Budget & ROI
A detailed breakdown of our proposed investment and expected returns.
Detailed Promotional Budget
The following is a line-item budget for all proposed activities in our 12-month IMC plan.
| IMC Tool | Campaign / Initiative | Estimated Cost |
|---|---|---|
| 1. Advertising | "Engineered for Life" Video (Digital) | $750,000 |
| 1. Advertising | "Fabric of Innovation" Print/Outdoor | $400,000 |
| 2. Sales Promotion | New Customer Welcome (10% Off) | $200,000 |
| 2. Sales Promotion | "Utility" Bundle Offer | $100,000 |
| 3. Public Relations | "Innovation Lab" Press Kits & Agency | $50,000 |
| 4. Events | "Design + Tech" Conference Sponsor | $250,000 |
| 5. Social Media | TikTok "#MyUtility" Challenge | $300,000 |
| 5. Social Media | Tech & Design Influencer Seeding | $200,000 |
| 6. Mobile Marketing | ESSNTL App Launch & Promotion | $150,000 |
| 7. Personal Selling | In-Store "Fabric Experience" Training | $50,000 |
| Total Budget Required | $2,450,000 | |
Justification: Achieving the 5% Market Share Increase
This $2.45M budget is an aggressive but calculated investment in high-growth customer acquisition and brand building.
Our Growth Model
The goal is to increase our market share by 5 percentage points (e.g., from our current 2% to 7%) within 12 months. This plan is designed to achieve this through a two-pronged approach:
- Brand Building (Awareness): The $1.7M allocated to Advertising, PR, and Events will establish ESSNTL as a category leader, generating an estimated 100M+ impressions to drive brand recall.
- Direct Acquisition (Conversion): The $750k for Social, Mobile, and Promotions will directly convert interest.
Projected Return on Investment (ROI)
This $2.45M investment is projected to acquire 750,000 new, high-value customers (at a $3.27 CAC). With an estimated Lifetime Value (LTV) of $450, the LTV:CAC ratio is exceptionally strong. This rapid, profitable acquisition, combined with the significant brand equity built, will successfully grow our market share by the 5% target.