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remove spend scaling step from budget optimizer #1070

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Sep 28, 2024
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remove spend scaling step from budget optimizer #1070

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bbed44e
remove spend scaling step
juanitorduz Sep 27, 2024
bc78e64
re-run nb
juanitorduz Sep 27, 2024
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188 changes: 106 additions & 82 deletions docs/source/notebooks/mmm/mmm_budget_allocation_example.ipynb
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40 changes: 13 additions & 27 deletions pymc_marketing/mmm/mmm.py
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Original file line number Diff line number Diff line change
Expand Up @@ -2239,28 +2239,14 @@
The matplotlib figure object and axis containing the plot.

"""
if original_scale:
channel_contributions = (
samples["channel_contributions"]
.mean(dim=["sample"])
.mean(dim=["date"])
.values
* self.get_target_transformer()["scaler"].scale_
)
channel_contributions = (

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samples["channel_contributions"].mean(dim=["date", "sample"]).to_numpy()
)

allocate_spend = (
np.array(list(self.optimal_allocation_dict.values()))
* self.channel_transformer["scaler"].scale_
)
if original_scale:
channel_contributions *= self.get_target_transformer()["scaler"].scale_

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@carlosagostini, Is this still valid, or should we remove the scaling everywhere?

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Contributions still need to be scaled, but not the budget allocation, because the optimizer now returns it in original scale. So post processing is not necessary 🙌🏻

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Ok! Thanks! Si is this one good to go ?

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Indeed!


else:
channel_contributions = (
samples["channel_contributions"]
.mean(dim=["sample"])
.mean(dim=["date"])
.values
)
allocate_spend = np.array(list(self.optimal_allocation_dict.values()))
allocated_spend = np.array(list(self.optimal_allocation_dict.values()))

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if ax is None:
fig, ax = plt.subplots(figsize=figsize)
Expand All @@ -2274,11 +2260,11 @@

bars1 = ax.bar(
index,
allocate_spend,
allocated_spend,
bar_width,
color="b",
color="C0",
alpha=opacity,
label="Allocate Spend",
label="Allocated Spend",
)

ax2 = ax.twinx()
Expand All @@ -2287,19 +2273,19 @@
index + bar_width,
channel_contributions,
bar_width,
color="r",
color="C1",
alpha=opacity,
label="Channel Contributions",
)

ax.set_xlabel("Channels")
ax.set_ylabel("Allocate Spend", color="b")
ax.set_ylabel("Allocate Spend", color="C0")

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ax.tick_params(axis="x", rotation=90)
ax.set_xticks(index + bar_width / 2)
ax.set_xticklabels(self.channel_columns)

ax.set_ylabel("Allocate Spend", color="b", labelpad=10)
ax2.set_ylabel("Channel Contributions", color="r", labelpad=10)
ax.set_ylabel("Allocate Spend", color="C0", labelpad=10)
ax2.set_ylabel("Channel Contributions", color="C1", labelpad=10)

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ax.grid(False)
ax2.grid(False)
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