Advanced attribution models will provide advertisers with a more granular understanding of the customer journey. This will enable more precise allocation of marketing budgets and better insights into which touchpoints are driving conversions.
Attribution Models are approaches that determine how credit for sales and conversions is assigned to different channels across different touchpoints in the buyer journey.
Through AI and machine learning, ads are optimized at scale across sectors for micro-targets that can be defined in multiple ways including demographics, psychographics, life stage, purchase behavior, customer journey stage, and KPI’s like video completion, app installs, site visits, purchase/conversion, and actions like filling out forms. The technology also enables a new form of targeting based on message resonance. Characteristics of consumers that respond to different message element combinations can inform brand persona profiles.
AI … takes the guesswork out of advertising with more actionable, diagnostic information, within the context of brand campaign big ideas.
Source: Greenwald, M. (n.d.). Why AI Powered Creative Is The Most Important Change In Advertising Development History. Forbes. Retrieved January 7, 2024
The purpose of attribution modeling is to increase the chances of converting more prospects by identifying areas of the buyer’s journey that can be improved, determining the ROI for each channel or touchpoint, surfacing the most effective ways to spend your marketing budget, and tailoring marketing campaigns and content to unique personas.