India's largest platform and marketplace for AI & Analytics leaders & professionals

Sign in

India's largest platform and marketplace for AI & Analytics leaders & professionals

3AI Digital Library

Optimization of budget spend across channels, brands & geographies

3AI September 10, 2020

US Pharmaceutical company

Problem Statement

  • Company uses various promotion channels across various countries / brands.
  • The existing allocation process was ad hoc in nature – mostly based on benchmarks and past experience an was driven more by intuition.
  • Company wanted to evaluate the performance of its different promotion channels and plan for optimize multi-channel budget allocation across geography.

Analytics Led Approach

  • leveraged historical data and market research to estimate the promotion response.
  • Estimated ROI of most of the promotional channels across time span via a mix of “Control-Experiment” approaches and “Time Series” approaches.
  • The results were used to estimate the impact of future programs and create promotion response models.
  • Multi-channel optimization based on profitability was performed using our in-house tools

Business Impact

  • The solution provided helped the company in developing optimal promotion mix across all the channels being utilized.
  • Performance of various channels along with revenue impact was explained.
  • Helped track promotional efforts and understand the effective synergies of the channels.

Critical Success Factors

  • Robust and well defined analysis methodology
  • Deep domain and business understanding..

    3AI Trending Articles

  • ISRO Regional Academic Centre for Space at IIT-BHU

    IIT-BHU director Prof P.K. Jain said that the RAC-S will act as a major facilitator for promoting space technology activities in the states of Uttar Pradesh, Madhya Pradesh, and Chhattisgarh. VARANASI: The Indian Space Research Organisation (ISRO) will set up its Regional Academic Centre for Space (RAC-S) at IIT-BHU here. A memorandum of understanding (MoU) […]

  • RBI provides new set of guidelines for the Digital Banking and Payments ecosystem

    The master direction on digital payment security controls, released last week, casts a wide net. The skyrocketing of online transactions in the country—Covid-19 has provided no small impetus, with the amount transacted via UPI doubling in January 2021, at Rs 4.3 lakh crore, from lasts year’s Rs 2.1 lakh crore—calls for fortifying cybersecurity in the […]

  • Transformation of Talent Acquisition by Algorithms

    Business leaders have long recognized that the ability to hire the right talent plays a significant role in any organization’s performance. Views about the challenges to acquiring and retaining such talent have evolved over time. We have moved on from a focus on the notion that a talent shortage is creating a “war for talent,” an […]

  • Digiboxx plans to hire 5,000 engineers

    Digiboxx is also aiming to have 10 million users in the next three years Digiboxx has started offering up to 20 gigabyte (GB) of free online storage in which an user can store and share file size of up to 2 GB New Delhi: Online file storage and sharing services startup Digiboxx on Tuesday said […]