This document discusses how historical purchase data is highly predictive of future purchases compared to other types of customer data like demographics. It explains that only around 10 features are needed when using past purchase data to predict future purchases with 90% accuracy, whereas around 1000 features would be needed without past purchase data. The document also describes how Walmart matches first-party customer data to households to target ads and measure their effectiveness by comparing in-store purchase behaviors of customers exposed to ads versus a control group not exposed.

1. All Data Is Not Created Equal
Brian Monahan, VP of Marketing @Brionic

2. Source: comscore multi-platform data including mobile ending July 2015
2nd
largest retail site

3. is a giant
personalization
machine

4. We have learned that
data can be misleading
Already Purchases Your
Brand or Category
Complimentary Items
Outside Your Category
Demographics
Geographic
Online Interests
& Behavior
Lapsed User of Your
Brand or Category
?

5. 4K TVs

6. Women’s Apparel

7. Automotive

8. Video Games

9. The Power of Commercial Data
ROC curve
TruePositiveRate
False Positive Rate
ROC curve
TruePositiveRate
False Positive Rate

10. Historical purchase data is significantly more predictive
for future purchases than any other demo/behavior data
70% Accuracy
(demo, social, geo, other behavior, etc.)
# of features needed without
prior purchase data
# of features needed with prior
purchase data at same scale
90% Accuracy
(historical purchase)
~1000 ~10

11. Proprietary first-party
Walmart/Sam’s Club data
matched to U.S.
households
Differences in key
online and in-store purchase
behaviors of shoppers exposed
to media (test) and non-
exposed (control) are
measured and analyzed
Impressions are served across
Walmart-owned media
channels, tracking those
exposed
Matched data is
anonymized and synced
to online cookies
Households are then used to segment Walmart.com
shoppers for targeting and measurement
How It Works

12. Test users
Control users
generated from algo
Attribute 1
Attribute 2
WMX Control Method

13. Media Auto Optimization
WMX data allows Walmart to optimize media elements in real-time based on actual in-store
sales, improving media over time.
On average, auto-optimized tactics see 1.5x – 2.5x higher lifts
(vs. non-optimized line items)
Source: WMX Optimization Report for Pampers 81191

14. Modern Media Planning is beyond human
comprehension … it takes a software solution.

15. Thank you