Problem
Business Context
GlowCart, a DTC skincare subscription company, ran a 4-week paid marketing campaign across Meta, Google Search, and influencer partnerships to acquire new customers for its $30/month subscription box. The CMO says the campaign generated strong traffic, but the CFO is questioning whether it created profitable growth.
Metric Scenario
During the campaign, GlowCart spent $420,000 and recorded 3.2M impressions, 96,000 clicks, 11,500 site signups, 4,200 first purchases, and 1,050 subscribers still active after 90 days. Average order value on the first purchase was $38, gross margin was 62%, and estimated 12-month LTV for retained subscribers is $168 gross profit. Channel-level results vary: Meta drove cheaper clicks but lower purchase conversion, Google drove fewer clicks but higher intent, and influencers drove the highest signup rate but inconsistent retention. Leadership wants a clear framework for deciding whether the campaign was successful overall and which channel should receive next quarter's budget.
Requirements
- Define the primary success metric for this campaign and explain why it should be the headline KPI.
- Identify the supporting metrics across the acquisition funnel, from impression to retained subscriber.
- Show how you would evaluate campaign performance at both overall and channel levels.
- Explain how you would distinguish short-term efficiency from long-term value creation.
- Recommend what GlowCart should do next if one channel has strong conversion but weak retention.
Data Available
ad_spend_daily: date, channel, campaign_id, spend, impressions, clicksweb_funnel_events: user_id, timestamp, landing_page, signup_completed, checkout_started, purchase_completedorders: order_id, user_id, order_date, revenue, discount_amount, product_typesubscriptions: user_id, subscription_start_date, cancellation_date, renewal_count, active_90d_flagcustomer_profiles: user_id, acquisition_channel, geo, device_type, first_touch_date
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