Attracting the loyalty and attention of today’s distracted and always-on consumers are becoming a very tough challenge for most businesses and brands as they compete in a digitized and highly mobile industry.
According to the Aberdeen Group Incorporated, companies that have a powerful emotional consumer engagement strategy in place. It will retain at least nine out of ten of their customers or 89%, compared to one-third of businesses that don’t have, or 33%. To know more about marketing attributions, you can check related websites like get.gaug.es/attribution-marketing-software.
It has been at least ten years since the marketing attribution capabilities started to get noticed in the industry, to make sure that the performance of media and marketing against specific success criteria are adequately measured. But, with the number of performances as well as audience data that are growing each day, a lot of marketers are still very confused as to how the attributions will fit into the company’s overall marketing strategy.
Also, the benefits it can provide for optimizing the budget and making relevant experiences that will drive the effective and meaningful business result.
What are marketing attributions?
To drive the brand engagement, conversions, sales, leads, and other necessary business outcomes, a lot of companies will implement different kinds of advertising and marketing techniques, whether in the form of owned, earned, or paid media campaigns, over a long period.
The objective of the marketing attribution is to correctly assign credits to every touchpoint in the customer’s journey that is related to the influence over other business goals or the purchase. By knowing the importance of the particular or a combination of touchpoints has on the consumer’s decision making, an effective marketer can adjust the future campaign if needed.
But, today’s journey in purchasing has become very complicated. With an intertwined web of interactions happening across both non-addressable and addressable channels and increase multiple devices. Addressable channels are channels that are trackable at a user level, and they are usually digital interactions between the customers or the prospects and the brand.
Non-addressable channels usually include offline conversation or communications, and they can’t be linked back to the consumers. For example, how can a product or businesses know whether a consumer has been exposed to the television or radio advertisement before making their decision to buy the said products or availing the services?
Marketers are looking for a more effective way to measure the impact of the effort they are doing, regardless if the touchpoint they are using. But there are times that it will be tough to know where to begin. Want to know the basic rules of television advertising for small businesses? Visit the link here to know more.
Approaches you need to do when using marketing attribution
Multiple attribution approaches exist and what approach organizations should use depending on their goals, level of marketing finesse, and their business requirements. For example, a business or brand that wants to know the impact of every channel in driving the total sales in quarterly basis should use a different attribution method from a product or brand that wants to know the previous day’s best-performing keywords in attracting online sales.
While attribution can help the marketers gain meaningful perception and take the best action possible, the questions that different attribution methods will be able to answer differs significantly.
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Top-down attribution or Marketing Mix Modelling involves analyzing, and amassing vast amounts of historical, summary level information with the aim of producing broad recommendations on how to allocate the budget across various channels as well as sub-channels to optimize the performance.
The approach is beneficial in knowing and understanding how the external factors like the economy and weather impact the general performance. The shortage of infrequency and granularity of reporting will hugely affect the marketer’s ability to analyze the performance as well as optimize future campaigns. The main benefit of marketing mix modelling is that they can be used both by online or offline channels, giving marketers with a holistic point of view of their overall marketing mix.
The disadvantage of using this method is that the data collected sometimes come in a variety of formats, and it requires extra human resources to manually normalize the received data, and help data specialists analyze it. Not only that, while the recommendations and insights derived from marketing mix modelling can answer key channel and sub-channel allocation questions.
By using the bottom-up method to establish an adequate baseline for digital marketing performance, television attribution will allow marketers to compare the results with or without television impressions to determine the impact on digital response.
It is an essential way for most marketers know and understand how television drives online engagement with a company or brand like site visits, conversations, and search queries. Performance can be evaluated by the program, network, creative, spot length, and another dimension to notify tactical optimizations.
Unfortunately, some vendors try to link television impressions t specific users, based on their digital behaviors once a television spot has been shown and broadcasted. By doing this, a lot of sellers are effectively adding television touchpoints to the conversion journey, and making a valid statistical assumption about consumer’s exposure to a television impression. It can compromise the trustworthiness of the data and the accuracy of the perception all marketers need to produce effective optimization within digital channels and television
MTA or Multi-touch attribution
MTA or also known as bottom-up, focuses on channels that can be addressed and analyze by both offline and online touchpoints. Unlike Marketing Mix Modelling, multi-touch attribution makes use of a distinctive identifier to track down users across every channel and device, providing an extensive understanding of how effective different marketing techniques along with the customer journey, at a higher granular level. Want to know the difference between multi-touch attribution and marketing mix modelling? Click here.
The challenge in using multi-touch attribution is that not every marketing technique can be addressed, which means that the credit is assigned to the touchpoints that can be tracked in every consumer’s journey. The benefit of multi-touch attribution is that the model can be reused or rebuilt daily, allowing marketers to continuously optimize in-flight campaigns based on the up-to-date, accurate metrics, rather than in the post-campaign analysis result.