The financial model behind a portal marketing plan

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For obvious reasons the ‘Marketing Plan’ is important to the accuracy of the entire business. Without an audience our example business will not work. In-fact, without a suitable audience, no online business will work.

The worksheet consists of a monthly matrix for the entire duration of the model. In the example case its 60 months. These months are then separated into blocks of 12, as per years. It will be easier to do this last of all so as speed up the development of the model.

The plan then features what we will call ‘Group Spend Variables’, covering each and every marketing spend, per month, minus headcount. The variables include the following:

  • GOOGLE ADWORDS
  • BING
  • YAHOO
  • OTHER PPC
  • TWITTER
  • GOOGLE DISPLAY NETWORK / REMARKETING
  • FACEBOOK ADS
  • STUMBLEUPON
  • LINKEDIN
  • NEW INITIATIVES
  • OTHER TRAFFIC SOURCES
  • LEAD GENERATION

Once we have set the (initial) breakdown monthly budget spend for the above we then look at the audience variables. These consist of the following:

  • ORGANIC MONTHLY GROWTH RATE *
  • GENERIC SOURCE – PAGE VIEWS PER VISIT
  • GOOGLE ADWORDS – PAGE VIEWS PER VISIT
  • FACEBOOK – PAGE VIEWS PER VISIT
  • GOOGLE DISPLAY – PAGE VIEWS PER VISIT
  • STARTING VISITS – GROUP
  • CONTENT MARKETING – VISITS PER ARTICLE
  • CONTENT MARKETING – COST PER ARTICLE

* With the ‘Organic Monthly Growth Rate’ number it will be worth including seasonality in the numbers.

Additional variables relating to audience are also needed so the model should include the following. Add/edit/delete where needed depending upon the desired spend:

  • AVERAGE CPC – ADWORDS
  • AVERAGE CPC – FACEBOOK
  • AVERAGE CPC – BING
  • AVERAGE CPC – YAHOO
  • AVERAGE CPC – GOOGLE DISPLAY
  • AVERAGE CPC – OTHER
  • CPC – STUMBLEUPON
  • AVERAGE BANNERS PER PAGE

By implementing these variables we can garner the ‘Group Spend Results’ data, broken down by month.

  • PRESS RELEASES
  • EMAIL BROADCASTING
  • GOOGLE ADWORDS
  • YAHOO SPEND
  • BING SPEND
  • TWITTER SPEND
  • OTHER PPC
  • CONTENT MARKETING
  • STUMBLEUPON
  • LINKEDIN
  • OTHER TRAFFIC CAMPAIGNS
  • LEAD GENERATION
  • FACEBOOK ADS
  • GOOGLE DISPLAY NETWORK
  • HOOTSUITE
  • CRM LICENSE
  • NEW INITIATIVES
  • TOTAL SPEND

Additionally, we also get a prognostication of the monthly traffic numbers:

  • UNIQUE BROWSERS
  • VISITS
  • PAGE VIEWS
  • PAGE VIEWS PER USER
  • BANNER IMPRESSIONS

Now we have completed the Marketing Model worksheet, lets move on to the next model in this series, the Contributor Payment Model, where we will investigate the editorial cost and benefits of a new financial model:

  • Outline and Results page
  • Monthly Travel
  • Individual Subscriptions Model
  • Corporate Subscriptions Model
  • Report Sales Model
  • Advertising Sales Model
  • Marketing Plan and Model
  • Contributor Payment Model
  • The HR, Assorted Costs and Budget Detail Pages
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