One of the large and often overlooked benefits of Market Mix Modelling (MMM) is that as part of the process all key drivers are quantified and therefore there is a lot more insight that can be gathered from modelling beyond media.
These include recommendations on
Price - What is the price elasticity of products? How have changes in price impact influence future profitability
Promotions - What is the incremental impact of promotions? How much of the impact is sales ‘stolen from the future’? What is the impact on the profitability of marketing? What promotional mechanics work harder e.g. BOGOF, % Reduction, 3 for 2, Reward schemes, etc.
Distribution & Availability - Quantify the impact / importance of having stock available, retail distribution or even lead times to delivery. This can be in terms of the impact on immediate sales but also in how this impact brand perceptions
Economic / Macro factors - Since 2020 this has been increasingly important part of the modelling framework. Understanding how COVID change markets and trends was key but the large amount of fluctuations in the market since with changes in Inflation, Interest rates and GDP have enabled us to get clear insight in how these impact performance
Seasonality - Whether the product is highly seasonal or not it is important to measure and understand any seasonal peaks and troughs. This can ensure we are able to quantify the incremental impact of activity fully throughout the year and also understand how much the weather really is responsible for our performance!
Competitors - Many markets are highly competitive and being able to quantify the impact they are having on your business is critical. This can range from direct stealing your sales to making your marketing have to work harder to cut through and be heard.