Customer Success Stories - Verkkokauppa.com: Answering the big questions in marketing with MMM

Verkkokauppa.com has a diverse marketing mix to manage: Running hundreds of campaigns a year, every activity needs to be carefully coordinated with the objective in mind. Sellforte's weekly updating MMM platform helps the team to ensure they're making the best possible decision in each campaign.

Highlights

• Verkkokauppa.com wanted to measure and forecast how much incremental revenue its campaigns were driving and how they compare to each other
• Sellforte’s weekly updating Marketing Mix Modeling platform provides Verkkokauppa.com's core marketing team near-real-time insights to help stay on top of the latest changes and guide the decisions
  

Story So Far

Questions Sellforte MMM Provides Answers To

Which campaign types provide the best incremental revenue/profit uplift? What is the optimal budget split between e.g. brand building & performance campaigns?

How much incremental revenue should I expect if I invest X€ to marketing? How should I split this budget between media channels to maximize the results?

Which individual media channels are performing the best/worst? How media channel ROMI vary between different seasons & over time?

Things to consider when starting with MMM

Similar to marketing itself, MMM is not a sprint, it's a marathon. Verkkokauppa.com's Marketing & Analytics manager Arto Hasu lists things to consider before and during an MMM initiative.

Things to consider before:

• What challenges are you primarily trying to solve with MMM?
  
• What is the data quality with:
  • Internal product, sales, price promotions data
  • Paid media data (offline, online)
  • Non-paid activities (PR, events..)
  • Brick ‘n’ mortar activities

Things to consider during:

• How much are you investing into marketing?
  • If you get 10 to 20% increase with MMM, how fast will the solution pay itself back?
    
• In-house ownership
  • Who owns the data quality & follow-up analysis
    
• Test & learn culture
  • The value of MMM derives from building hypotheses and testing if you can repeat them

BUT:

• It gets easier over time
  • Once the data pipelines and validation processes are in place, most of the tasks work automatically