Marketing attribution modelling can help determine which touch points (points of user interactions) or marketing channels in a buyer's journey, were successful at converting a lead. There are multiple attribution models, which each accredit the value of a conversion differently across touch points.
Model comparison tools examine how each model distributes the value of a conversion. There are six different types of attribution models:
1. First click
2. Last click
3. The final non-direct click
5. Time decay
The customer, for example, used four touchpoints. The time decay attribution model would reward all four touchpoints, but the latter two—Google Ads and Facebook—would receive a greater percentage of the credit than the first two.
For instance, suppose the buyer interacts with 4 distinct marketing channels. The linear methodology divides the credit generated by 4, allocating 25% of the sale to each touchpoint.
6. Position based
Why is Attribution Modelling important?
Company executives and directors are forever expecting you to increase marketing ROI, but often information about what truly caused your customer conversions, is limited. Platforms like facebook and google can allow us to see how many people purchased from an advert. However, they do not indicate which touch points a consumer had with your brand before they made the transaction. In other words, these channels and their reporting only track the goal, not the assist.
Attribution modelling allows you to understand what platform is the best at assisting and is responsible for setting up the most goals.
You can improve your understanding of the ROI for each marketing channel by examining each attribution model. You can choose one of these attribution models as your primary reporting and analysis methodology. Different factors, such as business goals or purchasing cycles, can make one model superior to another.
Attribution modelling is an analysis tool, and you don't have to settle with just one. They should be continually compared against one another to understand the performance across different models. This will help highlight the significance that touch-points play in the customer experience.
There are several benefits of attribution modelling which consist of:
- Increasing understanding of the consumer journey
- Reducing spending on under-performing campaigns
- Allowing marketing teams to better structure their omni-channel communications
- Making it easier to develop an understanding of each channel and it's effectiveness
Not sure how to implement it?
One of the most significant aspects of communication today is that it's personalised. Consumers want platforms, as well as content, to meet their demands more than ever before.
Although anyone with a Google Analytics account can now access attribution modelling, they may still be confused about what the data means and how to effectively implement it in the future. We've helped a number of companies identify their most profitable customer journeys and position their future marketing efforts to capitalise on them.
We can help
To learn more about the benefits of attribution modelling, and how we can use this information to enhance your marcom strategy, contact firstname.lastname@example.org for a free discovery call.