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Marketing mix modelling and Big Data

On June 12th, 2014, posted in: Econometric Modelling by Comments Off on Marketing mix modelling and Big Data

Big DataIn the wake of the Big Data revolution, data mining and machine learning methods have taken centre stage in unstructured data analysis. However, when it comes to marketing ROI, simulation and causal based inference, marketing mix modelling continues to play a key role. 

This article looks at various econometric techniques used by mix modellers to help deal with modern big datasets.

Brand management and the marketing mix model

On April 25th, 2014, posted in: Publications by Comments Off on Brand management and the marketing mix model

BRAND MANAGEMENTSuccessful brand management requires a simultaneous holistic view of all players in the market. Conventional marketing mix analysis, however, focuses solely on individual brands in isolation. 

This paper argues that a dynamic version of the discrete choice attraction model is an ideal alternative, with practical benefits for the manufacturer-retailer relationship.

Advanced methods in marketing econometrics

On March 24th, 2014, posted in: Econometric Modelling by Comments Off on Advanced methods in marketing econometrics

advanced methodsThe economic foundations of marketing mix models are typically approximated with simple single equation regression models of product demand. However, these approaches are ill-equipped to solve many client business issues.

In this article, we look at how marketing analytics has evolved to provide more accurate representations of consumer demand.

Dynamic marketing mix modelling and digital attribution

On February 11th, 2014, posted in: Publications by Comments Off on Dynamic marketing mix modelling and digital attribution

Binary world

P. M. Cain Admap February 2014

In order to maintain its relevance in the modern digital economy, the traditional marketing mix model needs to be re-structured to incorporate digital media.

This article presents a general dynamic approach that explicitly models the offline-online consumer purchase journey. Download

Marketing Analytics Training

On November 12th, 2013, posted in: Training Courses by Comments Off on Marketing Analytics Training

Marketing ROIMarketing analytics training success – October 2013

Our first course in Marketing Analytics was a great success, with positive delegate feedback. Our next course is planned for 8th-10th April 2014, covering the theory and techniques of dynamic marketing mix modelling. The emphasis is on worked examples and practical client benefits throughout the course. Contents include:

  1. The marketing mix modelling process
  2. Economic model structure
  3. Modelling depth and data inputs
  4. Time series econometrics and estimation
    1. Regression basics
    2. Short-run modelling: the time series approach to the marketing mix model
    3. Long-run modelling: dynamic baseline analysis
  5. Outputs and client deliverables
    1. Decomposing sales behaviour
    2. Traditional and digital ROI
    3. Price elasticity
    4. Allocating marketing budgets and optimal media laydown
    5. Simulation and forecasting

Marketscience Consulting Case Study

On October 9th, 2013, posted in: Case studies by Comments Off on Marketscience Consulting Case Study

Dynamic marketing mix modelling and optimal budget allocation

We were approached by a company in the Consumer Packaged Goods sector to determine the optimal marketing strategy for short and long-term sales growth. Historically, our client had implemented an integrated traditional and digital marketing campaign aimed at maximising the growth potential of their flagship brand, together with frequent promotional and price-cut activities to increase store footfall. However, sales revenue had recently started to experience weaker growth. To support their strategic marketing planning process, our project objectives comprised:

A complete evaluation of the historical sales impact and Return on Investment (ROI) of the client’s promotion and advertising strategy together with the impact of competitor marketing activities.

Recommendation of the correct mix of marketing investments to maximise revenue and profits over the short and long-term.

Provision of sales forecasts to aid the supply chain planning process.

To answer these questions, we constructed a dynamic marketing mix model, combining regression analysis with the power of time series econometrics.  For an overview of our approach and results, see here.

Marketing Analytics Training

On July 30th, 2013, posted in: Training Courses by Comments Off on Marketing Analytics Training

Dynamic marketing mix modelling

Marketscience Consulting and Timberlake Consultants invite you to attend a 3-day course covering the theory and practice of dynamic marketing mix modelling. 

Marketing analytics is a growing industry, with many agencies, consultancies and industry professionals using statistical and econometric methods to sift through a wealth of on and offline data to aid profitable decision-making.

A key part of modern marketing analytics, is the art and science of marketing mix modelling – a widely used technique designed to quantify the sales impact of traditional and digital marketing activities. Results are typically used to evaluate Return on Investment (ROI), inform optimal allocation of the marketing budget and produce sales forecasts.

This course covers a modern treatment of the practice, ranging from economic foundations of the marketing mix model and time series estimation techniques, through to actionable client outputs. Delegates will learn from a foremost specialist and practitioner in the field.

Strategic partnership with Timberlake Consultants

On April 29th, 2013, posted in: Partnerships by Comments Off on Strategic partnership with Timberlake Consultants

Marketscience Consulting establishes strategic partnership with Timberlake Consultants

Marketscience Consulting has partnered with Timberlake Consultants, a worldwide market leader in the sale and distribution of Statistical, Econometric, Forecasting, Mathematical and Operational Research software.

Marketscience Consulting will work with Timberlake to deliver world-class marketing analytics and training to a range of global businesses. Click here for more information.

Marketing budget allocation

On February 21st, 2013, posted in: Marketing budget allocation by Comments Off on Marketing budget allocation

Optimal allocation of the marketing budget

With UK online marketing expenditure continuing to rise, optimal allocation of the marketing budget across both digital and traditional media plays a key role in maximising business performance.

Accurate marketing budget allocation depends on three key factors: a bespoke economic model of the client business, precise quantification of marketing response curves and efficient optimisation algorithms. At Marketscience Consulting, we specialise in all three elements. Read more »

Forecasting and supply chain management

On February 14th, 2013, posted in: Econometric Modelling by Comments Off on Forecasting and supply chain management

Forecasting and supply chain management

Accurate consumer demand forecasting is critical for Efficient Consumer Response (ECR) and supply chain management – as indicated in a recent IGD UK initiative.

Marketscience Consulting provides a wide range of forecasting methods designed to aid the supply chain management process, based on advanced time series and economic modelling techniques.