Question: Sam has collected some data for a retailer to assist them to decide whether they should employ paid search advertising on a search engine. Based
Sam has collected some data for a retailer to assist them to decide whether they should employ paid search advertising on a search engine. Based on the data below, please conduct an analysis and share the insights about whether it is profitable for the retailer to employ paid search. (9 marks)
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| Organic search clicks | Paid search clicks | Cost per click | Conversion rate for paid search clicks | Conversion rate for organic clicks | Profit per sale |
| Without paid search | 3000 | 0 | $0.2 | 15% | 10% | 10 |
| With paid search | 500 | 3000 | $0.2 | 15% | 10% | 10 |
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