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dmexco: The State of Marketing Attribution

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Customer journeys are increasingly complex - consumers constantly move across devices and between digital and offline worlds faster than ever. But what are marketers doing to measure this and attribute value to various advertising efforts? AdRoll and EConsultancy examined North America, Europe and APAC marketers to produce a State of Marketing Attribution report for 2017. This new research sheds light on the tech, approaches and tactics marketers are adopting, as well as the barriers and issues holding them back. It dives into changes over the past year and whether marketers in different regions are having different levels of success. Join AdRoll VP of Marketing Shane Murphy to discuss key findings and actionable recommendations to improve marketing attribution efforts today.

Published in: Marketing
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dmexco: The State of Marketing Attribution

  1. 1. The State of Marketing Attribution Shane Murphy @adroll @shanemurfy
  2. 2. Agenda 1 Attribution the theory 2 State of Marketing Attribution Report Highlights 3 The Case for Incrementality 4 How to get started
  3. 3. About AdRoll 35k Customers of all sizes globally 10+ Years of growing online businesses
  4. 4. True Business Impact Made Easy
  5. 5. Online - ActionOffline - Desire When the internet started life was easy ● See athlete wearing shoes ● See tv ad for shoes ● Try shoes on in store ● Search for shoes online ● Click on ad ● Purchase shoes
  6. 6. Online - ActionOnline - Desire ● See ad with celebrity wearing shoes on instagram ● See friend bought shoes on Facebook ● Go to nike.com and check sizes ● See retargeting ad for shoes ● Search for Nike.com ● Click on branded search ad ● Complete purchase Now it’s far more complex
  7. 7. We started with rules rules rules
  8. 8. Last Click - everyone’s first model
  9. 9. Last Click - everyone’s first modelFirst Click - the mirror image
  10. 10. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equally
  11. 11. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyPositional - location, location, location
  12. 12. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyTime Decay - short term memory
  13. 13. 80%+ of Marketers use a Rule based Model
  14. 14. 50%+ use a click based model
  15. 15. But it’s not that simple
  16. 16. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyLack of correlation between clicks and conversion
  17. 17. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyLack of correlation between clicks and conversion
  18. 18. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyLast Click models pull investment from upper funnel demand generating channels AdRoll internal campaign data
  19. 19. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyAnd ignore the multiple other steps that help drive a conversion AdRoll internal campaign data % Revenue driven with conversion path +1 step
  20. 20. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyAnd to make it worse The top quartile of clickers are 5.5x more expensive than less clicky users
  21. 21. “In order to get more click conversions, you need to drive more clicks. In order to drive more clicks, you may be optimizing away from some of the highest converting inventory in the campaign.” - James Moore - CRO simpli.fi
  22. 22. “Rule based or last/first touch approaches are remedial approaches that falsely boost campaign and channel performance and do a poor job of measuring cross-channel impact” - Forrester
  23. 23. We can not truly help our customers unless we both think differently about attribution
  24. 24. Key Findings State of Marketing Attribution
  25. 25. N=987 respondents: 74% in house marketers, 26% agencies Regions covered: North America, Europe, Japan and Australia www.adroll.com/dmexco2017 Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyAbout the research
  26. 26. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyLess than half European marketers run on all campaigns
  27. 27. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyClick based models still most used
  28. 28. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyTechnology, data structure, knowledge and time are key barriers to adoption
  29. 29. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyMost people think First and Last Click models are effective
  30. 30. Last Click - everyone’s first modelFirst Click - the mirror imageLinear - touchpoints matter equallyOver 50% of marketers use Google for their Attribution modelling...
  31. 31. Marketers are waking up but lots of work to do
  32. 32. Attribution The Case for Incrementality
  33. 33. There is no ideal way to do attribution
  34. 34. How you optimise campaigns is directly linked to likely incremental impact on your business Click Based Conversion Based Incremental Based Optimise to expensive clickers Optimise to high intent likely converters Optimise to actual uplift but hard to do
  35. 35. Click CPA Conversion Rate Lift Incremental Revenue $46 -14.72% -$26,479.00 $102.75 +12.36% +$56,216.00 We took some of our top customers and they agreed to test optimising to incrementality Click Based Increm. Based
  36. 36. They all saw an increase in conversion rates + 15.79% + 18.5% + 36% + 5.62% Brand A Brand B Brand C Brand D
  37. 37. I know this because I did it in 2014
  38. 38. Attribution OK so how do I get started
  39. 39. You don’t need to run from the start Last Click Last Touch Add time decay Algorithmic Incrementality Multi-Touch
  40. 40. Track as much as you can
  41. 41. Pick a partner to work with or get an analyst involved
  42. 42. Questions? Visit Hall 7 Booth C061 Tweet me @shanemurfy

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