Alaska Airlines and Adswerve Discover $100M Revenue Opportunity with Google's Meridian Marketing Mix Model.

Alaska Airlines and consultancy Adswerve found a projected increase of up to $100 million in addressable advertising revenue by using Google's open-source Meridian marketing mix model. The analysis also showed a 3% increase in return on investment based on budget optimizations. Meridian provides a holistic view of how channels affect the customer funnel and takes in additional information such as holidays, seasonality, and customer reviews.

Alaska Airlines, in collaboration with consultancy Adswerve, has identified a significant projected increase in addressable advertising revenue by leveraging Google's open-source Meridian marketing mix model (MMM). The analysis forecasts an opportunity for up to $100 million in additional revenue, representing an 11% projected increase [1]. Additionally, the predictive analysis suggests a 3% increase in return on investment (ROI) based on budget optimizations [1].

Meridian, launched by Google in March 2024, offers a comprehensive approach to marketing measurement by providing a holistic view of how various advertising channels impact the customer funnel. It integrates data from traditional channels like television, radio, and out-of-home advertising, as well as external factors such as holidays, seasonality, and customer reviews [1]. This capability is particularly valuable in an increasingly fragmented media landscape.

Adswerve, which has been working with Alaska Airlines since 2020, implemented Meridian in a rapid three-month period. The consultancy's proprietary dashboard amplifies Meridian's capabilities, offering deeper insights, dynamic budget adjustments, and real-time optimization [1]. This tool enables marketers to discern the impact of their ads more accurately and make data-driven decisions.

The partnership between Alaska Airlines and Adswerve demonstrates the potential of advanced analytics and modeling solutions in enhancing marketing performance. By implementing Meridian, Alaska Airlines can better understand the effectiveness of its advertising strategies and allocate resources more efficiently.

References:
[1] https://www.marketingdive.com/news/alaska-airlines-100m-revenue-opportunity-google-meridian/752345/