Stella Rising’s SVP Client Strategy,
Health writes, "Marketers today are under intense pressure to justify every dollar. Boards and senior leaders want clear answers to the tough but fair question: what are we getting for
this investment?”
As much as we live in a world where our daily marketing lives are taken up by dashboards, data feeds, and decision trees,
omnichannel marketing can sometimes still feel like herding siloed customer experiences and KPIs without a shared compass.
Marketers today are under intense pressure to
justify every dollar. Boards and senior leaders want clear answers to the tough but fair question: what are we getting for this investment?
For many, that
scrutiny has put Marketing Mix Models (MMMs) back in the spotlight. Once considered a backward-looking measurement tool, MMMs are re-emerging as a critical framework for ongoing decision-making. With
the loss of digital signals and the limits of platform-reported KPIs, MMMs offer something marketers desperately need: a holistic, statistically sound view of what drives performance.
But to deliver their full value, MMMs must evolve beyond one-time “report cards.” Used strategically, they can guide scenario planning, balance short- and long-term goals,
and help organizations align on what matters most. Here are a few lessons from the brands getting it right:
1. Make it collaborative.
An MMM is only as good as the data, context, and goals that shape it. The most successful models are built through close collaboration between analytics partners and client teams. That means alignment
on mission, shared understanding of KPIs, and regular dialogue about how to apply insights.
2. Look beyond efficiency.
Traditional
models often place too much weight on short-term conversion channels like search and display, while undervaluing the longer-term impact of brand-building investments in TV, radio, and video. A more
strategic MMM balances both—ensuring marketers maintain minimum levels of awareness-driving media while still optimizing for performance. It also accounts for reach and frequency, recognizing
that protecting unduplicated exposure is key to driving conversions. By applying the right constraints within MMM-driven optimizations, marketers can strike that balance.
3. Plan for agility.
Markets shift, regulations change, and consumer behaviors evolve. MMMs should not sit on a shelf; they should be revisited
frequently to assess scenarios, guide mid-flight adjustments, and spark conversations about trade-offs.
4. Measure inclusively.
In
diverse markets, one-size-fits-all metrics can mask the actual cost—and importance—of reaching underrepresented audiences. For example, enrollment campaigns have found Hispanic audiences
to be more expensive to convert, requiring new benchmarks and more nuanced media mixes. A mission-driven MMM recognizes those dynamics and informs strategies that balance efficiency with
equity.
The takeaway: MMMs are not about defending media budgets with a tidy ROI number. They are about building confidence in marketing decisions, helping teams move
quickly, and ensuring investments ladder up to broader organizational goals.
In an environment where every dollar counts, the brands that treat MMMs as strategic,
collaborative, and forward-looking will not just justify their spending, they will maximize it.
If you’re interested in submitting content for future editions,
please reach out to our Managing Editor, Barbie Romero at Barbie@MediaPost.com.