Hammer Wines is a company run by Marilyn and Colin Hammer. The company currently has insufficient space for the new ordered stock due to the overstock of DUNKLES, DURST, FASS and HELLES beers in the warehouse. Clearing slow moving stocking and increase warehouse sales turnover is critical. Therefore, a trial has been conducted to consider the possibility of online communication with customers to improve sales.
This report is being produced in order to analyze the sales figure of Hammer Wines to examine the efficiency and effectiveness of online communication in comparison to the traditional posting surface mail. It is being compiled for the purpose of elaborating the deeper ...view middle of the document...
A “2 for 1” offer for cartons of FASS beer was advertised through surface mail on Week 4, while a “2 for 1” offer for cartons of HELLAS was sent through e-mails during Week 5.
This promotion has a significant effect on beer carton sales. Brochure was posted using traditional surface mail in Week 4. However, there is no impact on sales during that week. Effect of promotion can only be seen from the following week, which is in Week 5 and 6. This may be due to the time needed in order to deliver mail to its reach destination which may takes days or even weeks. As the result, the sales for carton of FASS have increased by only 8% in Week 5 and 115% in Week 6. On the other hand, the impact of online communication can be seen directly in that week itself in which sales have risen by 80% and almost doubled in the following week. This proves that online communication reduces the time between sending the e-mail and customers respond in purchasing beers.
• Effect of Not Delivered Mail and E-mail
Mails may not be delivered for some reasons such as sending to the wrong address and mail may be lost or taken by someone else. Besides, e-mails could also not be delivered to the recipients’ inboxes, which is known as ‘bounce’. These reasons include not existed e-mail address or the server may be temporarily unavailable.