Optimizing your media channels.

Media fragmentation is increasing, the digital space is constantly evolving, and multi-screen interactions are changing consumer behaviour

Marketers face the challenge of deciphering the role of each channel in the consumer purchase decision. Managing marketing in silos is no longer effective. Consumers are exposed to multiple online and offline channels and interact with Paid, Owned and Earned Media, often across multiple devices (computers, tablets, mobile). In order to optimise marketing spending, the individual impact or ROI of each channel needs to be understood in relation to the role it played in the consumer buying decision and the complete path to conversion.

Algorithmic Attribution vs Last Paid Click

When starting a multi touch attribution analysis, we distinguish between all online media channels as well as between clicks and impressions. We’ll use cookie data to construct a path/sequence of interactions for each individual consumer/cookie for which each path, it is registered whether or not the path ends in a conversion.

By including non-converting paths we are able to examine how often a particular constellation of interactions results in converting at the end. Comparing similar paths showing different conversion rates gives us the possibility to investigate how strong certain interactions in certain positions are involved in conversion decisions.

When using Last Paid Click attribution, the last paid click in the path will be attributed 100% of the conversion credit

  • No other elements in the paths get any credit
  • Display will not be given credit through impressions, and will thus only receive credit if a click on a display banner is the last paid click in the path

By use of algorithmic attribution this problem is solved by analysing the entire online consumer journey

  • Each interaction type is evaluated and attributed effect based on the ability to contribute to conversion

The results from the multitouch attribution study can be used to make a new online media allocation in order to optimise the number of conversions generated by paid online media. By optimising the media channels with respect to the same total investment as the current allocation, it would be possible to improve the number of media generated conversions by X% with a possible decrease of the CPL.

If you’re unsure how much you pay for your online media results – contact us: info@marcom.ee
Categories: News

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