It is only a matter of time before the marketing ecosystem realizes that click through rates, web analytics, and impressions rarely tell the real story when it comes to campaign effectiveness. Sure, your consumer clicked on the digital ad. Sure, he perhaps even searched online for your product or service. But if your primary business is offline – for example retail stores or F&B outlets, how do you know for sure that the impression or click actually resulted in footfall? Even as ecommerce continues to mature, 92% of purchases continue to take place offline after some online consumer activity such as search or ad clicks. However, digital marketers continue to target only online conversion and behaviour. Let’s just say this – any marketing leader worth his salt understands that optimization, segmentation, and accurate targeting is not about getting more clicks. It is about business results – offline footfall conversion. Missing as high as 92% of your purchase data makes for a broken attribution model. Unfortunately, for many marketers, digital advertising is yet to reach that level of transparency and viewability, but it is only a matter of time before it does.
But how can CMOs ensure such high levels of transparency and viewability in their digital strategy?
The answer is in location-based attribution. So far, attribution models have depended heavily on online behaviour to ascertain campaign effectiveness.
Now, things are read to change with LifeSight Attribution – a whole new attribution platform for marketers around the Asia Pacific region that takes into account not only online behaviour but actual offline footfall – can ensure that marketers quickly mature to the next level of accountability and ad spend optimization.
The answer is simple – webrooming as a concept is coming of age. The new-age consumer journey, that starts online and results in a store visit, is expected to reach $1.8 trillion in sales in 2018. That means that if CMOs are not demanding footfall as a KPI of their digital strategy and aren’t ensuring that their attribution model tracks the consumers’ offline journey as a result of a digital campaign, they are not evolving fast enough. They are missing a large piece of their campaign effectiveness measurement. In short, the story is far from complete and the decision-making, not very data-cetric.
That being said, in several developing markets, especially in Asia, location based attribution is largely ignored even as digital advertising continues to grow by leaps and bounds. So far, only 8% of mobile optimization is invested in location. If the marketing ecosystem has to mature faster, this investment needs to increase quickly.
It is crucial that marketers start to measure the conversion from the click or impression of a digital ad to actual offline store visit. It is important that they know how much higher the conversion rate is for those who saw the digital ad vs those who did not. At its heart, this is the very basic of campaign effectiveness measurement. And now, marketers have the technology to do it right too.
What’s the catch? And how does LifeSight Attribution overcome it?
Not all location data is equal. Many marketers and location intelligence companies are still mistaking proximity for location. For on point campaign effectiveness measurement, marketers need to know if a consumer was actually inside the store or just walking past it. Understanding where the data is coming from and how it was collected is crucial for an on-the-ball location attribution strategy.
That is exactly what LifeSight Attribution is designed to do. It uses geo-fencing to not only serve digital ads but actually limits the circumference around the store in order to make the attribution model as accurate as possible with the technologies we currently have at hand.
Another challenge at hand is the privacy concerns around location data. We beat that challenge by exclusively using opt-in methods to collect location data.
So CMOs, the ball is now in your court. With LifeSight Attribution, you finally have the choice to evolve your attribution model and demand far more transparency in your campaign effectiveness measurement. You have the chance to finally find the missing piece in your digital advertising strategy. Are you ready to make the jump? We’re here to help.