The Bridge - Data Coffee

Bertrand Brisou, Data & Analytics Director at Artefact, met recently with Emmanuel Malherbe, Head of Research Center at Artefact, to discuss his work as leader and coordinator of Artefact’s global marketing and measurement initiative.

What exactly is marketing measurement, and what challenges does it face?

Marketing measurement involves gauging the impact of various marketing channels on business and optimizing these channels for maximum business outcomes. It encompasses both traditional avenues like TV, radio, and print, as well as digital platforms such as paid search, social media, and display. Additionally, it considers non-media drivers like products, pricing, promotions, and distribution.

What are the challenges when dealing with numerous channels?

Managing marketing measurement among multiple channels involves addressing strategic business questions such as the impact of all marketing channel activities, both online and offline. Operational questions also arise, such as determining optimal settings for specific marketing campaigns, targeting the right audience, and crafting effective messages.

How can these challenges be tackled?

We use three primary methods: marketing mix modeling, incrementality testing, and digital attribution. Marketing mix modeling entails statistical analysis to estimate and forecast the impact of various marketing drivers. Incrementality testing, based on audience or geography, isolates the impact of a specific campaign. Digital attribution focuses on digital channels, using cookies to trace the customer journey.

How do you choose between these methods?

It’s not about choosing one method over another but combining them. Each method addresses different business questions. Marketing mix modeling suits strategic questions, incrementality testing complements it for specifics, and digital attribution is for ongoing operational optimization.

Are there different timelines for these methods?

Absolutely. Marketing mix modeling is typically conducted every six months, while incrementality testing is an ongoing test-and-learn process, usually on a monthly basis. Digital attribution, being operational, is conducted continuously for ongoing campaign optimization.

Can you provide an example of the combined use of these methods?

Using all three of these methods together has shown a 10 to 20% increase in marketing efficiencies, meaning achieving more business with the same budget. For instance, for an electronics client launching a new smartphone annually, we increased in-store sales by 12% from 2022 to 2023.

Last question: do you have any advice for companies looking to strengthen their marketing measurement in 2024?

My advice is to start by outlining business questions in a learning agenda to efficiently optimize marketing. Follow this with incrementality testing, running a test-and-learn program to answer initial questions and generate insights. All of this will provide a foundation for more intricate approaches like marketing mix modeling as you progress.

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