the return from the 15days plan in the
    7150 next 30 days 5000 =
    We will reinvest the return from 30 days plan and in the
    10725 next 60 days 5000 =
    We will reinvest the return from 60 days plan and in the
    18232.5 next 90 days 5500 =
    The return from the last 90 days will be invested in
    45581.25 keyword B for 180 days 7150 =
    The return from the last 180 days will be reinvested in
    227906.25 keyword B for 365 days 10725 =
    18232.5 =
    So, Invest in keyword A is for 195 days 45581.25 =
    And keyword B for next 545 days

    10/20/2020 AXP Internal 1


    Return

    Return from the previous period

    To maximize Return on cost incurred

    5000

    4000

    4500

    5500

    7150

    10725
    18232.5
    45581.25

    10/20/2020 AXP Internal 1

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