Marketing Mix Modeling for Ecommerce & Retail

MMM optimises contribution margin, top-line growth, and profitable customer acquisition. And it is calibrated by incrementality tests.

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The Problem

Your attribution is lying to you

Platform-reported ROAS, last-click attribution and blended KPIs all tell you what looks good on a dashboard. None of them tell you what actually moved the needle.

Over-Attributed Conversions

Incrementality tests routinely show 70–80% of "attributed" conversions would have happened without the ad. You're paying for sales you already own.

Invisible Saturation

Without diminishing returns curves, you can't see where channels are saturated. You keep scaling what looks good while marginal ROI collapses.

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Cookie Deprecation

Tracking data is becoming more limited every quarter. Decisions based on partial cookie data will be the biggest factor stunting growth in the next 2 years.

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The Next £100K Problem

You can't confidently say what +20% or −20% spend will do to total revenue. So every scaling decision is a multi-million-pound bet based on gut feeling.

How Valda Uses MMM

From strategic insight to tactical execution

Dema's MMM gives us the science. We give you the strategy, the execution, and the results.

Optimal budget allocation

See exactly where your next pound of spend delivers the highest incremental return. No guesswork, no channel bias — just data-backed recommendations optimised against your true contribution margin

  • Recommendations tailored to your products, customers, and unit economics
  • Scenario planning: simulate budget shifts before spending a penny
  • Always updated for real-time allocation decisions
  • Optimise for contribution margin, not vanity ROAS

See where your spend stops working

Visualise diminishing returns for every channel. Dema integrates your unit economics with saturation curve insights so you can see the exact point where scaling stops being profitable and stop spending past it.

  • Shift from intuition-driven to data-driven budgeting
  • Visualise ad spend saturation curves per channel
  • Avoid overspending on channels with diminishing return
  • Informed by your actual unit economics, not platform ROAS

Seasonal intelligence, year-round profit

Your media mix shouldn't be static. Our MMM model continuously integrates seasonality, automatically refining channel recommendations to ensure budgets are optimised across seasons for peak profitability.

  • Automatically adjusts for seasonal demand variations
  • Identifies optimal timing for campaign launches
  • Channel-specific recommendations based on seasonal performance
  • Align spend with business cycles, not calendar assumptions

Calibrated by incrementality testing

An MMM is only as good as its validation. We run structured geo holdout and budget step tests to calibrate the model against real-world uplift creating a continuous test-and-learn loop that gets smarter every cycle.

  • Geo holdouts and on/off tests with defined readouts
  • Separate baseline vs. incremental sales per channel
  • Continuous calibration. Not a one-off annual study
  • Confidence intervals on every recommendation we make
Get in touch

See how Valda can leverage Dema AI to scale your business

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