In this article we go through what an attribution model is and how it can help you make better business decisions!
In order to answer that question we need a recap of what an attribution model is.
Imagine a commentary from an Olympic final in ski relay.
Surely it would be, not only unfair, but also misleading if the person crossing the finish line is the one who gets all the credit for a gold medal?
It was three other skiers who also contributed to the medal and should be mentioned in the commentary. Attribution is like that, different achievements that contribute to the goal. Just swap individual athletes for Facebook, Google Ads, Tiktok and Affiliates.
Attribution can sometimes be complex given that we try to create a model of all your customers’ user journeys. This makes it difficult to evaluate each channel because user journeys are intertwined.
A useful thing for you marketing department is to have a tailored attribution model for your particular company.
The visualization below shows how fast your marketing channels reach preferred ROI.
If we looked at the ROI for the first month we would probably decide to decrease or even cut off the budget for Affiliate first column. However, if we give the marketing effort time we will see that month 12 it was actually quite successful.
Save time for decision makers
Another great thing is that business logic is already incorporated into the model which simplifies your internal processes – saving time for decision makers and gives an excellent overview to be able to get the most of your marketing efforts.