Understanding the effectiveness of various marketing channels is crucial to maximise the return on investment (ROI). However, the limitation of third-party cookies and an ever-growing focus on privacy make it difficult to rely on basic analytics. This talk discusses a pioneering project where a Bayesian model was employed to assess the marketing media mix effectiveness of WeRoad, the fastest-growing Italian tour operator.

The Bayesian approach allows for the incorporation of prior knowledge, seamlessly updating it with new data to provide robust, actionable insights. This project leveraged a Bayesian model to unravel the complex interactions between marketing channels such as online ads, social media, and promotions. We'll dive deep into how the Bayesian model was designed, discussing how we provided the AI system with expert knowledge, and presenting how delays and saturation were modelled.

We will also tackle aspects of the technical implementation, discussing how Python, PyMC, and Streamlit provided us with the all the tools we needed to develop an effective, efficient, and user-friendly system.

Attendees will walk away with:

• A simple understanding of the Bayesian approach and why it matters.
• Concrete examples of the transformative impact on WeRoad's marketing strategy.
• A blueprint to harness predictive models in their business strategies.