Understanding the Optimization Section in Morpheus (Marketing Mix Modeling)

In this article, we'll explain the structure of the Optimization section and its main features.

After training the model, you move to optimization to see what could have happened if you followed its recommendations. This helps compare your current media mix with optimized outcomes to find potential improvements and maximize ROI.

Here, you'll find three main parts:

1. Actual Scenario Optimization

This part shows how your existing KPIs and expenses can be optimized compared to your current data. You will see two pie charts:

• The pie chart on the left displays your current media spend percentage divided by different media channels.
• The pie chart on the right shows the optimized media spend suggested by the model to achieve maximum KPI.

2. Optimization Model Results

This part provides a detailed analysis of how your media expenses can be optimized. It includes a table with:

• Your current media spend by channel
• Model suggestions on:
  • Media contribution
  • Media KPI
  • Contribution percentage
  • Media ROI
  • Convertibility

3. Optimization Observations

This section highlights the key results you can achieve after optimization. It includes:

• The percentage of contribution from media channels to the KPI, with the remaining percentage being the baseline.
• Media KPI totals for both current and optimized scenarios.
• Media ROI totals for both current and optimized scenarios.

The optimization section allows you to see potential improvements without any financial investments.

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