You can’t afford to just guess what’s working and what isn’t when it comes to obtaining a better return from your marketing efforts. For this reason, you’ve likely relied on measuring the effectiveness of your returns by way of some type of attribution.
However, in this evolving multichannel environment, traditional attribution models often lack the sophistication needed to determine how wisely marketing dollars are spent—whether in converting a prospect or getting repeat sales from an existing customer.
Why is it important to improve attribution strategies? Attribution is one of the best ways to measure the effectiveness of your direct marketing campaigns. It’s a strategy that can help you assess and assign the true value of your customers’ journeys. As new communication channels become available and new technologies designed to target those channels are introduced, staying ahead of the competition is imperative.
Think for a moment about the amount of data being collected from consumer interactions through different marketing communications including direct mail, email, the Web, mobile apps, and social media. By mining this data to gain better insight about consumers’ cross-channel behavior, as well as the effectiveness of your communications in a cross-channel context, you can learn to invest in the most efficient and profitable mix of channels to enhance your campaigns. Accurate attribution invariably leads to a more impactful mix of marketing spend.
But how do you gain better accountability with your marketing efforts? Multichannel attribution can help you measure, understand, and improve the returns associated with each customer touch point.
Improving attribution models allows you to:
- Combine the costs of each channel/communication type with a measure of its relative effectiveness, enabling accurate calculation of returns
- Compare returns to effectively reallocate budgets for a greater overall program return
- Have the flexibility to examine results by segment, improving the ability to take action on the findings
- Identify your “stickiest” channels and which customers are experiencing the biggest retention benefit when using those channels
- Better determine those channels that are being underutilized when it comes to cross-selling products and services
Everyone’s excited about the opportunities presented by today’s various marketing channels. However, if you’re not attributing your marketing dollars to what’s really bolstering your returns, you may be wasting valuable marketing dollars.
For more information about multichannel attribution, download the white paper, Measuring Success in a Multichannel World: Effective Attribution in Financial Services.