Keep it Cool

8 Pages Posted: 19 Jun 2018 Last revised: 8 Sep 2018

See all articles by Yael Grushka-Cockayne

Yael Grushka-Cockayne

University of Virginia - Darden School of Business; Harvard University - Business School (HBS)

Aneesh Saxena

University of Virginia - Darden School of Business

Nate McFarland

University of Virginia - Darden School of Business

Abstract

It was a scorching summer day in Charlottesville, Virginia, and Nate McFarland, director of communications at Generation 180, was losing sleep. One month ago, Generation 180, a nonprofit organization, had launched its first nationwide initiative, “Keep It Cool” (KIC). The objectives of KIC were to leverage consumer participation in encouraging retailers to reduce energy waste and to spread the idea that energy should be consumed responsibly. At the core of the initiative was a “chatbot” built in Facebook's Messenger app that enabled consumers to trigger an anonymous email encouraging store owners to close their doors when they were running air conditioning. Finding and engaging the right consumers in a cost-effective manner was of utmost importance. McFarland was fixated on lowering the “cost per click” of his Facebook campaigns and driving traffic to Generation 180's website. To do this, he needed to know how best to engage people. Was KIC more relevant to men or to women? Were there some populations that seemed more excited about this initiative than others? Was he targeting the right interest groups using the Facebook ad platform? This case is suitable for courses covering decision analysis, statistics, business analytics, and marketing analytics.

Excerpt

UVA-QA-0898

Rev. Aug. 29, 2018

Keep It Cool

It was a scorching summer day in Charlottesville, Virginia, and Nate McFarland (MBA '16, Darden School of Business), director of communications at Generation 180, was coming off another sleepless night. This time he could not blame his two-month-old son for the lack of sleep, as it was Facebook that was causing his anxiety. One month ago, Generation 180, a nonprofit organization, had launched its first nationwide initiative, “Keep It Cool” (KIC). The objectives of KIC were twofold: to leverage consumer participation in an effort to encourage retailers to reduce energy waste, and to spread the idea that energy was a resource that should be consumed responsibly. At the core of the initiative was a “chatbot” built in Facebook's Messenger app that enabled consumers to easily trigger an anonymous email to a specific store (Exhibit1). The email would encourage the store owners to close their storefront doors when they were running the air conditioning. Because of this strategy, finding and engaging the right consumers in a cost-effective manner was of utmost importance.

The early results were mixed, but McFarland was fixated on lowering the “cost per click” (CPC) of his Facebook campaigns. He wanted to drive traffic to Generation 180's website, as that was the first step in engaging consumers with the KIC initiative. To do this, he needed to know how best to engage people. Was KIC more relevant to men or to women? Were there some populations that seemed more excited about this initiative than others? Was he targeting the right interest groups using the Facebook ad platform?

Generation 180

. . .

Keywords: A/B testing, hypothesis testing, social media, marketing, cost per click, advertising, ad campaign, interest group, entrepreneurship, energy efficiency, Facebook, Messenger, chatbot, consumer engagement, sustainable energy

Suggested Citation

Grushka-Cockayne, Yael and Saxena, Aneesh and McFarland, Nate, Keep it Cool. Darden Case No. UVA-QA-0898. Available at SSRN: https://ssrn.com/abstract=3198459

Yael Grushka-Cockayne (Contact Author)

University of Virginia - Darden School of Business ( email )

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

Harvard University - Business School (HBS) ( email )

Soldiers Field Road
Morgan 270C
Boston, MA 02163
United States

HOME PAGE: http://https://www.hbs.edu/faculty/Pages/profile.aspx?facId=263650

Aneesh Saxena

University of Virginia - Darden School of Business

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

Nate McFarland

University of Virginia - Darden School of Business

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

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