Marketers want to know what led to every sale, if possible. That desire means marketing pros need a way to assign value to the actions customers take before taking the decisive step to buy a product or service.
That's the reason why so many marketers rely on marketing attribution.
What does marketing attribution mean?
Marketing attribution is a phrase used to describe one of several models used to assign value, or credit, to different marketing channels users interact with before deciding to purchase. Using these attribution models helps marketers understand the customer journey, by understanding where customers interacted with their brand before purchase and how. They do this to make smarter marketing investments and gain clarity about what strategies lead to the desired actions.
There is no one correct model, and there are varied attribution methods available. Understanding the meaning of marketing attribution helps businesses better use limited marketing resources and deliver more ROI.
There are multiple marketing attribution models available, each with advantages and disadvantages. Here is a closer look at the most common.
How do you make an attribution model? There are excellent commercial products available to help you build the right model for your company. Whether you use an established vendor or customize a solution, you need to be clear about the type of sales cycle your business uses, how long it runs and how much of it is done online. Some other steps in the process include:
Multi channel attribution is a subset of marketing attribution. It recognizes that customers are exposed to multiple touches and outreaches during the journey to a purchase.
Multi touch attribution acknowledges that most customers have multiple touchpoints with a product or service before buying. Multi channel attribution divides the credit for the purchase across various touchpoints. While there are several models, each assigns a weight to the various touchpoints, assigning different values to different engagement points. Multi channel models inform on how different channels impact conversions through the journey. For example, email marketing attribution is encompassed in a multi channel approach. Which sends result in conversions or future marketing touches? Which sends do not contribute to eventual conversions? Both questions answered with a multi channel approach.
Here are the most common multi channel attribution models:
There are many commercial multi channel attribution tools available. Each provides models and plug-ins to customize the analysis of your marketing campaigns. Many of these software solutions include other marketing tools, including conversion tracking and customer journey modeling. These attribution platforms provide a single source for marketing analytics.
Marketing attribution is a powerful way to drive analysis and impact, helping understand campaigns and adjust future budget allocations to deliver the greatest ROI.