Size of the Belgian digital consumer spending (2014)

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Presentation transcript:

Boosting the Belgian online economy Answer template Team name University Capt. Team Captain University TM 2 Team Member 2 University TM 3 Team Member 3 University TM 4 Team Member 4

Size of the Belgian digital consumer spending (2014) Sizing and evolution of digital consumer spending Digital consumer spending estimated at € ... B in 2014 Digital consumer spending grew by ~...% between 2011 and 2014 Size of the Belgian digital consumer spending (2014) Evolution of digital consumer spending in Belgium between 2011 and 2014 (B€; 2014) Digital consumer spending (B€) €... B €... B €... B + ... % Source: .........

I Sizing and evolution of digital consumer spending Average online spend. per e-shopper must grow at ...% per year for 5 years to catch up the current average of NL and FR Average online spending per e-shopper (k€) €...k €...k €...k €...k €...k €...k + ... % Source: .........

Online shop no marketing II Business case of an online shop An online shop would reach an EBIT of €... (...% of Net Sales) without putting specific marketing efforts in place Year 1 P&L item (€) Online shop no marketing Net sales ... Delivery fee Shrink COGS Manufacturing employee Raw material Production facility Gross margin SG&A Selling & logistics Cashier cost Delivery costs Marketing Marketing online Other marketing IT Payment system Subscription Fee per transaction Others EBIT # orders: ... Average basket value: €... Fixed costs: €... Variable costs: €... Source: .........

II Business case of an online shop The online shop should spend €... per year on Google AdWords to grow its client base by ... new customers The optimal spending on online marketing is €... per day At this spending level, the client base will increase by ... customers For the optimal spending per day, please provide the following drivers... This in turn translates into the following input for question 3... (+) (-) (=) Daily revenues: €... Daily COGS: €... Daily spend. on Google AdWords: €... Daily profit: €... Annual # of clients from campaign: ... Annual online marketing spend. : €... Source: .........

Online shop with mkting II Business case of an online shop An online shop would reach an EBIT of €... (...% of Net Sales) following the Google AdWords campaign Year 1 P&L item (€) Online shop with mkting Net sales ... Delivery fee Shrink COGS Manufacturing employee Raw material Production facility Gross margin SG&A Selling & logistics Cashier cost Delivery costs Marketing Marketing online Other marketing IT Payment system Subscription Fee per transaction Others EBIT # orders: ... Average basket value: €... Comparing the online shop profitability without and with an online marketing campaign, you can say that... Source: .........

III Initiatives for Google to support the BE online economy Recommendations should be to help Google in supporting SMEs to successfully bring their businesses online Qualitative Idea #1 Idea #2 Idea #3 Description of idea #1 Description of idea #2 Description of idea #3

Optional back-up slide to elaborate on your ideas III Initiatives for Google to support the BE online economy Backup Optional back-up slide to elaborate on your ideas Optional