Case Questions for Bbva Compass

Case Questions for BBVA Compass

Instructions: This exercise is to be completed individually. You may discuss the assignment in a group, but each person should complete the exercise separately. Please provide a clear, concise, and well organized essay that addresses at least the following questions. You are free to address other issues in the case as well. The intent of the assignment is to have you think critically about the marketing problems faced in the case. It is important that you consider both sides of the argument when you answer these questions. Analyze the quantitative material, if any, in the case to support your answers. Spend most of your time in defining and defending your recommendation for what should be done. Good answers may require assumptions of facts that may not be presented in the case. You are welcome to make these assumptions, but please state these assumptions and briefly justify why that are reasonable. Also, you may use whatever resources you can locate to provide further information about this industry or the web in general. Please reference your sources. Your response must be typed, double spaced, with one-inch margins, and a 10 to 12 point font size. This writeup must not exceed 3 pages in length. You may attach exhibits, tables, and/or graphs to support your arguments. These supporting materials must be referenced in the text and do not count toward the 3 page limit. Required: The main objective of this case is to understand the implications of using expected Customer Lifetime Value (CLV) to measure customer attractiveness versus customer profitability in marketing decision making. 1. What is the role of offline and online advertising in acquiring checking account customers for the bank? Is the 2010 advertising budget allocation between display and search appropriate? What about the allocation among various search engines? (Hint: consider using acquisition costs and customer lifetime value to support your answer.) 2. What is your...