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A few notes on the legacy of pen and pencil mathematics in marketing optimization, and how the digital age offers new methods opportunities.
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The way things were done, and the way they will be A Mathematics of Marketing Thor Whalen, Mathematician, Sep 2007 https://www.linkedin.com/in/thorwhalen/
67% 38% 17% 25% 17% 38% 36% 28% 18% 56% 45% 17% 68% 14% 12% 18% 71% 28% 14% 14% 60% Segmentation vs Clustering
Segmentation: Classical and Behavior/Data-based Poor Rich FONDEMENTS MATHEMATIQUES Male Female
Segmentation: Classical and Behavior/Data-based Poor Rich FONDEMENTS MATHEMATIQUES Male Female
Segmentation: Classical and Behavior/Data-based Poor Rich FONDEMENTS MATHEMATIQUES Male Female
Segmentation: Classical and Behavior/Data-based Poor Rich FONDEMENTS MATHEMATIQUES Male Female
Segmentation: Classical and Fuzzy Behavior/Data-based Poor Rich FONDEMENTS MATHEMATIQUES Male Female
AA Caucasian Other A Priori Segmentation FONDEMENTS MATHEMATIQUES
AA Caucasian Other A Posteriori Segmentation FONDEMENTS MATHEMATIQUES
Graphical Models Ads and underlyingproducts are related to keywords according to their « behavior » (dynamic performance) on these. FONDEMENTS MATHEMATIQUES
Graphical Models Instead of clustering items together according to an a priori measure of feature similarity… Link the items and features together according to their “behaviors”, as well as the objectives sought for in their manipulation Ads/Products Produits Ads and underlyingproducts are related to keywords according to their « behavior » (dynamic performance) on these. FONDEMENTS MATHEMATIQUES Keywords Clients Fondements mathématiques
Ads/Products Produits Keywords Clients Graphical Models These allow us to relate ads/products to each other more effectively then with priori similarity measures Ads/Products FONDEMENTS MATHEMATIQUES Keywords Fondements mathématiques
Graphical Models Ad/Product Features Ads/Products Keywords FONDEMENTS MATHEMATIQUES Keyword Features
Information propagation Every item is individual FONDEMENTS MATHEMATIQUES
Information propagation Every item is individual … but shares behavioral characteristics with other items. Key terms: Fuzzy Clustering, Data Fusion, Behavioral Targeting FONDEMENTS MATHEMATIQUES