Machine learning models for modern data-driven marketing

Data-driven marketing is now in charge. However, the effectiveness of marketing and advertising still needs to be improved. In this blog, we share some solid tips from 10+ years of research by machine learning scientists to all marketing professionals.

Chipotle sales increased by 81% through digital ordering in these difficult days, when many other businesses are experiencing a decrease in sales due to the pandemic.

“Investing in digital over the last several years has allowed us to quickly pivot our business with Q1 digital sales reaching our highest ever quarterly level of $372 million” — CEO of Chipotle, Brian Niccol, said in a statement.

Even in the current difficult situation, not every company is losing, but for sure the winners are those who have prepared for a more efficient and intelligent era.

Advanced technologies, such as machine learning, have been applied to more and more aspects of work. At Wali, we use all types of technology at work, and we think technology is a big part of our life. Our digital marketing service is built around identifying core KPIs, data-oriented technologies and reinforcement learning.

Here are some A.I. models and their possible applications in reality. These models could be easily adapted as a mindset and applied to any marketing campaign.

1: K-Means Clustering

K-Means is one of the most well-known clustering algorithms. In theory, K-Means clustering is a method of vector quantization that aims to partition n observations into k clusters in which each observation belongs to the cluster with the nearest mean. 

Reference: K. Wagstaff, S. Rogers, S. Schroedl, “ Constrained K-means clustering with background knowledge “, Proc. 8th Int. Conf. Machine Learning, pp. 577–584, 2001.

Marketing professionals can utilize this algorithm to create segmentation for all their influencers. Every individual influencer has different characteristics. Grouping them into different segments makes the future match 65% faster. At the Wali tech team, we apply this algorithm to our huge set of influencers. It helps us match influencers more accurately to specific industries or one business.

2: Decision Tree

Decision trees are powerful machine learning models that are widely applied in real-world applications. They are defined by recursively partitioning the feature space, which is very easy to interpret. Enhancing the decision tree using reinforcement learning examines all features of a new data point to update model parameters.

Reference: A. M. Roth, N. Topin, P. Jamshidi, M. Veloso, “Conservative Q-Improvement: Reinforcement Learning for an Interpretable Decision-Tree Policy”, arXiv preprint arXiv:1907.01180, 2019

One of the biggest pain points for influencer marketing is to keep matching the brand with a new set of influencers in a dynamic way. This algorithm can help this situation. By creating a decision tree, any marketing professionals can pick a new set of influencers for a brand in a short time. Combining the decision tree with reinforcement learning, the system continuously updates the corresponding decision trees automatically. For example, at Wali, we first created our own decision tree, then kept reinforcement learning on our decision tree. As we are receiving new data points, we can quickly identify the best time to match a specific influencer to a brand.

3: Logistic Regression

Logistic regression is a statistical model that uses a logistic function to model a binary dependent variable. There are many more complex extensions that are applied to various marketing applications.

One typical application is to use logistic regression to predict customer churn. The prediction result can help businesses maximize the usage of their marketing budget by spending money (such as email, push notification, or limited-quantity promotion) on loyal or potential loyal customers.

Credit: John Sullivan, “Churn Prediction: Logistic Regression and Random Forest”

Many times, we only use the numbers a third party platform provides for us to calculate the performance of marketing campaigns. Marketing professionals can also start calculating the loyalty of a customer set, and evaluate the marketing performance based on a combination of third party results and customer loyalty. The same thing can be applied to customer lifetime value.

At Wali, we track all the values above, then calculate the most valuable set of customers and influencers for the brand. This algorithm helps us to keep our promise of matching accuracy for our client.

The perfect marketing campaign is hard to produce. Data-driven strategies are helping us to find a better answer. We encourage as marketing professionals, our readers will adopt some methods from our blog and use them for their next marketing campaign.

Wali autopilot influencer platform is built with more complex ML models, so your brand can quickly match with the best audience. No recruiting, no negotiation. 

Learn more about our no recruiting, no negotiation autopilot influencer platform at

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How 2-Trillion-dollar-stimulus-fund Matters to Your Business

The US Congress has doled out 2 Trillion US dollars as stimulus checks amid the coronavirus pandemic. What you should be thinking about however is how this fund will affect your sales. Here are some strategies your brand can start using…

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I’ve been hearing confusion all day today about these checks. Time to set the record straight. 💪⁣⁣ ⁣⁣ Don’t believe this stuff:⁣⁣ ⁣⁣ 🚫You need to sign up or register for your stimulus check⁣⁣ 🚫You’ll pay taxes on your check⁣⁣ 🚫You have to pay your stimulus back⁣⁣ 🚫You might have to return it.⁣⁣ ⁣⁣ Here’s why the above is false:⁣⁣ ⁣⁣ 💰If you have direct deposit set up with the IRS, it’s automatic. If you’re not sure, check this sexy new IRS tool:⁣⁣ ⁣⁣ If you didn’t file for last year or the year before, you do need to use the non-filers section of the aforementioned sexy new tool.⁣⁣ ⁣⁣ 💰You won’t owe taxes and there’s no chance the money can bump you up to the next tax bracket which would make you pay more in taxes. (The only exception to this is if you are behind on child support…which you hopefully are not.)⁣⁣ ⁣⁣ 💰The stimulus checks are an advance on a tax credit (not loan or refund) or this year’s taxes. It’s just coming your way early. If you didn’t qualify with last year or the year before’s return and your income is impacted now, you could qualify next year (remember this is a credit for next year technically). ⁣⁣ ⁣⁣ 💰Nope. Let’s say you qualified in 2018 but not 2019…they aren’t going to ask for it back. Pinkie swear. ⁣⁣ ⁣⁣ Bunches of questions about whether this affects your refund (which I generally have many thoughts on why you shouldn’t get one but I’ll save those for another time)…no. Hard stop. Your refund is money that comes back to you because you’ve overpaid taxes over the entire course of the year. This check is a payment that’s apart from tax obligations. 🙌⁣⁣ ⁣⁣ So to be super clear: it won’t reduce your refund or increase your 2020 taxes when you file those babies next year. ✔️✔️⁣⁣ ⁣⁣ Hope this helps! 🥰 If it does, share with a friend who is overwhelmed by all this stuff (who isn’t?!) ⁣ ⁣ ⁣ ⁣ #money #personalfinance #stimulus #stimuluscheck #stimuluspackage #covid_19 #covid19 #financialfreedom #financetips #personalfinances #moneytips

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People are receiving stimulus checks. Credit: nicolelapin @ Instagram

The US Congress has doled out 2 Trillion US dollars as stimulus checks amid the coronavirus pandemic. Millions of Americans will receive these checks; in fact, many people have already confirmed receipt of these funds. For the records, single persons will get $1200 while married couples will receive as much as $2400.

As this 2-Trillion-dollar-stimulus-fund is being disbursed, economists are already looking at how this will affect the total economy and the buying power of every receptor of this fund. What you should be thinking about however is how this fund will affect your sales in these times, and what your next marketing strategy should be.

Although the stimulus package is supposed to encourage customers to make purchases, it has not achieved its aim as many people have since postponed all optional purchases and don’t seem like they will be back any time soon. It now behooves on businesses to gain customers’ attention one way or the order and make sales despite the situation.

Many brands are trying to catch up; from giving out discounts daily to introducing new products. You might be wondering what creative ways by which you can gain the customer’s attention. Here are some strategies your brand can start using today:

• Influencer demo videos

• New product promotion

• New business model for existing businesses

• Pure discount strategy

Let’s take a look at how you can make these strategies work for your business.

Influencer demo video

Sarah, a professional makeup artist demoing for Marc Jacobs beauty product line. Credit: Marc Jacobs Beauty @ Instagram

Right now, customer confidence and interest are very low and there is little that can improve their interest level; influencers happen to fall within this category. Influencer marketing is a great way to encourage consumer purchase decisions. They would be more moved to get a product endorsed, promoted and marketed by an influencer they follow than a company’s ad or promotional post.

Wali is a complete autopilot influencer platform. No more recruiting, no more negotiation on your end. Learn more at

New products promotion

New products favorable to customer retention. Credit: strivectin @ instagram

The old Pareto Principle can still be applied across many industries: 80 percent of your revenue comes from 20 percent of your customers. New products could be seen as more favorable to a brand’s loyal customers. Thus, this strategy could also help brands attract customer attention. Give your customers something they’ve never seen or tried before. It will be hard to turn down a new product from a brand you’ve always loved; not when you have what it takes to purchase the product and find out for yourself how much you would love it.

Existing well-known business trying a new business strategy

Nordstrom Trunk Club Prpgram. Credit: Nordtrom @ Instagram

Try a new strategy with your brand or business. For example, personalize your products, explore the potential of your brand and products, and then project it to your customer in a unique manner. Gain insight into what matters most to your customer in times like this and get it across to them.

Pure discount strategy

More tips can be found here.

It is common practice to offer discounts, coupons, free shipping, promo codes, and BOGOF to boost the sales of your product. We shared some of our tips for a pure discount strategy on what-to-do-and-what-not-do in our last post. Click here to read about it if you are interested.

What now?

We can find some similarities in the history of economics. In both 2009 and 2008, there were bills passed for stimuli checks; $14.2 billion for 2009 and $120 billion in the fiscal year 2008. 2020 has however seen the biggest stimulus package, and without a doubt, this 2 trillion US dollars will matter especially to manage the inflation and prevent depression.

However, to what degree this stimulus fund will help is an open question. We’d love to hear from you. Let us know what your assumption on how much 2 trillion US dollar will matter for your business.

Market Your Beauty Products Online Despite COVID-19

The new coronavirus has paralyzed almost all fields of commerce recently including the beauty industry and as known and noticed, a lot of stores have closed their doors in order to diminish the spread of the virus.

However, another type of commerce is, fortunately, still alive: e-commerce. It means that you can still sell your beauty products to a wide range of people just online. Ergo, if you are involved in the beauty industry or own a beauty brand business, this article can be tremendously beneficial for you.

It may seem doable, and in fact, it is doable, but we do see that our business clients in this industry have some struggles to overcome.

Continue reading “Market Your Beauty Products Online Despite COVID-19”

All the giveaway strategies during the Superbowl season that you could apply for Valentine’s Day Marketing Campaigns

During the Superbowl season, Sabra Hummus did a $500,000 giveaway. By doing this, Sabra Hummus really gained tons of public eyes, and we have to say this is a great marketing strategy! This received coverage from many big news organizations who talked about this campaign, and surely Sabra Hummus gained many new followers online as well as offline customers.

Sabra Hummus is not the only one that does giveaways. A giveaway marketing strategy is growing in the Instagram community now. How can you also use this giveaway to track new customers, gain online exposure, and increase your valentine’s day sales?

Continue reading “All the giveaway strategies during the Superbowl season that you could apply for Valentine’s Day Marketing Campaigns”