Conversion Attribution – The Problem with using the Last Interaction Model
Are you truly showing the potential of your AdWords performance? Probably not. Depending on how people interact with your products or services will dictate how you should measure success through every marketing channel.
In this article, we’ll cover what attribution models you can use to measure success, which model may be the best for your business and how to modify tracking conversions.
What is an Attribution?
If you’re not familiar with this term, the attribution model in Google refers to the touchpoint of an interaction which leads to a conversion. This could be from the starting staging of researching a product right through to the intention to buy. Google has seven attribution models which you can use, these are:
Last Interaction: This is the last touchpoint before the sale.
Last Non-Direct Click: This ignores direct traffic and gives all the credit for the conversion to the channel before the direct source.
Last AdWords Click: This will give all credit to the first and only AdWords click.
First Interaction: This will give the first touchpoint all the credit.
Linear: This will split the attribution evenly between each touchpoint.
Time Decay: The touchpoint closest to the sale will receive the most credit, with the first touchpoint receiving the least.
Position Based: This uses the notion that the first and last interaction are the most important, giving 40% of the attribution to each and sharing the remaining 20% with the interactions in-between.
Now you understand what different attribution models are, how do you understand what is best for your business? This requires one of the following (or even better both!); previous conversion data for your business in Google Analytics or a deep understanding of how consumers interact with your business.
What Attribution Model is Best for My Business?
If you already understand the journey of the consumer, you can use this to your advantage with attribution models. For example, if your advertising is designed to attract people at the point of purchase, you would want to keep the more common Last Interaction model. If your ads create awareness for your brand or products, the First Interaction model would be more beneficial to understand what impact these ads have.
To understand this better, this is where data comes in. Through Google Analytics you can access Conversions > Multi-Channel Funnels > Top Conversion Paths. This will show you how you consumers convert through multiple channels and the interactions between each channel. If paid search seems to be part of, but not the only channel involved in a conversion, a shared attribution model would be more beneficial, such as Linear, Time Decay or Position Based.
Why Would Researching Attribution Models Benefit Your Business?
Now that we’ve shown you what attribution models you can use and how to decide what model is best for your business, how does this benefit you?
You could be selling yourself short with your AdWords performance by not attributing the success of campaigns that do not convert on the last click.
It helps you understand your user journey better, and this data can help with optimising your conversion rate.
The attribution models will assist you in deciding what channels perform the best and which channels need more investment to improve your ROI.
As well as your attribution model the conversion window is also an area you may want to customise. Check out this blog on how to customise your conversion window, which will allow you a period between 7 and 90 days to track a conversion.