Your company is investing in digital marketing, but do you know how effective your efforts are?
What gets measured, gets managed.
Metrics allow business owners to analyze performance over time and make better decisions regarding digital marketing.
Social media attribution is one measure to make sure the valuable time and money you are investing pay off.
Useful Social Media Metrics
- % ROAS – Return on Ad Spend. The ratio of revenue compared to the amount you spent on ads driving those purchases.
- $ ROI – Return on Investment. Simply put, how much you got for how much you spent.
- # Attribution – Tracks the channel that leads to the desired outcome (how many purchases came from a source)
3 Types of Attribution
Attribution works backward from an event like a purchase, a form-fill, or a sign-up and tracks its source. Social media attribution allows you to assign value to channels that contribute to your business.
You may be surprised to learn how many times customers interact with a brand before making a purchase. These interactions are likely on a variety of platforms. Which one deserves the credit when they finally make a purchase?
Attribution can be tricky and, although very useful, is an imperfect science.
There are three types of attribution
- Last Touch Attribution
- First Touch Attribution
- Multi-Touch Attribution
Scenario: Suzy clicks on an ad on Monday, receives an email on Wednesday, but then googles your product on Friday and finally makes a purchase.
Last touch attribution gives credit to the last point of contact your customer had with your brand before making a purchase. In the above scenario, Google is attributed to the sale, as it was her last interaction before buying. This is the most straightforward form of attribution to measure.
First touch attribution gives credit to the first point of contact your customer had with your brand before making a purchase. In the scenario above, Suzy’s purchase would be attributed to the ad she viewed on Monday with first touch attribution.
Multi-touch attribution is the most difficult to measure, but it shows the entire customer acquisition experience. Digital marketing is optimized when multiple moving parts complement each other to create a compelling customer journey. Once you master the basics of social media attribution, consider diving deeper into multi-touch.
Tools for Social Media Attribution
Tools like Google Analytics and the Facebook Attribution Tool are great ways to start measuring your social media attribution. By setting social media goals for things like traffic, downloads, form-fills, page views, etc.) in Google Analytics and installing the Google Analytics tracking code on your website; you can analyze robust reporting on the traffic coming into your site. Under the Reporting tab, you can dive into the demographics of users coming to your website, what they do when they get there, who converts to a sale, and the path people take to convert. It’s not only incredibly useful but eyeopening!
Google Analytics Tracking
You can set up attribution tracking in Google Analytics by selecting Conversions > Multi-Channel Funnels > Model Comparison Tool on the left side menu. Then, you can compare different types of attribution models to better understand the path your customers are taking before making a purchase. The most straightforward comparison is last-interaction vs. position-based. As we already learned, last-interaction attributes credit to the last place the customer was before making a purchase (or completing the desired function). Position-based defaults to 40% first -interaction, 40% last-interaction and 20% spread evenly between the interactions in the middle.
You will notice that the channel given credit for the sale changes drastically between the two models.
You can click on the channel group to see an expanded view of detailed sources.
TIP: Pay attention to “other.” There are often valuable insights in this category. For example, “Other” may include social media interactions that should be considered as is the case with this company.
Facebook Attribution Tool
The Facebook Attribution tool is available through Facebook Ads Manager. It leverages Facebook Pixel, a code that you imbed in your website that gathers data that helps you track conversions, analyze and build unique audiences and retarget to existing users of your website. The Facebook Attribution tool provides robust options for measuring social media attribution and offers tremendous insight into where your digital marketing efforts are taking you.
Social media attribution is complex and may be daunting, but should not be ignored. Through research or partnerships, leveraging these analyses can help you make better decisions and grow your business.