How to communicate the uncertainty in MMM results?
As we complete work with our fifth partner since launching Linea, one challenge remains consistent: communicating the uncertainty inherent in MMM results.
MMM is a statistical technique. This means that results have:
- A “point estimate” typically known as the ROI/ CPA e.g. the ROI is £3
- A range around this ROI. Known statistically as the distribution, but would actually indicate the ROI is £2.50 - £3.50
How do you communicate this uncertainty?
To build trust, it is important to be transparent when communicating this uncertainty. But it's not easy.
Particularly for teams new to MMM, many providers still treat it as a black box or just another reporting tool. At Linea, we shift the conversation to a strategic tool that requires interpretation and trust.
MMM is a two-sided problem
MMM is a two-sided problem
- Automate the analysis to scale effectively
At linea we do this through our Always on MMM platform. This works by connecting to your data, running an automated modelling and feeding
- Invest the time to build trust - We do this in a number of ways, including:
- We do regular measurement each week/ month, or quarter, not annually. This allows us to build a true Test & Learn media measurement culture
- Opening up the black box to more information, through the Linea platform
- Embedding the methodology across your business
- Combining approaches to build trust. Don’t trust the MMM result how do we validate/ invalidate this through A/B tests.
This combination ensures the results are understood, acted on, and ultimately drive value through measurement.