The Role of Attribution Models in Mass Marketing
We have all heard of terms such as search engine optimization, clickthrough rates, meta tags and mobile-responsive sites. We are aware how these concepts and approaches can affect our marketing campaign. However, attribution modeling is one of those ideas which is unfamiliar (at best) and unknown (at worst). To simplify things, attribution modeling is simply knowing which channel ultimately gets the credit for a conversion if multiple channels are accessed. This can be much more tricky than it initially appears. Let's take a look at some potential shortcomings of attribution modeling before we define the important roles that it plays.
Not so Simple…
- Many experts have pointed out that by its very nature, there can be a few problems with attribution modeling. Some of the most common are (1):
- Sites which are visited every day may or MAY NOT be related to a conversion.
- The addition of third-party sites and affiliate advertising further muddles attribution modeling.
Now, let's take a look at the positive roles that attribution modeling plays and how to leverage these roles.
The “Mass” in Mass Marketing
First, we need to look at attribution modeling as covering a campaign as opposed to measuring individual channels (2). Here's an example to highlight why this is important:
- A business has observed that social media channels do not drive conversions as much as static searches. So, it chooses to place more of its focus on SERP rankings. However, sales slide and marketers are left scratching their heads.
The truth of the matter is that this enterprise has forgotten the “mass” in mass marketing. One of the most critical roles that attribution modeling plays is interpreting which COMBINATION of channels drives the most conversions. The big picture will be much easier to see over time. You need to start looking at the relationships of these channels.
Funneling the Results
Another important feature of attribution modeling is that it can provide you with the ability to funnel your results into an easy-to-read template. This is important, for it has been shown that up to 60 percent of all conversions occur as the result of an interaction with more than one channel (3). So, which channels are the most appealing to customers? When used correctly, attribution modeling can help you to answer this question.
Summing it Up
We can see that attribution modeling can have either a positive or a negative impact on your marketing campaign. This will all revolve around how you leverage such a tool. Part of your success will come down to the software that you employ and how clear the results are presented. Companies such as VisualIQ and Adinton are preferred by many businesses, as they are easy to work with.
It is just as important to appreciate the customer journey between initial contact and conversion. Data such as client preferences, their decision-making processes, and even their concerns are all areas to analyze. What are their expectations? What are their buying triggers? What types of customers prove to be the most loyal and (naturally), which channels relate to this demographic?
Let's always keep in mind that attribution modeling needs to take into account these factors in order to be a worthwhile tool. When used correctly and by appreciating the observations mentioned above, this lesser-known trick can have a massive impact upon your conversion rates and ROI.