This article provides an overview of the commercial marketing mix model (MMM), from economic foundations, through statistical estimation to commercial outputs. Against the background of the conventional approach, we put forward alternative theoretical and econometric frameworks for improved short-term ROI evaluation, together with techniques for evaluating the long-term effects of marketing investments and how these may be combined with short-term results to provide total ROI. We conclude with a discussion of the managerial benefits of the mix model and the total returns on marketing.
