If you are a marketer, you are probably familiar with the 5Ws model -- Who, What, Why, Where and When. Some even add a sixth question (“the H”) -- How? Those who can address these questions well can drive great results. Attribution vendors who offer marketing mix modelling (MMM) and multi-touch-attribution (MTA) help marketers increase ROI by answering some of the “6Ws”:
- Where: place your message in the right media space - specific placements or keywords or shows that are highly effective.
- When: understand what times of day/days of week work best and optimize accordingly (more sophisticated vendors help you find the right timing to put your message in front of the individual, rather than using aggregates like time of day).
- What: test different creatives through the lens of ROI and optimize that message to drive consumers to particular actions: particular offers, high profit products,etc.
- How: use attribution to help focus media spend on tactics that yield great results and remove tactics that perform poorly.
- Why: the best attribution companies model the consumer choice process, displaying how much incremental revenue the company earned because of each marketing touchpoint a consumer experienced prior to purchasing.
However, even these great companies are missing the bigger picture -- the reason that we behave the way we do is usually because of who we are.
Think about it this way, if you are selling razor blades for men, what factor best explains the reason that a user purchased your product? Is it because he interacted with your cool video ad on YouTube or is it because he is male and needs razor blades? Do you think the ad would yield the same results if presented to a female?
Most MTA/MMM vendors miss the Who: what are the person’s characteristics that explain his/her behavior? Even more important, they then miss out on providing recommendations and activation options based on audience data. This is true the other way around as well. DMPs are great at understanding people and finding lookalikes at scale, but are missing out on understanding why these people are buying, where to find them, what message to put in front of them and when.
So, bringing the two together can answer all the questions that marketers should be asking, at scale. For example, you can collate the best performing audience segments by campaign ROI and then find more people like that through your buying system (DSP).
You might be saying to yourself, “This is great! Now I can do everything by joining these two separate systems.” Unfortunately, it’s not so easy. Joining two different systems; using DMP A and attribution vendor B has its challenges:
- ID syncing between the two systems will result in loss of scale - for example only being able to match 70% of the people from your DMP to your MMM/MTA vendor.
- Looking at audience vs. marketing effectiveness side-by-side requires deeper integration between the two.
This is why more and more providers are integrating attribution and data management into ONE system. A properly integrated combo provides a holistic view across audiences, content, inventory, timing as well as the effectiveness of your tactics. This enables you to then execute buys at greater scale.
Want to learn more about Marketing Mix Models + Multi-Touch Attribution best practices? Get in touch with one of our experts,firstname.lastname@example.org.
This post was written by VP of Product Management, Roi Lavan.