Few things marketers needs to know about marketing attribution model

1. Few things marketers needs to know about marketing attribution model Marketing attribution — allocating credit to a touchpoints in marketing — has never been more complicated. The explosion of marketing channels and devices has added complexity layers to what was a fairly simple funnel a few years ago. If you have not much of a foothold in your attribution understanding — or if you have what you feel is a shaky one —you’re definitely not alone. Most marketers (digital or otherwise) cannot tell with certainty just how valuable each channel or touchpoints is during the purchase process for each customer. That means they can't say they’re spending their budget effectively and optimizing revenue, which is the whole allocation objective. Lets break down seven things in this post that CMOs need to know about marketing attribution models that can make a difference in how you approach your marketing budget — without giving you the process a headache. 1. There’s A Low Barrier to Entry Let's say you didn't even really think about marketing attribution and you're set up to "only" understand the performance of specific marketing channels — Facebook , Google, Twitter, etc. Believe it or not, if you are using Google Analytics and tracking data correctly within each channel, you already have a lot of the mechanics in place to do some basic attribution.

2. You track specified KPIs (key performance indicators) for each channel. You’re also tracking how users engage with your site — where they enter, where they bounce, how long it takes them to convert, thanks to Google Analytics. And if you’re on a DATA DRIVEN attribution model, you’ve (hopefully) tied that info to your CRM (customer relationship Using just this data, you can set up basic attribution models (first-click, last-click, even click-through distribution). 2. You Can Accomplish a Lot For Free When you think about what is possible with the attribution — all the technologies and advanced models out there — things begin to seem very complex and very expensive. But all that stuff we've only been talking about in the first section? It is free. And with the data you gather from those sources, you can do things like setting up your funnel touchpoints across channels; reduplicate conversions (for example , make sure that both Google and Facebook don't both take credit for the same conversion); and develop and test hypotheses about how and where users interact with your brand. 3. Communication Is Key Whether or not your digital teams work in channel / device silos (note that one of the side effects of good attribution is to remove those silos altogether), one of the absolute attribution requirements is for all parties to agree on the objectives of the marketing attribution programme, the key metrics involved and the models being tested. The attribution objective is to generate more revenue by spending more effectively, but without clear communication, some teams may fear that they will lose budget — and hence status — and become territorial. 4. Attribution Requires an Alignment Of Teams Attribution is not just about marketing! Installing more complex models will involve tech teams, and from the start, the finance teams should be in on the marketing attribution model goals at the higher levels. It is generally recognized that over-crediting the funnel’s bottom (e.g., Google or Bing) means that upstream channels will be unnecessarily tight with the funds. If you can use attribution to show the value in those upstream channels, the financial folks may be persuaded to open up the purse strings a little bit — but those folks need to be included from the beginning in the attribution talks to understand the meaning of data.

3. Among the metrics that your teams need to understand, a client's lifetime value (LTV) is the most important, and the centerpiece of a good attribution program. If the ultimate goal is to rely only on single-conversion events, upstream clicks get undervalued. If the end result is measured over time, not a single purchase, the traffic coming in at the top of the funnel looks much more important. That's just as important in B2B as e-commerce, by the way — even one-time buyers can add value with access to, say, a referral rewards programme. 5. Nothing Replaces Testing Even if you manage the perfect marketing attribution scenario in some way, where each click and impression is magically translated into an accurate value that informs a gold-plated marketing budget, you have work to do. As with everything else in digital marketing, testing is no substitute for anything. With better ad copy, those clicks could be more valuable; that conversion rate from a mobile click to a desktop search might be boosted by a sharper product image or a more streamlined lead gen form. 6. Perfection Is Not the Goal That perfect scenario for the marketing attribution mentioned above? You might as well accept the fact that you will never get there — or at least not for the foreseeable future (and beware of the tech provider who says otherwise). Every model does have its flaws, no matter how advanced. U-shaped, game theory, econometric, time delay, and so on are all nuanced and complex, giving you more insights than just a last-click. But none of them paints an accurate picture, so part of the "mastering" attribution secret knows when good is good enough and when pursuing the ideal marketing attribution model complex.