Market Mix Modeling (MMM) provides detailed insights into the effectiveness of the main drivers included in the mix. MMM uses Econometrics or multivariate regression analysis to strip out a brand’s sales into key influencers including base price, distribution, media activity, promotions, seasonality, cannibalization, competitor data, economic variables and the weather.
By accurately isolating these influencers, their individual rate of return can be determined as well as the critical investment level. From here we can successfully build forecasting models which informs our investment planning on behalf of our clients.
Contact our analytics team to learn more about Market Mix Modelling and how it can benefit your media investments.