Ad Attribution
Overview[edit | edit source]
Ad Attribution is a method used in digital marketing to identify how much credit each touchpoint in a customer's journey should receive for a conversion. It allows advertisers to quantify the influence each advertising impression has on a user's decision to make a purchase or complete a desired action, thereby understanding their return on investment (ROI) and refining their marketing strategy.
Usage Types[edit | edit source]
Ad Attribution can be classified into different models based on the method of assigning credit to the touchpoints. Each model provides a different perspective and can be used based on the advertiser's specific goals and the nature of their marketing funnel.
Last Click Attribution[edit | edit source]
This is the most common model, which assigns all the credit to the last interaction before the conversion. It is simple and straightforward, but it does not consider the impact of earlier touchpoints.
First Click Attribution[edit | edit source]
In this model, all the credit is given to the first interaction that led the user to the website. This model values awareness more than conversion, but it ignores the role of later interactions that may have actually convinced the user to convert.
Linear Attribution[edit | edit source]
The Linear Attribution model divides the credit equally among all the touchpoints in the customer journey. While this model acknowledges all touchpoints, it fails to weigh the importance of each.
Time Decay Attribution[edit | edit source]
This model assigns more credit to the touchpoints closer to the time of conversion. It acknowledges that while all interactions contribute, the ones closer to the conversion may have a greater influence.
Position Based Attribution[edit | edit source]
The Position Based model, also known as the U-shaped model, attributes 40% of the credit to both the first and last interaction, with the remaining 20% distributed evenly among other touchpoints.
Conclusion[edit | edit source]
Ad Attribution is a crucial aspect of digital marketing that helps advertisers measure the effectiveness of their campaigns. By selecting the right attribution model, advertisers can gain a comprehensive understanding of their customer's journey and optimize their marketing efforts for better conversion and ROI.