Marketing Mix Model

Increase conversions by optimizing budget allocation

The Marketing Mix Model (MMM) is a statistical analysis that, by examining historical data, allows for the quantification of the influence of a wide range of variables, both related to marketing and non-marketing, on specific KPIs.

The result is the creation of an analytical model that supports marketing professionals in understanding the factors that have influenced the KPIs examined in the past and in formulating forecasts regarding the outcomes of future marketing initiatives.


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Why Use Marketing Mix Model?

In our AI-based MMM solution, it is possible to have full control over investments, understanding the current marketing performance and determining which channel/medium to increase or reduce investments in.

Marketing Mix Modeling

How Does Marketing Mix Model Work?

The process begins with the collection of historical data, which is divided into independent and dependent variables: the former represent the various components of the marketing mix, while the latter are sales or performance metrics. Subsequently, advanced statistical techniques are used to highlight the correlations between the dependent and independent variables, in order to understand which marketing actions have effects on sales and to what extent.


Goal Setting

We define business objectives, the KPIs to monitor, active channels, and variables impacting the business.


Centralization e Validation

We collect and aggregate data from all sources and centralize it in a single Data Warehouse, ensuring there are no discrepancies between raw and aggregated data.


Data Modeling

We explore the data and learn from it by creating and testing a custom model.


Budget Allocation

We use optimization algorithms to find the best distribution of the budget among campaign types to maximize conversions or sales.

Strengths of Marketing Mix Model

Selection of business KPIs and exogenous variables in collaboration with the client

The client is actively involved in defining the most important metrics for their business and the external variables that could influence the success of their marketing activities, which is essential to ensure that the Marketing Mix Model process is highly customized and aligned with business strategies.


Forecasting and Optimization of Marketing Performance

The MMM allows for the analysis and prediction of marketing mix performance in order to reassess budget allocation and channel selection.


All data in one place

Data is displayed in clear and comprehensive dashboards that update over time, with reading supported by our experts.


Marketing Mix Model

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