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Attribution Examples for the eCommerce Industry

Let’s dive into the ecommerce industry, focusing on a beauty product site and a clothing site. Both sectors are highly competitive and often rely on multiple touchpoints to drive conversions. We’ll explore two examples using Time-Decay and Position-Based attribution models. These models provide a comprehensive view of the customer journey, allowing for strategic and tactical decision-making—something that NuSpark Media Group is particularly adept at.

Example 1: Time-Decay Attribution Model for Beauty Products

Scenario: Sophia is interested in skincare and comes across various ads from “GlowUp Beauty,” which is offering a 15% discount on first-time purchases.

Customer Journey:

  • Day 1: Clicks on a Google Ads search ad.
  • Day 3: Clicks on a Retargeting ad while browsing a beauty blog.
  • Day 5: Notices a Facebook ad and clicks.
  • Day 7: Finally, clicks on an Organic Search result and redeems the 15% discount.

Time-Decay Attribution:

  • Google Ads: 10% credit
  • Retargeting Ad: 20% credit
  • Facebook: 30% credit
  • Organic Search: 40% credit

Insight: The Time-Decay model suggests that Organic Search and Facebook are the most influential in Sophia’s decision to make a purchase. These channels seem to be particularly effective in the final stages of the decision-making process, warranting a larger share of the advertising budget.

Example 2: Position-Based Attribution Model for Clothing Site

Scenario: Chris is looking for trendy summer clothes and encounters various ads from “UrbanStyles,” which is offering a buy-one-get-one-free deal.

Customer Journey:

  • Day 1: Clicks on an Instagram ad.
  • Day 2: Clicks on an Online Display ad on a fashion website.
  • Day 4: Clicks on a TikTok ad.
  • Day 5: Redeems the offer after clicking a Retargeting ad.

Position-Based Attribution:

  • Instagram: 40% credit (First Touch)
  • Online Display: 10% credit
  • TikTok: 10% credit
  • Retargeting Ad: 40% credit (Last Touch)

Insight: The Position-Based model highlights the importance of Instagram and Retargeting Ads in both initiating and closing the customer journey. These channels appear to be the most effective in capturing attention and driving action, suggesting they should be focal points in future campaigns.

Key Takeaways:

  • Time-Decay is valuable for understanding the increasing influence of each channel as the customer nears the decision point.
  • Position-Based identifies the key channels that are instrumental in both starting and concluding the customer journey.

By leveraging these attribution models, NuSpark Media Group can strategically allocate resources to the most impactful channels in the ecommerce industry, ensuring a higher ROI and more effective campaigns. Whether it’s beauty products or clothing, understanding the customer journey through these models can be a game-changer.

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