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Transformation representing the persistence of a media effect after exposure. Its half-life must remain consistent with the channel mechanism and the data.
Explore this concept →Glossary
of marketing-mix decisions.
Terms are defined through their role in a decision, their unit of measurement and the interpretation error they help avoid.
Attribution
A rule that allocates an observed outcome across contacts or channels. It describes conventional credit and does not automatically prove a causal effect.
Explore this concept →Cannibalisation
The share of a new offer's value that comes from displacing sales an existing offer would have made. It is valued in displaced contribution, not in volume alone.
Explore this concept →Causality
A relationship in which an intervention changes an outcome relative to a defined counterfactual. It requires an explicit design, explicit identification assumptions and explicit uncertainty.
Explore this concept →Counterfactual
The outcome that would have been observed without the action studied. It is never directly observable and must be approached through randomisation, a comparable group or an explicit model.
Explore this concept →Response curve
The estimated relationship between a level of investment and an incremental outcome, with threshold effects, diminishing returns and an observed range.
Explore this concept →Price elasticity
The relative change in demand associated with a relative change in price, for a defined unit, period and context.
Explore this concept →Uncertainty interval
The range of values compatible with the data and the model assumptions. It does not guarantee that measurement or selection bias has been eliminated.
Incrementality
The difference caused by the action relative to the counterfactual. It is neither attributed conversions nor a historical correlation.
Explore this concept →iROAS
The ratio between the estimated causal effect on the economic outcome and the causal effect on spend. Its interpretation depends on the counterfactual, the horizon and the currency unit.
Explore this concept →Marketing mix
The coordinated set of controllable decisions on offer, price, distribution, communication and resources, for an explicit target and objective.
Explore this concept →Marketing Mix Modeling
An aggregate model linking an outcome over time to marketing levers and control factors, with transformations, uncertainty and validation.
Explore this concept →Bayesian prior
A distribution expressing information available before the model's data are observed. Its provenance and its sensitivity must be documented.
Explore this concept →Marginal return
The incremental outcome expected from the next unit invested. It is the useful signal for reallocating a budget, unlike historical average return.
Explore this concept →Saturation
The decline in marginal return as exposure or investment increases. Its shape must not be extrapolated far outside the observed range without a stress test.
Explore this concept →Triangulation
Relating methods whose biases differ, in order to identify robust conclusions, divergences and the tests required.
Explore this concept →Customer lifetime value
The expected future margin of a customer, net of service costs and weighted by retention. It depends on the horizon and must not be confused with cumulative revenue.