Detroit's economy after the 2008 crash saw a steady rise thanks to new manufacturing companies like Detroit Bikes. Detroit Bikes is an American bicycle manufacturer that wanted to improve its direct sales to consumers via its e-commerce site. I helped implement search engine optimization strategies and analyzed Detroit Bikes' decision to outsource its marketing to Marketing Supply Co. The majority of my data came from primary sources. Using precise cost and interaction data from two online tracking instruments, I was able to assess the extent to which outsourcing was successful. Additionally, the decision to outsource marketing to Marketing Supply Co was analyzed through the lens of an Ansoff matrix. The main findings are that this move was indeed successful as there was an improvement in clicks generated through organic means or user-generated clicks and inorganic means or paid advertising campaigns. However, it was noted that due to the low quantity of products purchased during this period, the cost of customer acquisition and cost per product sold were high. Likewise, a high bounce rate and low e-commerce conversion rate were shown. Due to the short time frame, further research will likely be necessary and is recommended. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get an original essay Additionally, a recommendation to invest in cart abandonment software that reminds customers of products remaining in carts will not only allow for an additional point of interaction, but will enable an increase in the database customers thanks to the provision of emails. Detroit Bikes "believes it's best to explore the streets on two wheels" was founded in 2011 with the goal of bringing manufacturing back to Detroit. Detroit Bikes manufactures high quality American bicycles made with American steel on the west side of Detroit. Detroit Bikes also “assembles, distributes, supplies and contract manufactures” for third parties. Currently, “99.5% of bicycles sold in the United States are made by foreign manufacturers and simply branded by American companies.” By using American labor, American steel, and building high-quality bikes, Detroit Bikes aims to reduce that number. Detroit Bikes sells its bicycles to the customer in three ways: through its Detroit retail store, through third-party retail stores, and directly to the consumer through the Detroit Bikes website. However, another major source of profit is large orders for custom-made bikes from companies such as local builder Toll Brothers. Finally, Detroit Bikes also offers bikes specifically designed for police departments that are not available for purchase by civilians. Due to the nature of the startup, limited capital was dedicated to marketing efforts. However, this has recently changed with an outsourcing of their marketing. Through outsourcing, the major change Detroit Bikes wants to make is marketing to improve customer interaction with the website and ultimately increase sales. This leads me to ask the question: To what extent has outsourcing marketing to Marketing Supply Co. and Below-The-Line marketing efforts improved customer interaction and sales at Detroit Bikes. The primary research was conducted with precompiled data provided by Mr. Pashak. The main data obtained are online tracking data of2017. Additionally, I will monitor the implementation of social media advertising. To do this, I will track the evolution of sales and customer clicks or sessions caused by the implementation of social media. In terms of secondary research, Detroit Bikes recently began working with a company called Marketing Supply Co. who will provide any additional customer data and help implement the Above-The-Line and Below-The-Line systems (4.1). The validity of my data depends on the information provided by Detroit Bikes. Given this, there will be some expectation of internal bias. However, it can be assumed that the combination of internal and third-party research will provide valid and credible information. The business tools I will use will assist me in my overall goal of evaluating the impact of website forum development and social media implementation. I will use an Ansoff matrix (3.3) to determine the risk associated with the decision to outsource marketing and investment in SEO and "web-marketing" and its approximate effect on customer interaction. I will also use an external benchmarking analysis (5.5) of Shinola bikes versus Detroit bikes to gain insight into pricing. Key Findings and ConclusionsThe first steps taken to understand Detroit Bikes were to create a product portfolio to understand the different bikes and their individual prices. This research was mainly conducted using website data and discussions with Mr. Zak Pashak. Next, I took advantage of Google Analytics primary data through a “visualization administrator” position. Google Analytics is subscription-based software that allows website owners to track interaction data. Data collection began in November 2017, once work began with Marketing Supply Co. This data compared the total number of "sessions" to sessions that made a purchase, displayed as approximately 131 users. Likewise, it was necessary to identify the means by which customers were attracted. Ecommerce conversion rate refers to the “percentage of visits that resulted in an ecommerce transaction.” In the case of Detroit Bikes, this value is 0.85%. The duration of the paid advertising campaign corresponded to the increase in the number of sessions on the social media platform. Additionally, for all users, the largest interaction channel was social at 31.2%, followed by display at 23.5%. Analysis and Discussion The major implementation during this period was Below The Line promotion via targeted social media advertisements and search engine optimization to drive the Detroit Bikes website to increase sessions and decrease the bounce rate. The product portfolio made me aware of the scope and price range of the products as well as the value that could be achieved by marketing below the line of cheaper options or limited edition models via images on Facebook and Instagram. Additionally, this portfolio allowed for comparative analysis with Detroit Bikes' main competitor, Shinola Bikes. A major competitive advantage to market has been undercutting the price range of Shinola bikes. Detroit Bikes prices range from (C-Type) $599.99 to (Cortella) $799.99 and Shinola Bikes prices range from (The Detroit Arrow) $1,000 to (The Runwell) $2,950. This reveals that even the most expensive Cortello or limited edition models cost around $200 less. This price range gives Detroit Bikes a competitive advantage and allows "Detroit brand-centric" customers to benefit from a product at a lower price without impact onquality. This idea was the subject of recently paid advertising campaigns during the holiday season. By identifying one or a few focus areas, the marketing team was able to set themselves up for success because a narrow scope allows for more effective advertising. During the primary analysis, it is important to note that Google Analytics began tracking after November 13, 2017. November 13 is also the date that Marketing Supply Co. began implementing SEO, SEO tracking. pages and targeted ads on Facebook. The first basis for discussing marketing outsourcing is through the Ansoff Matrix. Detroit Bikes operates in the Midwest through its own retail store and has a national reach through third-party specialty bicycle retailers. They offer 6 to 7 bikes (depending on the limited edition models) that they have been making since their inception. Outsourcing is a low-risk strategy that Detroit Bikes can use to improve the efficiency of selling existing products in existing markets. Market penetration is accomplished through outsourcing to Marketing Supply Co. Another non-medium risk strategy of market development through an increased network of third-party retailers is research specific. Additionally, they revamped their direct-to-consumer e-commerce website. A recent sale also increased marketing investment capacity. An ongoing effort at Detroit Bikes aims to continue bringing third-party retailers to enhance the national network. The most useful data to answer the question is interaction data. The main means of interaction is “social”, with 31.2% of clicks coming from Facebook/Instagram. This growth can be attributed to a more targeted advertising strategy on social media. The second largest category is “display” with 23.4%. It can generally be assumed that these two categories have seen the greatest growth due to outsourced marketing efforts. Originally, the only marketing activity Detroit Bikes was involved in online was posting photos, web links and information. Detroit Bikes has 13,000 followers on Instagram and recently began taking advantage of a “one-click shop feature.” This allows the customer to view the price and be redirected directly to the product page from a post; a direct link to the product page allows Detroit Bikes to get more interaction. Additionally, Detroit Bikes has also activated a paid advertising campaign on Instagram. However, the following on the social media platform Instagram is limited. Facebook tracking data is a more apt example of Marketing Supply Co.'s offline marketing implementation. The standout statistic when considering Marketing Supply Co.'s efforts are the clicks generated for Detroit Bikes. The Facebook ad campaign began in November 2017 and generated 27,102 clicks in approximately the two months of November and December. This value can be compared to last year's pre-organic ad clicks which only generated 361 clicks. This confirms the effectiveness of generating promotional clicks below the line. Similarly, the number of sessions that interacted with “Detroit Bikes” (across all media) is 15,346. Of these, 131 sessions resulted in a purchase. The current e-commerce conversion rate is 0.853% and to have a successful DTC model, a conversion rate of 5-10% is considered ideal in this industry. Additionally, the costs associated with a simple “add to cart” amount to $163.64. This conversion rate is rather low and the price of adding the individual cart is high, but it is important to consider.