Facebook provided some new perspectives in its scalable approach to marketing mix modeling, which ultimately could provide more opportunities for marketers to better target specific audiences with the right mix of content and to adjust automatically, based on market trends. consumption, in order to maximize advertising performance on its networks.
As explained by Facebook:
“Marketing Mix Modeling (MMM) is a data-driven statistical technique that can help marketers quantify the impact of marketing and non-marketing activities on sales. MMM respects privacy and uses scientific methodology to analyze several factors and assess their impact on the However, it also has some limitations, for example, it takes time for data collection, requires a lot of resources, long analysis times, which complicates the scalability and execution of MMM. “
The privacy-friendly element is key here, as with Apple having recently implemented its new ATT data tracking prompts in iOS, and other platforms looking to provide more transparency on data collection, Facebook may soon have a lot less user data to work with, forcing marketers to look in new directions.
This is where marketing mix modeling might help – as Facebook notes, it works with Analytic Edge Analysis Solution Provider to Establish New Reproducible MMM Framework, which ideally will ultimately help advertisers speed up their process, without requiring the full setup workload of a regular MMM approach.
Facebook described this new process in a Document synthesis, which explains how he was able to apply this system to a recent campaign from ASUS.
The researchers first describe the MMM process and the benefits they seek from this improved model.
Due to the diversity of factors, MMM is difficult to implement effectively, especially for small businesses with limited resources, and even more so when considering response speed to optimize ad performance. But this new process seeks to address these key concerns and provide an established framework for the system.
That’s a pretty complex overview, but the bottom line is that Facebook is working on creating new, updated automated processes that will incorporate all of these new elements into a system that’s much easier to apply.
“Other innovations are underway that will make MMM on SaaS platforms simpler, automated and AI-based. This will enable widespread adoption of MMM for businesses large and small, which could not access MMM. previously or could not evolve MMM as a whole. business. “
This could provide a new avenue for better ad targeting, without needing the same levels of personal data that Facebook has applied in the past.
It’s an interesting experiment, and one that will still take time to develop, but over time it could mean that you have more response options for your advertising approaches, which could help maximize ad performance, even with less user data available.
And as noted, that could become even more important over time as more people opt out of data tracking due to new Apple prompts, and potentially, similar restrictions that could be rolled out on Android as well.
You can read the full presentation white paper here.