Ohal has 40 years experience using Marketing Mix Modelling to answer our clients' questions.
Econometrics (or Marketing Mix Modelling) is a statistical modelling technique used to identify and quantify the relationships between your sales (or KPIs) and the factors that influence them.
We look at your sales/KPIs over time and separate all the different factors that have contributed to how they have changed. Some of these factors will be under your direct control (media, pricing, promotions etc.) and others will be outside of your influence (seasonality, competitor promotions etc.), but having detailed knowledge about how each of the factors affects your sales/KPIs will allow you to:
- Plan more efficiently in the future to meet specific objectives
- Provide valuable information about how to best set budgets
- Give you the information you need to respond to events that are outside of your control
An advantage of Marketing Mix Modelling is that any factor that has had an influence on sales (or the modelled KPI) will be accounted for within the model. This means that:
- By taking into account all factors, the impact of any one factor is not over/under estimated
- We are able to provide information on many aspects of your business