An online fashion retailer (hypothetical) ran a festive-season campaign offering 40% off sitewide, promoted heavily through performance marketing. The marketing team is celebrating:
Critique the campaign's real results. Decide whether it created value, show the numbers that support your view, and recommend what to change for next year.
100 points, 60% to pass.
Revenue in the window is the wrong measure. The 35% slump afterwards suggests the sale pulled demand forward rather than creating it. Higher returns shrink net revenue further. At a ₹1,450 order value with 40% off, gross margin per order is thin; ₹650 to acquire a customer who, on last year's evidence, has only a 14% chance of buying again is unlikely to pay back. A strong critique computes something — net of returns, of the post-sale dip, or of acquisition cost against repeat rate — and recommends targeted rather than sitewide discounting, success measured on incremental contribution over the season.