As more and more multi-channel retailers turn to digital channels to promote their products, a significant attribution challenge has become more prevalent. According to research by comScore and Yahoo!, as much as 92% of purchases occur offline, but most multi-channel retailer target their online advertisements for online conversions. While digital channels have become pivotal to informing the consumer decision journey—with consumers using an average of 10.4 sources of information to guide their purchase decision—many retailers are not accounting for how their online advertisements influence offline sales.
Attributing offline sales to online marketing campaigns has proved challenging because most bid management/attribution platforms do not have the ability to incorporate offline data. In effect, retailers have limited visibility into the ways consumers interact with their online advertisements before making an in-store purchase. For instance, a consumer might click on a paid search advertisement and then be retargeted on her mobile phone with a display ad, which ultimately reminds her to stop by the retailer’s brick-and-mortar location to buy the item. However, the channels that influenced her purchase do not receive any credit.
Mike Solomon, Sr. VP of Marketing Strategy with The Search Agency, explains the immediate need for a cross-channel attribution methodology: “The starting point for retailers is to first collect the data on how their consumers are engaging with them on their site. From there the key is to assign a lifetime value to each of these actions. Where there is more purchase intent, there should be greater value assigned. This is the start of developing an omni-channel strategy centered around cross-channel attribution.”
It has become clear that multi-channel retailers need a new approach to bridge the gap between online marketing and offline sales. The attribution methodology detailed in our most recent white paper will help marketers properly account for in-store sales and determine the total value of their online marketing campaigns.
Download your copy now to discover how you can leverage an Online-to-Offline attribution methodology to gain new insight into the total value of your search marketing campaigns.