What is the attribution index

When discussing attribution modeling in marketing, it refers to the identification of events that lead a consumer to their intention to make a purchase, or directly to the purchase itself.

In reference to events, however, it should be clarified that this term pertains to a set of actions undertaken by the user.

These actions can range from viewing an advertisement, to clicking on it; from signing up for an e-commerce site or a newsletter. In the best case scenario, they may even make a purchase.

Each of these activities holds its own value, and it is the job of attribution modeling to measure this value in such a way as to convey useful information to the company or corporation that intends to convert that particular consumer from a prospect to a lead.

This information is valuable because once acquired, the company will have a much clearer perception of which channel or choice is most productive in order to achieve its goals.

How Attribution Index is Measured

The significant shift from pre-digital marketing to a highly digitalized approach has introduced numerous forms of measurement, such as Cost per Action (or acquisition), Cost per Click, or Cost per Impression.

Each of these can significantly contribute to the collection of data useful for the attribution index.

We therefore distinguish certain particular attribution models:

• Single Touch Attribution: this model attributes a given value to a single event, such as the first click, or the last, or where (FACEBOOK, INSTAGRAM, company website, email, etc.), at a certain moment, the advertising element was viewed. Generally, this model is not highly reliable since it does not take into account a more extensive journey that leads the consumer to the desired point;

Fractional Attribution: this model assigns equal value to both the first and last event, without considering which of these events, within a broader journey, is more significant;

Algorithmic or Probabilistic Attribution: this model relies on calculations made by advanced computing software, which aims to estimate the correct weight and value for each event, especially those leading up to the conversion. Indeed, the use of such software is mostly aimed at identifying which event and which moment in the user's journey is most sensitive to conversion.

In conclusion, attribution modeling is both a useful and important measurement tool within a web marketing campaign. When used wisely, it can best guide the company's choices.