FAQ    Incrementality     How Do You Calculate Incremental Sales Driven by a Media Tactic?

How Do You Calculate Incremental Sales Driven by a Media Tactic?

The impact of a marketing tactic (eg: Facebook prospecting, retargeting, catalog, direct mail, national TV) is typically measured in terms of incremental sales driven by that tactic. Incremental sales driven by a media tactic are calculated using advanced marketing measurement techniques. There are three major types of advanced marketing measurement techniques.

  • Design of Experiments (DoE)
  • Marketing Mix Modeling (MMM)
  • Multi-Touch Attribution (MTA)

Once incremental sales are calculated for a tactic using one of the above techniques, the ROI for that tactic is calculated using the following formula.

 

Author

Madan Bharadwaj - Cofounder & CTO

Expert in advertising measurement, attribution and analytics

 

Incremental sales driven by a media tactic are calculated using advanced marketing measurement techniques like experimentation, MMM or MTA.

 

The impact of a marketing tactic (eg: Facebook prospecting, retargeting, catalog, direct mail, national TV) is typically measured in terms of incremental sales driven by that tactic. Incremental sales driven by a media tactic are calculated using advanced marketing measurement techniques. There are three major types of advanced marketing measurement techniques.

  • Design of Experiments (DoE)
  • Marketing Mix Modeling (MMM)
  • Multi-Touch Attribution (MTA)

Once incremental sales are calculated for a tactic using one of the above techniques, the ROI for that tactic is calculated using the following formula.

 

Author

Madan Bharadwaj - Cofounder & CTO

Expert in advertising measurement, attribution and analytics

 

While designing scientifically sound experiments for each channel, campaign and tactic can be a complex process, Measured has you coved.