Attribution modeling is a statistical technique used to determine the effectiveness of different marketing touchpoints in driving conversions. It involves assigning credit for a conversion to the various touchpoints in a customer's journey, such as clicks on an ad, visits to a website, or interactions with a salesperson. The ultimate goal of attribution modeling is to understand the relative value of different marketing efforts and optimize campaigns to maximize return on investment. In addition, attribution modeling can be used to inform budget allocation, targeting strategies, and other key decisions in the marketing process.
Single-touch attribution model is a type of attribution model that assigns credit for a conversion to a single touchpoint in the customer journey. To specify this, only one touchpoint, like a specific click on an ad, is considered to have directly led to the conversion. First-touch and last-click attribution models are some of the most well-known single-touch attributions.
First-touch attribution model assigns 100% of the credit for a conversion to the first touchpoint in the customer journey. This model is often used by marketers who want to give credit to the touchpoint that initiated the customer journey.
Last-touch attribution assigns all the credit for a conversion to the very last touchpoint before the conversion occurred. This model is often used by marketers who want to give credit to the touchpoint that immediately preceded the conversion.
Multi-touch attribution (MTA) assigns credit to multiple touchpoints that occurred over the customer journey, rather than giving all the credit to just one. This allows marketers to see the full picture of how different touchpoints contribute to conversions. MTA can be done using different methods, such as linear, time decay, or data-driven attribution.
View-through attribution model (VTA) assigns credit to touchpoints that may not have directly led to a conversion, but are still considered to have played a role in the customer journey. This model is commonly used in the digital advertising industry, where a user may have seen an ad but not clicked on it, but later converted. VTA allows marketers to see the impact of these "awareness-raising" touchpoints, and adjust their campaigns accordingly.
Attribution modeling is a vital tool for mobile marketers looking to understand and optimize the effectiveness of their campaigns. In today's digital landscape, customers interact with brands across multiple channels and touchpoints, making it increasingly difficult to attribute conversions to specific marketing efforts. Attribution modeling helps mobile marketers to overcome this challenge by providing a clear picture of the customer journey and the relative value of different marketing touchpoints.
Another key benefit of attribution modeling for mobile marketers is the ability to identify the most effective channels and tactics. With accurate attribution, mobile marketers can see which channels drive conversions and allocate budgets and resources accordingly. For example, if a mobile marketer finds that a significant percentage of conversions are coming from social media, they may increase their investment in social media advertising. On the other hand, if they find that a particular channel is underperforming, they may choose to reduce or eliminate their investment in that channel.