Marketing Analysis

Challenge

Selecting the right marketing channels for a company is a complex and customer-specific task. Given the immense number of marketing channels and campaigns that companies can utilize today, it is often challenging to reliably assess the individual impact of specific campaigns or channels on the core business. Our client faced the challenge of statistically evaluating the significance of a single marketing channel on the number of generated orders to create a data-driven basis for deciding whether to continue using the advertising medium.

Approach

To determine the impact of an advertising channel on the number of orders, we developed a statistical model based on regression methods. The model considers various factors to determine the individual impact of the channel. Initially, existing order, marketing, and campaign data were analyzed in-depth to identify key influencing factors, such as seasonal and trend factors, and transform them into a format understandable for the model. Through targeted modeling, we determined not only the pure significance level of the channel following the respective campaigns but also the change in orders made and the effect duration.

Result

Based on the statistical analyses and resulting findings, such as significance levels, impact size, and duration, we helped our client make a data-driven decision regarding the continuation of the analyzed marketing channel. The information obtained allowed the client to directly compare costs and revenue generated by orders per marketing channel. Expanding the analysis to additional marketing channels and initiatives is possible, as is a reevaluation in the future.