Given the critical nature of attribution management to advertising analytics, we have created the Attribution Management Buyer’s Guide for marketers to use when selecting an advertising analytics and optimization platform. The Guide is intended to highlight key attribution management features and functionality that should be available in any advertising analytics solution you select.
This is the eighth blog in a 10-part blog series for the Attribution Management Buyers Guide. This eighth section focuses on Basic Attribution Models.
When engaging with a new attribution management technology, you should be able to start performing attribution on day one out of the box. Though attribution can be a very complex exercise, there are also some simple attribution models that can greatly improve the performance of your online campaigns. To ensure the solution you decide to go with offers attribution models that you can use on day one, ask the following questions:
1. What kind of basic attribution models does your platform offer?
2. Can you verify that using these base attribution models will improve my accuracy and performance?
A robust attribution platform should be able to offer basic attribution models out of the box, such as:
- Even - where conversion credit is spread equally across all participating ads in the Purchase Path
- Even with Exclusions - the even model with the additional ability to exclude specific ads, such as Branded terms, at the end of the Purchase Path
- Path Length – the ability to assign specific percentages to participating ads based on the number of steps in the path
- Rules Based - the ability to assign specific percentages based on the types of ads and the number of steps that are used in each step along the path
An experienced attribution management provider should be able to provide you with case studies or examples of how these basic models were able to increase the accuracy of conversion valuation and, ultimately, how that improved performance, as measured by increased profit and/or ROI.
Of course, the best indicator of an attribution management models success is its ability to grow your own bottom line profit. You’ll need to have a benchmark in place before you start attribution to make sure these models truly are having the desired impact.
Part 9 – Mathematical Attribution
This is the ninth blog in a 10-part blog series for the Attribution Management Buyers Guide. This ninth section focuses on Mathematical Attribution.
After you find success using basic attribution models, you may want to move to more advanced attribution that allows you to set specific weights for different activities that occur during the purchase path. When selecting an attribution management vendor, it is imperative they offer not only basic attribution models but also provide you the ability to build more sophisticated models either through the use of their technology and/or with their consultative services.
Asking the following questions will ensure you have the ability to be more sophisticated in the future:
1. What kind of customization options do you offer?
2. Do you offer any consultative services that can build custom attribution models?
Moving beyond an Even attribution or an Even with Exclusions model requires an understanding of some complex mathematics. Setting custom attribution rules should not be a subjective exercise and should only be taken on by attribution management vendors with solid statistical and mathematical knowledge. Custom models should be able to include variables like the decay rate of different types of ads, the influence potential of different types of ads, additional time variables, types of products sold, type of customer, impact of social media, etc.
Part 10 – Data Warehousing
This is the tenth blog in a 10-part blog series for the Attribution Management Buyers Guide. This tenth section focuses on Data Warehousing.
When you make the move to attribution management, you’re going to then be collecting a wealth of information you did not have access to before. For example, you’re now going to have information for all the ads involved in the sale(s) versus just the last ad. If you are tracking true profit that means you are also going to have individual product information. You also know a lot more about your customers buying behavior since you are able to see all the ads your customer uses versus the last one. To harness this information and to make it actionable, it will require the use of a data warehouse, which can be a powerful marketing intelligence asset for your company.
Ask the following questions to determine how your attribution vendor will allow you to get even more value out of the data being captured:
1. Does your technology reside on a data warehouse?
2. Do you offer a data warehouse as an option?
3. Can the warehoused data be queried to create custom reports?
Attribution management systems that are built upon a data warehouse will provide you with much greater flexibility in building custom models and custom reports. Additionally, it will be able to provide further analytics around things, such as product trends, customer buying behavior and lifetime value, for example.
Conclusion
Sophisticated marketers are keenly aware of the importance of Attribution Management in accurately measuring and improving the performance of their cross‐media advertising campaigns. The challenge for these marketers is to find a robust advertising analytics platform that is built on a foundation of attribution management. Hopefully, this Guide will help you assess whether the solution you’re considering measures up to the robust requirements of an effective attribution management platform.
Want to get more involved in attribution management? We invite you to become a member of the Attribution Management Forum, an online group that represents more than 300 leading marketers from a diverse range of companies across nearly every industry segment. For more information on joining, or for additional information on Attribution Management, visit us online at AttributionManagement.com or ClearSaleing.com.
Check out the remaining blogs in the Attribution Management Buyers Guide series:
Part 1 – Attribution Variables
Part 2 & 3 – Products and Ad Sources Tracked