What is TheGMAX™?
TheGMAX™ is a data mining software tool based on the principles of genetic programming, which use computers to solve problems without being explicitly programmed. It uncovers complex relationships among data sets and variables, unobtainable through traditional methods.
TheGMAX™ takes every variable, and every combination of variables, and then builds a series of models, literally using hundreds of different statistical techniques. Each model is measured for fitness’, with most-fit models reproducing, and the least fit models dying off—a statistical survival of the fittest!
Eventually, a model is found that best answers the question, or best solves the problem.
We like to describe TheGMAX™ as a big, tireless brute that loves to ‘eat’ data. In fact, TheGMAX™ works best with more data.
When would you use TheGMAX™?
We commonly use TheGMAX™ to help conduct a ROMI analysis. A Return on Marketing Investment (ROMI) analysis helps organizations understand the effectiveness of their marketing spending. A ROMI analysis examines business results in relation to specific marketing activity. The ability to examine every combination of your marketing variables means we don’t look at each of your marketing activities by themselves, but in the context of an overall marketing system. Think of the key insight as “a total recipe for success” – it’s important to know the right combination of marketing ingredients at the right levels.
Common Data Sets & Variables Tested
- Expenditures by marketing activity by medium by week
- GRPs or other measures of marketing communications delivery (insertions, impressions, drops, hits, etc.)
- Sales (ideally by SKU by store by week)