A Must-Know Technique for Measuring Prospecting
To effectively grow a client’s business, advertising strategies must focus on how to acquire new customers. Prospecting is the fundamental tactic for achieving this objective, however, many clients have not yet adopted measurement tools to accurately assess performance of this tactic compared to other strategies like retargeting. Without a proper way to gauge the value prospecting brings to overall performance, clients risk misinterpreting data and making advertising decisions that could negatively impact their business. To avoid these common missteps, a client must first decide how they will measure prospecting based initiatives.
In this day and age, clients most often evaluate prospecting performance in two ways. The most widely used form of measurement continues to be last touch attribution. Utilizing this model can be problematic if careful consideration is not taken to determine accurate goals for prospecting. Moreover, since last touch attributes credit to only the last ad served to a user before conversion, it is likely that prospecting efforts will not receive credit for those they originally sourced. It is therefore important to recognize that prospecting goals need to be much higher when running against this model. In fact, on average we find that prospecting goals need to be 58x higher than retargeting goals!
A more accurate way to measure prospecting success is through an advanced attribution model. This method allows a client to have insight into the true impact of prospecting by looking at all touch points versus solely the last touch. This helps provide a clearer view into performance of all tactics by showing how each perform throughout the entire funnel. With a more complete picture, a client can correctly assess performance and make smarter optimization decisions.
As the industry evolves, I predict a greater shift toward advanced attribution models. The full funnel view this brings will better improve overall strategies. When looking to execute new and effective tactics, be sure to keep in mind the best ways to evaluate performance. What attribution model do you use?
Rebecca Brennan is a senior client strategist at ownerIQ. Connect with Rebecca here.
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