Have you made any purchases lately? What convinced you that you chose the best product? How did you learn about it? Through a friend’s Facebook post? Or did you click on an advert while browsing the internet?
In the modern-day world, people consume overwhelming amounts of information through varied channels like Instagram, email newsletters, Facebook, just to mention a few. For this reason, marketers find it difficult to establish what influenced a given buying decision.
Marketing and sales teams use marketing attribution models to gain insight into what prompted a lead to act in a certain way or accomplish a certain milestone in the purchase cycle, helping them understand the sales pipeline journey.
Since many factors inform major lead activities, marketers should track conversions at various stages throughout the buyer’s journey. This helps them obtain pertinent information to derive data-informed recommendations for upcoming campaigns and earn credit wherever it is due.
If you have not embraced marketing attribution, you are missing out on a key marketing decision-making opportunity.
Understanding Marketing Attribution Models
The process of marketing attribution entails establishing the marketing touchpoints that influenced a conversion.
Marketers use marketing attribution models to assign conversions to various touchpoints throughout a customer’s journey.
Nowadays, users can enter your website through many channels including but not limited to;
- Direct entrance
- Web referrals
- Emails or newsletters
- Paid search ads
- Organic search
A single user can also visit your website multiple times while entering through a different channel each time.
Given the varied site entry channels, attribution modeling helps marketers understand which marketing tactics, creatives, and channels are reaching the audience. This drives the intended actions, facilitating proper marketing funds’ usage.
Marketing attribution models can be either single-touch or multi-touch.
Single-Touch Attribution Models
Single-touch marketing attribution models credit one 100% conversion to a single marketing touchpoint. So, even if a customer converts after viewing 20 ads, single-touch attribution assigns the conversion credit to only 1 of the 20 viewed ads.
Being less complex than multi-touch attribution models, single-touch attribution models are easy to set up. This makes them ideal for smaller firms with unsophisticated marketing and sales systems, and shorter sales cycles.
Single-touch attribution models exist in first-touch and last-touch variants.
Multi-Touch Attribution Models
Multi-touch attribution models, unlike single-touch models, assume that all touchpoints influence a conversion.
Among the most popular multi-touch models include the Linear, U-Shaped, W-Shaped, Machine Learning, Time Decay, and Custom attribution models.
Advantages of Multi-Touch Attribution Models Over Single-Touch Attribution Models
Multi-touch attribution models consider all the touchpoints consumers engage with before making a purchase.
What is more, they assign conversion credit to channels differently, making them more accurate.
Ability to Weigh Up Customers’ Actions
As a marketer, mapping your customers’ entire journey and establishing the impact of every touchpoint that drove a conversion helps you pinpoint the most effective communications. This informs your future marketing campaigns as you focus your firm’s resources to activities with greater returns.
Better still, multi-touch attribution models inspire you to think about other conversions other than actual purchases. Leveraging on these valuable actions helps you appraise your customer retargeting efforts to maximize your business’ value in the long run.
True Value Delivery
Multi-touch attribution models offer deeper insight into funnel metrics, informing your marketing strategies.
Additionally, with their high-level flexibility and ease of customization, multi-touch attribution models offer you the best possible return on investment.
Different marketing situations warrant different attribution models. Therefore, your analyst teams must be flexible to inform attribution models that are customizable to the specific needs of various organizational groups seeking to improve customer experience.
Owing to their unprecedented flexibility, multi-touch attribution models are now a key element to improved marketing effectiveness measurement and campaign optimization.
So, if you market on varied channels and have numerous touchpoints, you deserve a multi-touch attribution model.
Wondering how to get started with marketing attribution modeling? Don’t look any further.
Contact us today to help you map your customers’ journey and boost your conversion rates.