Advertising Budget Optimization: An application of Marketing Mix Modelling and Linear Programming :

In this example I show how to use a Least Square regression to estimate the effect that a number of variables – such as the channel, the length of the commercial, the day of the week and the hour – have on sales. Afterwards, I use these results to decide how many commercials to schedule and where, by solving a constrained linear opimization problem using Linear Programming and the lp_solve package.