Demystifying Attribution Cat Prestipino, Director of Marketing JAPAC

@catprestipino

@adamberke

Performance Marketing Platform for 35,000 customers in over 150 countries accounting for +$300M in ad spend

Attribution can be overwhelming

Marketing Attribution: A New Mind Set

1.  Attribution is a process not an end state

2.  Small steps forward are better than stagnation

3.  Don’t let perfect be the enemy of good

4.  Attribution is an ROI investment, not a cost centre

Attribution goals

Justifying digital spending

Improving the customer journey

Informing the multi-channel marketing mix

Three Possible Approaches

The value of each channel is fully derived from data

Algorithmic Set rules determine the value of each channel

Rule-based Set rules determine the value of each channel

Split Funnel

Last Interaction

Last Non-Direct Click

Last AdWords Click

First Interaction

Linear

Time Decay

Position Based

Rule-based Attribution Models

The most popular model in APAC is the outdated single-click with over 70% still using this archaic method

The most widely used methodology for single source attribution is the “last click” or “last touch” model, which is considered by many practitioners to represent an incomplete picture of advertising value. It nonetheless has been very widely used due to its simplicity of implementation and the perceived lack of legitimate measurement alternatives

The problem with ‘last click’ attribution

comScore and Starcom USA Release Updated “Natural Born Clickers” Study Showing 50 percent Drop in Number of U.S. Internet Users Who Click on Display Ads Only 8 Percent of Internet Users Now Account for 85 Percent of all Clicks Research Underscores the Importance of View-Through Metrics for Evaluating Display Ad Performance RESTON, VA, October 1, 2009 -- comScore, Inc. (NASDAQ:SCOR), a leader in measuring the digital world today released the results of an update to its highly publicized “Natural Born Clickers” research, originally conducted two years ago in conjunction with media agency Starcom USA and Tacoda. The collaborative studies focus on an understanding of how U.S. Internet users click on display ads. The updated results based on March 2009 comSore data, and presented by comScore chairman Gian Fulgoni and Kim McCarthy, manager, Research & Analytics at Starcom, at the iMedia Brand Summit in San Diego on September 14, 2009, indicated that the number of people who click on display ads in a month has fallen from 32 percent of internet users in July 2007 to only 16 percent in March 2009, with an even smaller core of people (representing 8 percent of the internet user base) accounting for vast majority (85 percent) of all clicks.

“Natural Born Clickers”

3.6% of reached users account for 100% of clicks. That means 96.4% of users never click on ads.

*AdRoll aggregate campaign data Q4 2016

Split Funnel Attribution

ATTRACT Reach new prospects

CONVERT Turn prospects into customers

GROW Maximize customer lifetime value

PRO

SPECTIN

G

RETA

RG

ETING

Split funnel attribution Different metrics for different objectives

Unique users reached

New visitors from Prospecting

New visitors retargeted

Assisted conversions

1.6% advance rate

38.8% advance rate

1.4% advance rate

23 assisted VTCs 12 assisted CTCs Based on Retargeting attribution windows

Full Conversion Funnel

The closest thing we have to the holy grail - Algorithmic attribution

Algorithmic attribution:

Based on millions of data points to help determine

how much the presence or absence of a particular

channel in a purchase path affects the final

conversion; weight is then assigned to each channel

based on where in the purchase path they appear. It’s

a machine-based approach that usually requires a

human analyst touch.

What do you need to make it work?

1.  Flexibility to test new models

2.  Keeping up to date with changes in the industry

3.  Finding marketers with the necessary skills

4.  Training in new models and methods

5.  Budget for algorithmic model

Summary: Actionable Tips

●  Attribution is an investment - but like other investments, it pays off

●  Attribution is an ongoing process

●  Not all channels should be measured equally - prioritise and optimise

●  Use different metrics for different campaign objectives

●  Look at other models. Would a different model result in a vastly different decision? What are the implications?

●  Test and take small steps forward - have a bias for action

Questions?

Thanks! @catprestipino

@AdRoll