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Practice paper

Applying a delta opportunity index to paid media budget planning

Roger Kamena and Jean-François Renaud
Applied Marketing Analytics: The Peer-Reviewed Journal, 4 (4), 342-354 (2019)
https://doi.org/10.69554/TOHK3570

Abstract

This paper addresses the problem of paid media budgeting and forecasting using a data-driven approach. As there is no specific analytic framework to estimate advertising investment, such calculations tend to be ad hoc in nature. This paper presents the delta opportunity index as a potential approach to paid media budgeting. The technique combines internal client analytics data as a proxy for the offer variable and external data such as search engine query volumes as a proxy for the demand variable. From there, the combined data sources are standardised as ratios to enable the calculation of the delta opportunity index. The final output provides a media budget distribution estimate to be used by media planners and marketers.

Keywords: marketing ROI; paid media; forecasting; media planning; analytics; digital advertising; search engine marketing

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Author's Biography

Roger Kamena is Vice-President, Data Science and Technology at Adviso Conseil Inc. His extensive skills include e-commerce, search engine marketing, programmatic media buying, Big Data solutions, advertising technology and optimising the performance of complex media ecosystems. He has worked on the implementation of complex advertising technologies and the development of audience management strategies for such leading brands as Nespresso, Cirque du Soleil, National Bank of Canada, Ubisoft and Air Canada.

Jean-François Renaud is a Co-founder and partner at Adviso Conseil Inc. where he is responsible for development and branding. He has developed partnerships with major national and international clients in a variety of industries, including retail, travel and tourism, manufacturing and business services. Jean-François has taught electronic commerce at HEC Montreal for over ten years, is an expert coach at the École d’Entrepreneurship de Beauce and is also the official trainer for Quebec’s Google Partner Academy. He is also a regular guest in Canadian media as well as digital business publications. He has a business administration degree and an MSc in electronic commerce from HEC Montreal.

Citation

Kamena, Roger and Renaud, Jean-François (2019, March 21). Applying a delta opportunity index to paid media budget planning. In the Applied Marketing Analytics: The Peer-Reviewed Journal, Volume 4, Issue 4. https://doi.org/10.69554/TOHK3570.

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cover image, Applied Marketing Analytics: The Peer-Reviewed Journal
Applied Marketing Analytics: The Peer-Reviewed Journal
Volume 4 / Issue 4
© Henry Stewart
Publications LLP

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