Investigation of Marketing Mix Models’ Business Error using KL Divergence and Chebyshev’s Inequality

Summary

This report is an investigation into the trade-offs between Predictive Accuracy and Business Impact in Robyn, which uses the Nevergrad algorithm for optimizing (Normalized RMSE) and Business Error (Decomposed Residual Sum of Squares) as independent objectives. We examined models with the best and the worst Decomp. RSSD on the Pareto frontier, analyzing their performance through the lenses of Kullback-Leibler (KL) Divergence and Chebyshev inequality…