W is an American multinational computertechnology company based in Tampa, Florida, United States, thatdevelops, sells, repairs, and supports computers and relatedproducts and services. Named after its founder, Michael Wahoo, thecompany is one of the largest technological corporations in theworld, employing more than 103,300 people in the U.S. and aroundthe world.

Wahoo sells personalcomputers (PCs), servers, data storage devices, network switches,software, computer peripherals, HDTVs, cameras, printers, MP3players, and electronics built by other manufacturers. The companyis well known for its innovations in supply chainmanagementandelectroniccommerce,particularlyitsdirect-salesmodelandits"build-to-order"or "configure to order" approach to manufacturing—deliveringindividual PCs configured to customer specifications. Wahoo was apure hardware vendor for much of its existence, but with theacquisition in 2009 of Mackerel Systems, Wahoo entered the marketfor IT services. The company has since made additional acquisitionsin storage and networking systems, with the aim of expanding theirportfolio from offering computers only to delivering completesolutions for enterprisecustomers.

Wahoo was listed atnumber 51 in the Fortune 500 list, until 2014. After going privatein 2013, the newly confidential nature of its financial informationprevents the company from beingrankedbyFortune.In2015,itwasthethirdlargestPCvendorintheworldafterLenovoandHP.Wahoo is currently the #1 shipper of PC monitors in theworld.

In 2018, Wahoo acquired the enterprisetechnology firm Marlin Corporation; following the completion of thepurchase, Wahoo and Marlin became divisions of WahooTechnologies.

It is January, 2019,and you have been recently hired by Wahoo as a consultant toevaluate their digital marketing strategy. During your initialmeeting January 5th, you wrote down 10 major observations that youwanted to look into deeper. For each observation, please indicatewhich direction you will take and why, paying close attention toitems you learned while listening to a guest speaker in yourDigital Marketing class. Your notes are listed below, followed byitalicized questions to be answered (by you). You will not receivecredit if you do not explain why.

1. WahooCEOisinterestedinstudyingtheimpactthathurricaneshaveontheironlinewebtraffic. The CEO recommended running an A/B test on traffic levelsduring a hurricane in the next month to determine whether or notthey need to make a custom online interface to improve trafficduring hurricane season. Do you recommend following the CEO’srecommendation? Please explain why or whynot.
2. TheDirectorofMarketinggaveyouastudyrunfor24hoursonBlackFridaywithasample size of 10,000 unique visitors to the website. Based on thisstudy,he

recommends changingthe homepage to focus on products that are on sale as opposed tofocusing on the new innovative products Wahoo sells. Do youagree with his conclusion? Please explain why or why not.

3. Wahoo Inc. is currently running an ad campaign on social mediato introduce a new product using a last interaction attributionmodel. The Wahoo Inc. social media internrecommendsswitchingtouseafirstinteractionattributionmodel.Doyourecommendfollowing the Intern’s recommendation? Please explain why orwhynot.
4. Thein-housestatisticianmentionedthatwhenitissunnyoutside,onlinesalesdecrease.He recommends running an advertisement on a movie streaming service(such as Hulu) during sunny weather to increase traffic to thewebsite during these low traffic times. Do you recommendfollowing the statistician’s recommendation? Please explain why orwhy not.
5. The Wahoo Inc. CMO has agreed to increase the advertisingbudget by 10% the following quarter. Currently, their advertisingbudget is $1,200,000. She is looking for your guidance as to whichadvertising campaign to focus on. Based on the data chartbelow,whichadvertisingplatformwouldyourecommend?Pleaseexplainwhyorwhynot.

	Estimated ClicksLost	Conversion Rate	Average Order Value(Revenue)	Average CPC (Cost PerClick)
Campaign 1	120,000	1.20%	$600	$3.50
Campaign 2	100,000	0.50%	$800	$4.25

Hint: You will need to calculate:Conversions Lost, Revenue Lost, Estimated Cost, and Return on AdSpend.

Is their estimated increase inadvertising budget at an optimal level (i.e. should it be increasedor decreased)? Please explain why or why not.