Online Advertising Business Plan

Online Advertising Business Plan-24
Since our product requires the use of a computer and the product in hard copy form is priced extremely high, we adjusted the past results (.07%) to reflect the number of individual either owning or having access to a computer.Furthermore, J&B has estimated that 41.5% of households either own a computer or have assess to a computer.

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Advertising Agency business plan is vital to tariff planning, commercial initiation and attaining fiscal support for your new business.

A service industry, Advertising is dedicated to developing, planning and managing promotional and other forms of advertising for its clients.

In year one, J&B's newspaper advertising objective is to receive one sale for every 3,400 household reached or .02941% of our reach.

Management's past experience with advertising in these sections of the newspaper, resulted in sales of .07% of the number of household reached ( approximately 1 purchase for every 1,430 households reached).

$90,000 in year one, $105,000 in year two, and $120,000 in year three has been allotted for newspaper advertising.

In the United States, many of the 6,500 newspapers have sections called "Books, Tapes, and Software" and "Business Opportunities".A total first year newspaper advertising budget of ,000 is expected to reach 20 million U. households (,000 / .50 per thousand x 1,000 persons = 20 million people).The exposure, however, has a capacity of 120 million (20,000,000 @ 6 possible viewings per week = 120 million exposures).With more and more households purchasing computers each year, the Company has set higher newspaper advertising objectives for years two and three.Moreover, in year two the Company's newspaper advertising objective is 1 sale for every 3150 households reached (i.e. With a budget of 5,000, an advertising objective of 0.3174%, and a cost per thousand of .50, we expect newspaper advertising will generate sales of 7,407 units.( 0,000 newspaper budget * 1,000 persons / .50 cost per thousand * .03225% selling objective = 8,602 unit sales generated by newspaper advertising).The Company has allotted ,000, ,000, and ,000 to its magazine advertising campaign for years one, two, and three respectively.These budgets will be distributed among newspapers, magazines, radio stations and the Internet.Below provides details on each of the selected media.We will NOT promote in large magazines such as Business & You Magazine, Hi-Business Magazine, and Entrepreneurs and You Magazine for the following reasons.Our strategy is to buy advertising space in small magazines that target aspiring entrepreneurs and computer users. Furthermore, there is no financial risk in placing a P. advertisement and by using this kind of advertising arrangement, the seller only pays for the sales the radio ad produces.

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