Digital Marketing and Analytics for Business Decisions

1. The field experiment reduced Nocturnal’s advertising budget, but the field experiment could have been designed to maintain overall advertising levels. Design a field experiment to test return on ad spending without reducing total ad budget. To simplify your task, design the field experiment to test only two ad channels—Google Prospecting and Facebook Prospecting.

2. Assume Nocturnal’s budget allocation was $4 million per month—$1 million for each channel. How would allocate that $4 million across the four channels in the future?

3. Nocturnal is eager to conduct additional field experiments to learn more about its advertising. What would you advise they test next? (You can test any aspect of its digital advertising on these four channels or other digital channels. That includes ad budget, ad copy, ad settings, and more.)

4. A mattress is a high-involvement purchase with a long purchase cycle. Consider a product with a shorter purchase cycle, like shoes or jewelry. Do you believe a similar field experiment on this kind of product would yield similar results?