Abstract
The paper describes the marketing mix modeling results for companies in nonfood retailing. The main objectives of the research are to demonstrate the viable way of making effective recommendations for optimizing the media strategy by modeling offline and online traffic to the stores based on econometric modeling and to develop a decision support system, which enhance the effective growth of business KPIs and an effective decision-making process. Econometric modeling, deeper data analysis, decision support were implemented on the data of one of the main retailers in Ukraine in a period before the full-scale Russian invasion. Estimating the impact of different communication channels on business results made basis for ROI calculations and optimization of media investments allocation among media channels by periods, video durations, type of advertising and with optimal weekly media pressure. ROMI calculation was based on the results of regression modeling, which estimate the level of traffic and sales generated by each media channel. The information-analytical decision support system based on an interactive dashboard has been developed for improvement of day-by-day business planning and management. The developed framework of regional strategy selection facilitates to the formation of a strategic vision on a regional scale and improves the quality of a regional media strategy.
Subject
General Economics, Econometrics and Finance
Reference40 articles.
1. Arkhipova, T. (2009). Mechanism of optimization of advertising information channels. Marketing: theory and practice: Formation of the market economy, Kyiv: KNEU, pp. 445-460.
2. Cain, P. (2021). Modelling short and long-term marketing effects in the consumer purchase journey. International Journal of Research in Marketing, 39(1), 96-116. https://doi.org/10.1016/j.ijresmar.2021.06.006
3. The Marketing Strategy for Enhancing the Competitiveness of Local Traditional Stores in Thailand;Chantayarkul;59th Annual Conference of the Society of Instrument and Control Engineers of Japan SICE 2020,2020
4. Chenavaz, R., Feichtinger, G., Hartl, R., Kort, P. (2020). Modeling the impact of product quality on dynamic pricing and advertising policies. European Journal of Operational Research, 284(3), 990-1001. https://doi.org/10.1016/j.ejor.2020.01.035
5. Chernyak, O., Fareniuk, Y. (2020). Modeling of Effectiveness of Media Investment Based on Data Science Technologies for Ukrainian Bank. CEUR Workshop Proceedings, 2732, 282-289.