DeepCausalMMM: A Deep Learning Framework for Marketing Mix Modeling with Causal Structure Learning

Fuente: arXiv
Saved in:
Bibliographic Details
Main Author: Tirumala, Aditya Puttaparthi
Format: Preprint
Published: 2025
Subjects:
Online Access:
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1866913063551107072
author Tirumala, Aditya Puttaparthi
author_facet Tirumala, Aditya Puttaparthi
contents Marketing Mix Modeling (MMM) estimates the impact of marketing activities on business outcomes such as sales or revenue. Traditional MMM approaches rely on linear regression or Bayesian hierarchical models that assume channel independence and struggle to capture temporal dynamics and non-linear saturation. DeepCausalMMM addresses these limitations by combining deep learning, causal inference, and marketing science. It uses Gated Recurrent Units (GRUs) to learn temporal patterns (adstock, lag) while learning statistical dependencies between channels through Directed Acyclic Graph (DAG) structure with upper triangular constraints. It implements Hill equation saturation curves for diminishing returns and budget optimization. Key features: (1) data-driven hyperparameters learned from data with defaults, (2) linear mean scaling of the dependent variable, (3) configurable attribution priors with dynamic loss scaling, (4) multi-region modeling with shared and region-specific parameters, (5) robust methods including Huber loss, (6) response curve analysis.
format Preprint
id arxiv_https___arxiv_org_abs_2510_13087
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle DeepCausalMMM: A Deep Learning Framework for Marketing Mix Modeling with Causal Structure Learning
Tirumala, Aditya Puttaparthi
Machine Learning
Methodology
62P20, 62M10, 68T05, 62-04
I.2.6; I.5.1; G.3
Marketing Mix Modeling (MMM) estimates the impact of marketing activities on business outcomes such as sales or revenue. Traditional MMM approaches rely on linear regression or Bayesian hierarchical models that assume channel independence and struggle to capture temporal dynamics and non-linear saturation. DeepCausalMMM addresses these limitations by combining deep learning, causal inference, and marketing science. It uses Gated Recurrent Units (GRUs) to learn temporal patterns (adstock, lag) while learning statistical dependencies between channels through Directed Acyclic Graph (DAG) structure with upper triangular constraints. It implements Hill equation saturation curves for diminishing returns and budget optimization. Key features: (1) data-driven hyperparameters learned from data with defaults, (2) linear mean scaling of the dependent variable, (3) configurable attribution priors with dynamic loss scaling, (4) multi-region modeling with shared and region-specific parameters, (5) robust methods including Huber loss, (6) response curve analysis.
title DeepCausalMMM: A Deep Learning Framework for Marketing Mix Modeling with Causal Structure Learning
topic Machine Learning
Methodology
62P20, 62M10, 68T05, 62-04
I.2.6; I.5.1; G.3
url https://arxiv.org/abs/2510.13087