Resumed Social Media Business Plan proposal

Author: Pedro Brites | Marketing Manager | pedrojbrites@hotmail.com | +351 960 415 713
This presentation is included in the evaluation process for the candidature for “E-commerce Manager” position @Hudson
Index Page

Executive Summary 3
Proposed requirements 4
Desmember the requirements 5
Assumptions for a strategy 6
Social Media budget 9
Malta Key-indicators 11
Malta E-commerce highlights 12
Hudsonstore SEO check 15
EXECUTIVE SUMMARY
Launch retail online business sport and fashion store – HUDSONSTORE.COM.
HudsonStore belongs to Hudson Group, with Head Office located in Malta, and represents/distributes in the Apparel
segments sportswear brands such as Nike, Champion, New Balance, Under Armour, Everlast, Converse, Timberland, Crocs,
Eastpack, New Era and Intersport, and in Fashion represents brands such as New Look, River Island, Ted Baker, Benetton,
Alcott, and Kiabi. Also owns the retail franchise concept Urban Jungle, and Missguided.It has a direct, or trough subsidiaries,
presence in European and African markets, and a distribution base covering 30 territories.
Business Objectives

 Online display store with diverse international multi-brands in the fashion and sportswear sector.
 Provide a unique customer experience, for the most varied publics and demands, offering a distinctive, personalized, and
trustable online purchase.
 Develop business relations, expand customer reach and increase loyalty.
 Offer competitive prices, reduce the “cost-to-serve”, and boost sales revenue to contribute to the global sales goals
increase.

Mission Statement: “Empowering a fitness culture”, focusing in promoting physical activity and support activities that
embrace a healthy lifestyle.

Keys to Success

 Provide easy access to all customers to the entire universe of represented brands
 Assure frequent exclusive discount prices / campaigns / promotions
 Deliver an optimal buyer experience, trustable engagement, and excellent online support
 Create efficient delivery logistics and trustable/easy to adoption payment methods
Proposed
requirements (history/data not available)

Conversion Geography Expected Sales Intake Margin

1.2% MALTA 2M€ 57%

These are the initial requirements that will drive the requested business plan.
To achieve those I´ve proceeded initially with an analysis per each item, on the next page, to reach some data
conclusions that were primordial to make any final suggestions to reach the desired goals.
 Desmembering
the requirements
Step 166.000€
Sales per month
1

Step 70% Presumable consideration of 30% of COGS

Gross margin
2

Stipulated an initial/sales target price of 70€ with a cost price of

Step (given) 57% 30€ per product, to be able to reach the given Intake margin
3 Intake margin*

Average To reach the monthly sales target, the number of

Step 70€
4
Transaction Value transactions should be ~2.400 / month
(ATV)**

To accomplish the 1.2% conversion, the site

Step (given) 1.2% should generate ~ 200.000 / month traffic/visits
5 Conversion

*In order to control the Intake margin the promotions that will run during the year should be previoulsy informed, to calculate the markdown levels (the realized margins) and execute adjustements. The ATV does is not
referred to any specific product or category, it´s a generalistic value. As we know, there are some products, like for example tennis shoes, that have an initial 50% margin for the retailer but after deducted expenses the margin
dropsdown to 12%. At the end, should be evaluated the “FOB”, the “Cost of Sales or Revenue”, “net income” and others financial analysis for each product/category.
**Should be assured, by buying process, to not affect the Average Inventory and Pricing strategy for the entire product categories, to not affect the margins and profitability.
Some assumptions for an
effective strategic performance

Languages on the site

To drive Maltese traffic to the website, needs to drive an local Marketing, Google Ads and SEO effectively strategy to support
to localize the store in Maltese market. Nevertheless 88% of Malta population speak English, only about 10% use as first
language. So, it would be valid to consider to add Maltese language to the site, besides the English; this would
enable/support the store index in Maltese search engines in order to generate free organic and more qualified traffic.

Shipping / Customer lifetime value

To compete effectively it is essential to offer cost effective, reliable and secure local shipping options; ensuring the return
policy and process are positive experiences that will increase custormer lifetime value.
E-buyers sceptics cite a number of reasons for not shopping online – 59% are not interested or motivated, 35% enjoy the
physical store experience and 25% prefer to see and try on items before committing to a purchase, among others.

Digital Marketing

Digital marketing is most effective at driving traffic and ultimately conversions, with a sizeable chunk of digital buyers
claiming to have completed a purchase following a digital sales prompt - 45% after viewing online ads, 26% following a
post/ad on social media and 22% after receiving a promotional e-mail.

Traffic attraction

Considering that the target audience covers different age categories, I suggested the possibility of using new social platforms
to reach and drive these potential consumers to the site. Social platforms such as Tik-Tok, which is in an accelerated phase of
growth in Malta, create trends and is increasingly sought after by brands, allowing them generate more traffic and reach.
Some assumptions for an
effective strategic performance
Customer acquisition
To accomplish the previously given conversion, of 1.2%, and generate 2.400 transactions/month, all efforts should be focused
in tracking user behaviour and “personalization”. Integrating multi-channels and product-centric content, supported with
mainstream influencer marketing, are inducers to influence purchase behaviour.

SEO and Paid advertising

51% of population buys online and there´s a growth rate of 15% of Sales worth in 2021 in Malta (see page 12). These
indicators will drive all efforts to create attraction and call-to-action strategies in SERP´s and social media plataforms. An
accurate strategy to generate conversions and leads, optimizing and improving position in organic search results, and
improve Google Search index ranking. (see SEO check present page study in page 15).

Call-to-action

Decision enablers that facilitate the purchase, are main facilitators to encourage to the visitors take the desired action – the
purchase. 26% of Malta population spends about 500€ to 1.500€ on online purchase (see page 12), so mechanisms like
offers, coupons, email marketing to attract repeated visitors, sales promotions, among others, are some to influence and
maximize/increase conversion rates through the entire funnel.

Content Marketing

Attract, engage, and retain, with personalized content, are the main approaches to drive profitable customer action.
Consumer spending in Fashion and Sports goods are increasing fast in Malta market (see graphs in page 13 and 14), so the
focus should be in a long-term strategy to build a strong relationship with the target audience, giving them high quality
content.
Some assumptions for an
Effective strategic performance
Video Content Marketing
For some years video is more important than ever! 87% of the business use the video as a marketing content tool. Platforms
like YouTube, that highly contributes for the SERP´s organic search results, are powerful way to spread a message to a large
audience. With the advent of the ultimate videos usage in social platforms, like Instagram (reels), it´s one more creative
opportunity for the brands attract, interact, engage, in a dynamic environment.

Mobile friendly and Chatbot

It´s a must nowadays! With 86% penetration of internet users in Malta, and 97,5% of them access through via mobile (see
page 11), it´s imperative that easily facilitate the response and easy acces to all content and information.
Chatbots make part of the advent of the AI that will dominate the virutal market the next years. The chatbot allows an
interaction with visitants/customers increasing the interaction, time of a visit and may drive to facilitate process decisions.

These are the main actions that I´ve considered to reach the desired goal of conversion rate and
transactions. There´s no such thing as one-size-strategy fits all the intentions, as we know.
These proposed actions can be generators to achieve some goals, but considering that needs to
be tailored around the goals and resources (the real ones).

The present study does not represent an individualized strategy. It´s main important to integrate with the Annual Marketing/Digital Marketing Plan
and KPI´s, with the Sales strategy, Financial resources, and, finally, with the overall HUDSON strategy.
Social Media
Budget Breakdown
For the preparation of the budget I´ve included identifiable investments but also predicted values, given their nature.
Crucial, also, without an accurate Social Media budget and lack of data, it´s impossible to calculate and know the true ROI,
P&L analysis and Income Statement.

CATEGORY TOTAL BUDGET % OF THE BUDGET % of the Budget

Content Creation 50.000€ 21%

Marketing 15.000€ 6% Content

automation tools creation
21% Marketing
Paid 35.000€ 15% Facilities / HR Automation
34% tools
Advertising/search
6%
Paid Partnerships 30.000€ 13%
Paid
Advertising
Giveways/Discounts 25.000€ 11% Giveways/Disc Paid 15%
ounts Partnerships
Facilities / HR 80.000€ 34% 11% 13%

TOTAL 235.000 €
Social Media
Budget Breakdown
Content Creation

Content is the King and accounts for a significant percentage of the budget.
In this item should be considered cost, like for example, Photography, graphics, Video, influencers, design, production costs.

Marketing Automation tools

The performance needs to me measured and act in accordance the insights.

Investment in tools as SEO and Keyword search, Content hosting, Editing tools, Hootsuite, Egoi or Mailchimp, Kissmetrics or
even Alexa, are main platform tools to practice extensive studies to support the strategy decisions.

Paid Advertising

Organic content and paid ads are a “must” to wide and boost the reach of all media strategies.
Paid ads in facebook, Instagram, Tik-Tok, Youtube, and investment in Paid search in SERP´s, to create buzz, boost community
engagement, build brand awarness, increase site index rankings and integrate with offline actions.

Paid Partnerships

From Influencer Marketing to co-branded campaigns, these are the present effective formulas to engage, endorse, promote, but
mostly connect emotionaly with the brand.

Giveaways/discounts

The usage of this practice can create attraction and brand awarness, generating more leads. Also, can provide, a great way to
start a online “conversation” where the consumer will feel embraced and cared by the brand. These strategies, to be used in
bottom line, can create higher impact, more engagement in the audience, and create traffic in the site.
 Key Indicators
Digital adoption in Malta
TOTAL INTERNET
POPULATION USERS
AUDIENCE
SOCIAL OVERVIEW
MOBILE
MEDIA CONNECTIONS

• 380.000 users
• 442.000 • 70% use Google
• 420.000 users • +5.2% (+19.000) • 703.000
• +0.3% (+1.206) • Facebook audience - 380.000
• +5% users (+20.000) • 86% penetration • +3.1% (+21.000)
• Male 50.2% • Instagram audience - 240.000
• Nº of users is equivalent • 97.5% acess via mobile • Equivalent to
• Female 49.8% • Tik-Tok audience close to
to 95% of population • 53% made an online 159% of population
• Median age 42.7 Instagram (no data available)
purchase or payment • Traffic origin from • Pinterest audience - 88.000
Android 70.9% (-3.6%) and • 47.1% of population has Credit card
28,7% (+9.3%) from iOS

PERIOD: JAN. 2021 vs JAN. 2020

Source: Annual Digital Report Hootsuite/WeAre Social
 Malta eCommerce
Market highlights

Source: European Ecommerce Report, Statista and Eurostat

 Malta eCommerce
Market highlights

Consumer spending on clothing and footwear in Malta amounts to an estimated 413.63 million U.S. dollars in 2021

Forecast of the total consumer spending on clothing and Footwear in Malta

2010 to 2025

Value in million USD

Source: Stattista
 Malta eCommerce
Market highlights
The annual value of e-commerce sales it´s increasing its percentage of turnover along the last decade. In 2012 we could assist a
13% turnover and in 2020 positining in 15%. The tendency is to keep rising due to the increase of the digital customers, higher
average transaction value and the frequency of the purchase/transactions per customer .

Percentage of individuals who purchased clothes and sports goods online in Malta –
between 2009 and 2018

Source: Stattista
Hudsonstore.com
SEO check
To evaluate the present SEO performance of the Hudson Store @hudsonstore.com, were found some
technical errors and SEO issues that may have a negative impact on search engines rankings. Among the
several problems detected, I will mention the most important ones that affect its performance and
should be resolved.
SEO
SCORE
Generated by: www.seobility.net
Page response is too high: 2.61sec. (should be less than 0.4sec)

14 javascripts that are affecting/delaying the page load

20 images have no “alt-attribute”. The content of “alt-attributes” is used by search engines

There are too many internal links (502)

The page loads 6 CSS files, this may affect the page load negatively

Some tags are longer than 70 characters

Some tags are longer than 70 characters
Thank you