Wedding and attribution: what in common? Or which sources actually attract new customers.
Attribution Marketing has quickly become a major subject of marketing analysis because it offers an alternative to “Last click” management which is still used mostly. It should allow you to understand the impact of each traffic source in your marketing mix through the analysis of your conversion paths.
Nevertheless, the subjective aspect of the different models used often makes decision-making complex and time-consuming. The digital world is moving fast and you need to be responsive.
So how to answer these two questions quickly and frequently?
- What are the sources that bring me future new customers?
- What are the sources that convert them?
The “classic” marketing analysis gives a fairly good answer to the second question. The Last click viewpoint – see Last Paid click with TrackAd – and the Last (paid) click CPO analysis allows you to quickly identify the closing sources, which complete your conversion paths.
The first question is essential, because without sources generating future new customers, your marketing investments will be dedicated solely to relaunching your existing customers.
So, to answer the first question, the simple and particularly effective solution is to completely change your point of view and analyze the First Click performance of your campaigns. Therefore, you can deduce a First click CPO which will be the ratio between your marketing investments and the number of orders where the traffic source is positioned in First click.
For those who might doubt the relevance of this analysis, make an analogy with marriage. You are getting married tomorrow – it is conversion – and many people around you have participated in this happy end. If you have to answer quickly the question “Who is the person who contributed the most to your wedding”, would you answer “Our friend Victor who is planning our wedding” or “Our friend Alexandra thanks to whom we met the first time”?
It’s obvious Alexandra is the most important person in your relationship. Your marriage – the conversion – would have been unlikely to exist without it. And the few special cases carry little weight compared to the immensity of the cases in which this rule applies.
In this example, Alexandra is the First click – the beginning of your relationship – and Victor is the Last (paid) click.
Sources generating First click are basically those that generate more First click orders than Last click orders. And in the vast majority of cases, their share of new customers is much higher than the average of your site.
Therefore, you can consider these sources as your vectors for new customers. Their analysis should only be done on the basis of the First click orders and the First click CPO.
The analysis of sources closing orders should only be done on the basis of the Last (paid) click orders and the Last (paid) click CPO.
When you apply this rule strictly, you have several benefits:
- You stop analyzing in Last click the sources generating future new customers and penalizing them because they do not close your conversion paths, this is not their role
- You avoid making bad decisions based on an analysis too focused on the end of the conversion path
- You ensure the growth of your sales by preserving these sources which are your real vectors of recruitment of customers
To simplify this analysis, TrackAd offers by default the two viewpoints in the entire interface: First click (without cookie limitation) and Last (Paid) click.
You can also create KPI Alerts on the First click performance of the concerned sources, in order to be informed daily of underperformances or overperformances.
Finally, our new Attribution report gives you a comprehensive analysis of your sources’ involvement in the conversion paths, as well as their useful budget, i.e. the budget invested that generated orders.