Exhibit 36.16 Sales decomposition provides understanding of the
contribution of each element in the promo mix.
Exhibit 36.17 Due-to analysis for a brand.
Marketing mix Models use statistical analysis to decompose sales
into the baseline and each of the factors driving sales. For instance, Exhibit 36.16,
which pertains to a promotions evaluation analysis, illustrates the
incremental gains arising from price discounts, banded packs, displays,
cooperative advertising and competitive effects.
Once the sales are decomposed, a ‘Due-to’ analysis, such as the one shown
in Exhibit 36.17, can be performed to reveals the impact
of each element of the marketing mix on year-on-year sales. The chart reveals the incremental
shifts in volume due to causal factors, as well as the shifts in base volume due to regular
price, advertising and distribution.
