Category: mmmtraps

  • Data quality and availability

    without data, you cannot do MMM, but there are so many issues; most common are: data are not available data are not structured in any way data are confidential

  • What’s wrong?

    nothing; we have to manage our expectations; unrealistic expectation is the main issue of MMM failure: we want to know too many details rather than a general overview data are not available, so we cannot estimate the effectiveness external factors we are not aware of also may have an impact

  • What came first, the chicken or the egg?

    MMM tends to add too much weight to media activity however, during a heavy promotion period, there may be other activities that impact KPI (e.g., increased distribution, visibility) other activity during promotion period may be price discounts or promo bundles

  • Competitors influence

    competitors may influence us both positively and negatively, depending on a category and message we are not sure what will be the competitors’ actions in the future

  • Real reasons to do MMM

    proof that you use sophisticated tools while spending money on marketing activities proof that we spent money wisely show off at a board meeting

  • Issues with MMM

    time-consuming does not invent anything, only optimizing existing spending for media channels result may vary based on assumptions may give unrealistic recommendations

  • Recommendation traps

    by optimizing, you will never introduce anything new; what limits your potential growth introducing more and more promotions may be harmful to your brand