Savvy marketers know measurement all about understanding the purchase path of consumers who have converted. But to gain the best insights, marketing attribution should be used for more than just identifying which touchpoints and ads lead to sales.
What if attribution could help you understand if your high-performing touchpoints are actually bringing in high-potential customers? And provide insight on how you can reach more consumers that are similar to your best?
At the recent Attribution Accelerator conference, Christian Bartens, Marketing Measurement Leader at Equifax, presented "Connecting Attribution, Segmentation & Analytics for Better Customer Acquisition." He says it's possible to identify online channels and specific ads that have high conversion rates, but then realize that those purchasers are actually not very valuable customers. "A typical attribution analysis might show an optimal cost per conversion. But if your assessment of the ROI of the converters is not what you had hoped, you might want to rethink your ad strategy," Bartens says. Once your attribution analysis reveals which touchpoints and ads are performing the best, you can then determine which ones are bringing in the most valuable converters (highest sales, frequent transactors, or other metrics as defined by the company). From there, the question is, can you reach more of those customers? That’s why incorporating segmentation into your attribution analysis is key.
Reach More High-potential Customers While Optimizing Your Media Budget
Using innovative attribution analysis, marketers can incorporate household economics-based segmentation to profile high-value converters in terms of:
- their likely financial capacity to purchase
- products and services that they may be seeking
- demographics, and more
For example, segmentation could show that the most profitable converters are likely to:
- have high invested assets
- have high income
- be in the market for a specific product or service (i.e. travel experience, credit card, automobile, luxury item)
- and be Baby Boomer empty nesters
Marketers can then use Equifax digital targeting segments to reach prospects with similar characteristics, either on their current online channels or test new ones. Segmentation overlaid on attribution can also help marketers reallocate their media budgets to reach more of their desired customers. Premium advertising may be worth the expense if segmentation shows converters are likely to purchase and be interested in your product or service. Meanwhile, advertising on more economical sites may be wise if segmentation shows converters have a moderate capacity to purchase and the cost of conversion is lower.
Attribution analytics can help predict how consumer intent will progress over the course of the customer journey. It's based on how upper funnel/awareness touchpoints help to move consumers from disengaged -- to aware -- to conversion. Segmentation can then be used to round out a picture of attractive consumers, including their estimated household economic capacity. You can then understand which channels, messages and offers are most appropriate for various groups.
Consider an Attribution Partner's Capabilities and Connections
Segmentation, combined with attribution, can help marketers differentiate and rank touchpoints in terms of customer value. You can then optimize media budgets to reach those desired consumer segments.
Working with a company that offers both of these capabilities – sophisticated household economic-based segmentation and a full-scale attribution solution that uses advanced analytics – makes sense. In addition, as you consider attribution partners, also investigate the extent of their industry connections in the digital ecosystem. Relationships with online publishers, leading mobile providers, and cable companies can help enable robust identity management and linking capabilities. Additionally, it can help you execute and track campaigns more efficiently. At the end of the day, select a partner who can provide insights into which channels and customers are truly driving your business.
More information is available on Marketing Measurement from Equifax.