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Related papers: Marketing Mix Modeling in Lemonade

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In online advertising, marketing mix modeling (MMM) is employed to predict the gross merchandise volume (GMV) of brand shops and help decision-makers to adjust the budget allocation of various advertising channels. Traditional MMM methods…

Artificial Intelligence · Computer Science 2024-06-25 Chang Gong , Di Yao , Lei Zhang , Sheng Chen , Wenbin Li , Yueyang Su , Jingping Bi

Marketing mix models (MMMs) are statistical models for measuring the effectiveness of various marketing activities such as promotion, media advertisement, etc. In this research, we propose a comprehensive marketing mix model that captures…

Applications · Statistics 2021-07-01 Hao Chen , Minguang Zhang , Lanshan Han , Alvin Lim

Recent years have seen a resurgence in interest in marketing mix models (MMMs), which are aggregate-level models of marketing effectiveness. Often these models incorporate nonlinear effects, and either implicitly or explicitly assume that…

Econometrics · Economics 2024-08-15 Ryan Dew , Nicolas Padilla , Anya Shchetkina

We introduce LemonadeBench v0.5, a minimal benchmark for evaluating economic intuition, long-term planning, and decision-making under uncertainty in large language models (LLMs) through a simulated lemonade stand business. Models must…

General Finance · Quantitative Finance 2026-02-18 Aidan Vyas

This paper explores the application of Shapley Value Regression in dissecting marketing performance at channel-partner level, complementing channel-level Marketing Mix Modeling (MMM). Utilizing real-world data from the financial services…

Machine Learning · Computer Science 2024-03-12 Sean Tang , Sriya Musunuru , Baoshi Zong , Brooks Thornton

Marketing Mix Modeling (MMM) estimates the impact of marketing activities on business outcomes such as sales or revenue. Traditional MMM approaches rely on linear regression or Bayesian hierarchical models that assume channel independence…

Machine Learning · Computer Science 2026-04-28 Aditya Puttaparthi Tirumala

In a multi-channel marketing world, the purchase decision journey encounters many interactions (e.g., email, mobile notifications, display advertising, social media, and so on). These impressions have direct (main effects), as well as…

Applications · Statistics 2022-06-01 Ritwik Sinha , David Arbour , Aahlad Manas Puli

Evaluating the return on ad spend (ROAS), the causal effect of advertising on sales, is critical to advertisers for understanding the performance of their existing marketing strategy as well as how to improve and optimize it. Media Mix…

Applications · Statistics 2018-07-10 Aiyou Chen , David Chan , Mike Perry , Yuxue Jin , Yunting Sun , Yueqing Wang , Jim Koehler

Both Bayesian and varying coefficient models are very useful tools in practice as they can be used to model parameter heterogeneity in a generalizable way. Motivated by the need of enhancing Marketing Mix Modeling at Uber, we propose a…

Applications · Statistics 2024-12-31 Edwin Ng , Zhishi Wang , Athena Dai

As privacy-centric changes reshape the digital advertising landscape, deterministic attribution and measurement of advertising-related user behavior is increasingly constrained. In response, there has been a resurgence in the use of…

Computers and Society · Computer Science 2025-01-27 Julian Runge , Igor Skokan , Gufeng Zhou , Koen Pauwels

Sales forecasting is the prerequisite for a lot of managerial decisions such as production planning, material resource planning and budgeting in the supply chain. Promotions are one of the most important business strategies that are often…

Machine Learning · Computer Science 2021-12-17 Muhammad Hamza , Mahdi Abolghasemi , Abraham Oshni Alvandi

We present NNN, an experimental Transformer-based neural network approach to marketing measurement. Unlike Marketing Mix Models (MMMs) which rely on scalar inputs and parametric decay functions, NNN uses rich embeddings to capture both…

Machine Learning · Computer Science 2025-06-05 Thomas Mulc , Mike Anderson , Paul Cubre , Huikun Zhang , Ivy Liu , Saket Kumar

In modern computer experiment applications, one often encounters the situation where various models of a physical system are considered, each implemented as a simulator on a computer. An important question in such a setting is determining…

Methodology · Statistics 2023-05-08 John C. Yannotty , Thomas J. Santner , Richard J. Furnstahl , Matthew T. Pratola

Large Language Models (LLMs) excel at understanding context and qualitative nuances but struggle with the rigorous and transparent reasoning required in high-stakes quantitative domains such as financial trading. We propose a model-first…

Computational Finance · Quantitative Finance 2025-12-02 Xiaoting Kuang , Boken Lin

Simulating consumer decision-making is vital for designing and evaluating marketing strategies before costly real-world deployment. However, post-event analyses and rule-based agent-based models (ABMs) struggle to capture the complexity of…

Artificial Intelligence · Computer Science 2025-10-22 Man-Lin Chu , Lucian Terhorst , Kadin Reed , Tom Ni , Weiwei Chen , Rongyu Lin

Generalized linear mixed models (GLMM) are used for inference and prediction in a wide range of different applications providing a powerful scientific tool. An increasing number of sources of data are becoming available, introducing a…

Computation · Statistics 2019-03-19 Aliaksandr Hubin , Geir Storvik

Model merging aims to combine multiple task-specific expert models into a single model without joint retraining, offering a practical alternative to multi-task learning when data access or computational budget is limited. Existing methods,…

Machine Learning · Computer Science 2026-05-14 Kaiyang Li , Shaobo Han , Qing Su , Shihao Ji

This paper presents a sandbox example of how the integration of models borrowed from Behavioral Economic (specifically Protection-Motivation Theory) into ML algorithms (specifically Bayesian Networks) can improve the performance and…

Theoretical Economics · Economics 2022-05-05 Emilio Soria-Olivas , José E. Vila Gisbert , Regino Barranquero Cardeñosa , Yolanda Gomez

In marketing we are often confronted with a continuous stream of responses to marketing messages. Such streaming data provide invaluable information regarding message effectiveness and segmentation. However, streaming data are hard to…

Machine Learning · Computer Science 2018-03-01 Maurits Kaptein , Paul Ketelaar

A novel data-driven methodology is presented for the joint selection of prior parameters for both fixed and random effects in Linear Mixed Models (LMMs). This approach facilitates the estimation of complex random-effects structures, as well…

Methodology · Statistics 2026-04-28 Matteo Amestoy , R. Vermeulen , Mark A. van de Wiel , Wessel N. van Wieringen
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