Google has launched Meridian, an open-source Marketing Mix Model (MMM) designed to help marketers optimise their advertising budgets. According to Google, the tool has been tested with hundreds of global brands and aims to provide deeper insights into the effectiveness of marketing campaigns across various channels.
It is understood that Meridian addresses limitations of traditional MMMs, which have struggled to measure the performance of digital media like Google Search and YouTube. By using Bayesian causal inference, the model blends real-world data with prior knowledge to offer a clearer understanding of how different marketing efforts impact business outcomes.
The tool helps businesses assess both short-term results and long-term brand-building activities. Meridian not only tracks immediate conversions but also captures how TV commercials, social media campaigns, and other brand activities influence future purchases and customer acquisition. According to Google, the platform incorporates external factors like seasonality, pricing, and promotions, allowing businesses to make more informed decisions.
One key feature of Meridian, as explained by Google, is its transparency. The open-source framework allows users to explore and modify its underlying code and methodology. Marketers can tailor the model to their specific needs, focusing on KPIs such as sales, conversions, and website visits to optimise budget allocation.
Google also introduced a partner program, with over 20 certified measurement vendors trained on Meridian best practices. These experts are available to guide brands in implementing the model and refining their marketing strategies. As per Google, “Meridian accounts for reach and frequency — not just impressions — to help you maximize the impact of your video investments.”
Meridian is available for download on GitHub, and it is understood that Google plans to continue enhancing the platform with new features and improvements to maintain its relevance in the evolving digital advertising landscape.