Modern-day marketing is a very complex method, primarily because of the customer’s understanding and perspectives. The customer journey is more complex and multilayered as they go through a lot of touchpoints like posts on social media, paid advertisements, promotion via emails. Content marketing via blogs and ebooks etc.
Such aspects make the job very difficult for marketers to determine how to use channels for converting prospects and how each channel contributes to conversion. Here comes the importance of marketing attribution statistics. Here we will discuss how to create an attribution and a revenue attribution model, but before that let us understand what marketing attribution is.
WHAT IS MARKETING ATTRIBUTION?
Marketing attribution refers to a system that helps marketers determine which marketing touchpoints result in a higher conversion rate, following which they can allocate more attribution to such marketing touchpoints.
Numerous platforms can help you build a marketing attribution model, but google analytics conversion tracking is one of the best ones. you can take help from websites like http://bizprospex.com/, who can help you with their marketing attribution consulting.
Attribution channels help marketers in figuring out the effectiveness of various campaigns and channels. It helps them optimize their business marketing and effectively allocate their budget and resources to the channels that give the most conversions. The following marketing attribution statistics clears the air;
- 39% of marketers expect to use an average of 6 or more channels over two years.
- 78% plan to adopt or increase their use of cross-channel attribution.
- Attribution provides efficiency gains of 15-30%.
TYPES OF MARKETING ATTRIBUTION MODELS:
There are numerous marketing attribution models, but as we learned in the above marketing attribution statistics, only 6 to 8 are used by marketers. Let us now discuss the seven types of marketing attribution models;
One-touch marketing attribution models are for attributing an entire conversion to one channel. You can apply such attribution models at ease and can be very useful for a few campaigns, though it does not paint a realistic picture of the customer.
A first-touch marketing attribution model gives all the credit to the first touchpoint that results in a prospect to conversion. Even though it shows only a part of the customer’s journey towards conversion, it points out one of the primary aspects: it helps you find out which channel at the top of the funnel helps better capture leads and their conversion.
Conversely speaking, the last touch gives all the credit to the last touchpoint that the customer met before the conversion. However, this marketing attribution model of attribution has a flaw in ignoring the earlier and middle levels of the customer’s journey. However, the last touch attribution can give you the analysis concerning which channel is effective in tackling the last part of the conversion.
Multi-touch attribution channels:
A multi-touch marketing attribution channel ensures that every piece of content or channel that the prospect interacts with reaches the final conversion point. Multi-channel attribution appeals to marketers because it allows them to know and analyze the customer’s complete journey, rather than just the first and the last step of the customer’s journey.
A linear marketing attribution model gives equal recognition to all the touchpoints in a customer’s conversion journey. A linear attribution model helps marketers understand which channels produce the maximum returns and put their attention more on such channels. However, the linear attribution model often fails in determining which touchpoint is more effective than the other.
Another marketing attribution model is time-decay attribution, which gives recognition to all the touchpoints but gives more priority to the recent ones. Such a model is of more relevance in the longer sales cycle, where the recent touchpoints are more influential in the conversion process in the longer run. Such models are more useful in B2B businesses, with a longer sales cycle than B2C businesses.
Position-based attribution is also known as U-shaped attribution. Such a model gives 40% each in recognition of the touchpoints featuring at the beginning and the end of the conversion process. The rest of the 20% is equally divided among the touchpoints that feature the first and last. The position-based marketing attribution model primarily focuses on the benefits of the first and last touchpoints and pays reverence to the ones in the middle.
The custom marketing attribution model is the most sophisticated one among them all. This particular marketing attribution model helps you by providing an actual view of all the channels of conversion you are using. You can create such a marketing attribution model through platforms like Google Analytics, allowing you to create unique models. You can attach customization with each channel that will lead to the final conversion in the end.
However, to make this model function properly, you need to have adequate knowledge concerning your customers and their buying behavior. You can create an effective custom marketing attribution model only when you analyze your customer’s journey and figure which channel is the most effective for B2B lead generation and conversions.
W-shaped attribution models:
The W-shaped marketing attribution model functions across similar lines as the U-shaped attribution. It gives a higher priority to the first and last touchpoints of a customer’s journey that results in conversion. However, the W-shaped attribution gives utmost importance to one of the touchpoints in the middle, where the lead converts into a customer.
The priority distribution in this model gives 30% each to the first touchpoint, the middle touchpoint, and the last touchpoint. The rest, 10%, is with the rest of the attribution touchpoints.
MARKETING ATTRIBUTION AND TECHNOLOGY:
Marketing attribution is still not a concept that achieved its full potential as of now. This particular strategy is on the path of continuous development and improvement, as business marketing is trying to achieve a perfect marketing attribution model.
A marketer needs to realize the importance of the marketing attribution model to succeed in his business marketing. However, it would be helpful if you had patience in this sector, as marketing attribution will not give you immediate benefits but a substantial benefit in the longer run. You need to understand and figure out which marketing channels perform the best for you in terms of conversion. Let us test and understand the importance of having a salesforce marketing attribution;
Impact of marketing attribution technology on marketing budgets:
The marketing attribution model assists a marketer in having a compact revenue attribution model. The attribution technology helps them decide when and where they have to invest to reap heavy benefits. A reply from the marketers across the B2B sectors showed that the revenue attribution model helped them increase revenues for content marketing, paid search, and organic search.
We could also find out that paid social, and display advertisements saw a decrease in revenue.
These particular aspects highlight the importance of the marketing attribution model very clearly. The model showed them the importance of search engine optimization and the rate of investment in content marketing. The broader perspective reflects how the marketers will decide on their revenue attribution model. The help from such metrics ensures that the marketers spend every penny to facilitate them in converting their leads.
Importance of Cross-device attribution in today’s time:
The multi-touch attribution model might inspire marketers, but a lot is still left to achieve. The modern customers are very clever and tend to use various methods and devices before finally turning into a customer. Moreover, a report by Google states that the customers who generally use multiple devices to purchase goods start with a mobile phone and end with a laptop or personal computer before conversion.
The marketers who understand the importance of the marketing attribution model tend to track customers’ journeys across all the devices before formulating their strategy.
Let us take an example for better consideration;
A prospect clicks on a paid advertisement of a product via his smartphone. The advertisements allure him, and the following day he visits the company website and reads the blogs via a tablet. Finally, he reaccesses the company website on the third day and fills the form for a free trial through a desktop.
When we try to analyze the above scenario with the help of a standard attribution model, it identifies the final touchpoint only. However, if you use a cross-device attribution model, it will analyze the complete journey of the buyer across all the devices till he reaches final conversion.
However, it is not easy to track a customer’s journey across various devices. Finding out such data is only possible with the help of marketing software providers such as bizprospex and other data management platforms that are experts in solving such cross-device complications.
As technology and digitization continue to grow through the years, we can expect more involvement from cross-device attributions.
Consolidation of sales and marketing tracks:
The marketing attribution model helps find an in-depth and better analysis of a buyer’s journey and facilitates a more accurate and compact report of the same. However, numerous marketers fail to realize the importance of integrating the technologies with their sales department.
When you consolidate your marketing and sales tracks and make them work in symphony, you get many benefits. Such collaborations lead to better marketing efforts and sales management.
As the importance of marketing attribution increases by leaps and bounds, the effectiveness of sales and marketing tracks become inevitable.
KEY ASPECTS YOU NEED TO CONSIDER FOR MARKETING ATTRIBUTION:
Above, we looked into the various types of marketing attribution models, their specifications, and the benefits they carry along. Let us now discuss the various aspects that you should keep in mind while you are deciding how to create an attribution;
Decide on the goal you want to achieve through your marketing attribution model:
Marketing attribution often ends up confusing and exhilarating to deal with if you decide to build a complex multi-touch model straightaway. One of the biggest mistakes that marketers are prone to make is that they focus on implementing the marketing attribution model but fail to retrospect on its results.
You can duck this problem by setting clear goals that you want to achieve through your marketing attribution model. Analyze the results you get and take adequate initiatives to work on the change you need to make. Moreover, try to involve your whole team to all have an equal understanding of the marketing attribution model.
Ensure strong collaboration between the departments.
Always think of, “United we stand, divided we fall.” Your marketing attribution initiatives will only succeed if all your departments work together in symphony. Such an alignment is more important than stacking up your marketing and sales.
You require the executives and people behind the revenue attribution model to sit together and decide on the budget based on returns. Therefore, free communication is the primary key to an organization’s successful business marketing.
Put your attribution models to the test:
The marketing attribution model that you first create will never be perfect. It will have a few loopholes that will hinder your marketing growth in one way or the other. However, does that mean you should not implement a model in the first go? No, you should, and you have to.
Only when you implement such a model will you get to know about the drawbacks of your initiative. Once you know about the discrepancies, you can rectify them and create a more compact and effective weapon of B2B lead generation and conversion.
The above information will give you an in-depth understanding of the meaning, importance, and use of the marketing attribution model in any business marketing. You can make your job less complicated by seeking assistance from websites like http://bizprospex.com/. With the help of their data appending services, skip tracing services, email appending services and data verification, they give you suitable marketing attribution consulting that will help you propel your business to new heights.