This blog reflects on the Econsultancy seminar on web analytics. More can be found at www.econsultancy.com.
If you are into evaluation, (and my blog statistics suggest most visitors are), you need to start providing credible reports on return on digital marketing investment. Attribution models help allocate lead generation and customer conversion to specific activities but model used can give a very different report.
There can be massive differences in what your website statistics and advertising statistics tell you. That’s because there are natural drop offs between people clicking an ad, opening an email, clicking a link to your site (the ad stat) and staying on your site long enough to register as a session (website stats). It can be down to simple things like realising they have gone to the wrong or irrelevant site, the home page taking too long to download or a loss of internet connection.
At a deeper level though, understanding how to attribute the success for a conversion is gaining importance in internet marketing. There are essentially three different strategies which can be employed to help give you a view on web traffic. These are commonly referred to as ‘last click’, ‘conversion’ & ‘weighted’.
Last click is the most common and easiest to monitor as it attributes credit for the conversion on the last click. So if an email is sent which results in 20% clickthrough to site, the email takes the credit. The major drawback in this model however is that it fails to take into account any other touchpoints, which inevitably provides a false impression of what works.
Conversion isolates a click and offers a thread so is ideal for affiliate enterprises. It does however provide the greatest risk of duplication and double counting as there is no guarantee that the clickthrough ends in a sale.
A weighted approach tries to allocate credit to all aspects of campaign but is obviously the hardest to manage. Dell and other direct marketing giants pioneered the concept of dedicated landing pages to help allocate traffic to specific channels and activities. Other sites bluntly ask how you arrived at the site.
I think the key thing for most businesses is simply to start monitoring where your traffic is coming from. If you are not, start monitoring your clicks, traffic and conversion today. If you already are, perhaps this post has given you some food for thought on exactly what you are monitoring.
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