The emergence of NextGen MMM
Marketing Mix Modelling (MMM) has long been used by consumer brands for marketing measurement. While attribution gained popularity with the rise of digital marketing, increasing signal loss – due to privacy regulations and technology policy changes – is driving renewed interest in MMM among advertisers, especially digital natives.
Unlike traditional MMM which has limitations for advertisers seeking rapid, scalable results, today’s NextGen MMM solutions simplify the entire process of modelling and reporting, providing always-on decision support and multiple advantages.
- APIs to automatically ingest data
- AI and machine learning algorithms to easily ramp up speed and scale
- Modelled attribution across all media channels with frequent updates
- Easy reporting and simulation for actionable insights
- Ability to take MMM in-house without the need for data science teams
The following case study takes a closer look at how Melia Hotels International used NextGen MMM to optimize its advertising ROI and drive optimal budget allocation across all media channels.
New research by Analytic Edge, commissioned by Meta, underscores the advantages of employing signal-resilient techniques such as Marketing Mix Modelling (MMM) for digital advertisers in the travel industry. Through collaboration with Meliá Hotels International, a Spanish hotel chain with a global presence, a significant 36% increase in Return on Advertising Spend (ROAS) was observed over a one-year period. This collaborative work highlights the potential of MMM to effectively optimize advertising impact in an era where user consent takes precedence.