Alex Gaski - Data Scientist @ Mcdonald's discusses marketing analytics from the Data Science perspective and how to get Better Marketing Measurement. About Promotable: At Promotable, we create education solutions that empower career potential and advancement. We teach in-demand and marketable skills that can help anyone advance in his or her career.

2. What is Promotable?

3. Success in today’s economy means understanding
Data. At Promotable, we create education solutions that
empower career potential and advancement. We teach
in-demand and marketable skills that can help anyone
advance in his or her career.

4. Learn from Real World Practitioners
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5. Upcoming Events & Courses

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● May 22

8. Journey Towards Better
Marketing MeasurementAlex Gaski
Data Scientist- McDonald’s
US
4.17.2019

9. About me
Data scientist: Performance Learning Manager @ McDonald’s US
• Drink of choice: Wine, Rieslings current favorite
• Pet Peeves: People getting on the L before people get off
• Go-to McDonald’s Order: Egg McMuffin
• Last Movie Watched: Captain Marvel
• What music is on your playlist: Jazz, Big Band Music, along the lines of Nina
Simone and Frank Sinatra
• Favorite Sport Team: Chicago Blackhawks
• Most Admired Leader: Benjamin Franklin

10. Today’s
topic

11. Agenda
• How to optimize media to business goals rather than media
metrics
• Worst to best methodologies for media measurement
• Challenges to understanding true return on marketing spend
• What is Marketing Mix Modeling
• What kind of data should you be collecting
• How to get started

12. Sales
GCs
Market Share
Marketing
results
are influencers
of but not
synonymous
with business
results
Marketing Performance
Indicators
Awareness Engage Convert Advocate
Social
media
Volume &
Sentiment
Email
open
rate
Promoted
product
URWs
Search volume
Awareness
Strength
of
creative
Media plan
store visit
rate
Issue: Leadership wants to know how marketing is contributing to
the business but traditional marketing metrics don’t answer this

13. Media Metrics
In Store
Traffic
In Store
Sales
Brand &
Creative Metrics
Measurement Metric
On-Target
Reach Ad
Verification
Frequency
Lifts in Awareness,
Perception,
Association and/or
Intent
In Store Lift (currently
leveraging proxy
data)
Sales Lift (currently
leveraging proxy
data)
KPIsObjective
Increase
Consumer Brand
Love
Drive Reach |
Frequency &
Meet
Benchmarks
Drive In Store
Traffic
Convert Sales
Where most
marketers sit
Where they
want to Go
Typical way to
measure
Total Traffic Pre
Post Cost Per Inc
Visit Multitouch
Attribution
Surveys
Focus
Groups
Engagement
(CTR, Video
Completion)
Nielsen Ratings
Publisher
reports
Sales Pre Post
Media Mix
Modeling (MMM)
Worst To Best Ways To Measure Media
Performance

14. We want to know how our marketing performed
… but challenge is so many external factors effect
performance
7
Outside
Company’s
control
• Weather
• Population demographic near stores
• Minimum wage law changes
• Consumer Buying Power
• US Economic Outlook
• Gas prices
• Unemployment
• IEOtrends
• Competitive media spend
• Competitive pricing strategy
• Competitive store location openings/closings
Within
Company’s
Control
► What we are selling
► Customer
Satisfaction
► Complaints per Guest
Counts
► Pricing
Strategy
► Store variables (e.g. # of drive through
lanes, # of employees, location)
► Store
openings/closings
► Online vs
Offline
Within
Company’s
Marketing
Control
► Spend per product category & message
type
► Numberof
campaigns
► Media mix foreach
campaign
► National and Coop roles and
responsibilities
► Flighting strategies/Campaign
overlap
► Instore promotional
signage
►
PR►
Discounts/offers
*List not exhaustive of all possible factors

15. Econometric modeling -> Marketing Mix Modeling (MMM) is gold
standard in evaluating marketing performance measurement
• MMM modelingteases apart the effects of media and marketing activities that occur at the same time to
determine the impact on sales and ROI measures for individual marketing activities
• Accordingto MMA 2018 survey 46% of companiesare using MMM models to assess marketing/media
performance
$-
$100.0
M
$200.0
M
$300.0
M
$400.0
M
$500.0
M
$600.0
M
$700.0
M
$800.0
M
Baseline
Sales
Pricing Impact from New product Decrease Competition
Marketing Weather launch Service Times Marketing
Total sales
Example Salesdecompfrom MMM
30%
5%
15%11%
11%
19%
6%
3%
Example Contribution to Sales by
Channel
TV
Prin
t
OO
H
Radio
Digital Display
Social
Streaming audio
Search

16. ROMI is used not only to understand past performance but to optimize
media spend across channels, products, messages
Media
Investment
Levels/PODR
Understand
Media Saturation
Levels and
points of
diminishing
return
Halo and
Cannibalization
Understand how
new changes are
affecting the overall
ROI on marketing
and evaluate the
effects of local vs
national spending
Calendar
Planning/Optimal
Message
Pairings
Understand what
messages combine
when advertised in
the same time frame
Campaign
Optimization
Understand factors
what drives the
best ROI and the
most sales across
Products, Message
types, and Media
Vehicles

17. Some Examples of how we are using MMM today for
Media

18. Other MMM outputs – Calendar Simulations
• ROMI is an input we use not only to evaluate past marketing performance
• We have a simulation & optimization engine built on top of the model that allows us to run possible calendar combinations to determine
best ROMI and Sales outcomes
• Limited capabilities for Coops at this time as it assumes all Coops go to market the same (e.g. Balanced Archetype used for all Coops)

19. What data do I need for
this?
Economic
Variables
• Weather
• Population demographicnear stores
• Minimum wage law changes
• Consumer Buying Power
• US Economic Outlook
• Gas prices
• Unemployment
• IEO trends
• Competitive mediaspend
• Competitive pricing strategy
• Competitive store location openings/closings
Company
Variables
► What we are selling► Customer
Satisfaction
► Complaints per Guest
Counts
► Pricing
Strategy
► Store variables (e.g. # of drive through
lanes, #
of employees, location)
► Store
openings/closings
► Online vs
Offline
Marketing
Variables
► Spend per product category & message
type
► Numberof
campaigns
► Media mix foreach
campaign
► National and Coop roles and
responsibilities
► Flighting strategies/Campaign
overlap
► Instore promotional
signage
►
PR►
Discounts/offers
*List not exhaustive of all possible factors

20. Step 1
Find your
advocate in
the
organization
Step 2
Start collecting
the data
Step 3
Hire data
scientists or
analytics firm
Not something
you necessarily
want to do on
your own
Step 4
Step 5
How can I get started?
Create a
culture
around
measurement
Benchmark
against
yourself and
cut bottom
20% of what
you’re doing
and reinvest in
top 20%

21. Q&A

22. Connect With Us
LinkedIn:
www.linkedin.com/school
/promotable/
Website:
www.promotable.io
Instagram:
@promotable_io

23. Extra Info:
Promotable Courses

24. Data Jump Start
● Gain confidence navigating datasets
● Learn powerful, advanced functions and features like
Pivot Tables, calculated fields and conditional
formatting
● Leverage Excel’s most important and powerful
features
● Analyze data and derive insights

25. Intro to Data Analytics
● Use Excel, SQL and Tableau to collect, clean and
analyze large datasets
● Understand some of the basic fundamentals of Data
Science
● Present data-driven insights to key stakeholders using
data visualization and dashboards
● Tell compelling stories with your data