Addressable Channels: These are marketing channels where the individual can be addressed or reached directly, such as through cookies or a UserID, as opposed to non-addressable channels such as broadcast TV or print where the audience is un-identifiable.
Advanced Attribution: There are various definitions of advanced attribution which confuse the market into believing rule based and algorithm based approach are both advanced. An advanced attribution solution will be based on an algorithmic model, which calculates credit for a conversion and assigns a fractional value to every touchpoint driving that conversion.
Algorithm: The mathematical formula that the attribution engine uses to assign conversion credit across the marketing touchpoints a customer was exposed to in the path to converting. Some algorithms can also calculate the impact of adjusting spend across channels.
Attributed Conversion: this represents the fractional total/sum of conversions that can be credited to a specific player.
Attributed Converters: this represents the number of converters that can be credited to a specific player.
Attributed Revenue: this represents the monetary value in revenue that your marketing was responsible for.
Attributed ROAS: this is calculated as the attributed revenue of the campaign/cost of the campaign.
Attribution: Simply the process of attributing credit to each interaction in a user’s path to conversion.
Baseline: To evaluate the incremental impact of your marketing, you must be able to quantify “what would have happened anyway without any marketing”. Baseline therefore represents a combination of brand equity, seasonality, competitor activity and unmeasured marketing.
Bottom-Up Modelling: Leverages individual, user-level data from addressable channels like online display and paid search to measure past marketing performance and predict future performance at the most granular level of data, such as creative, offer, keyword and more.
Brand Equity: Brand equity is a phrase used in the marketing industry which describes the value of having a well-known brand name, based on the idea that the owner of a well-known brand name can generate more money from products with that brand name than from products with a less well known name, as consumers believe that a product with a well-known name is better than products with less well-known names.
Channel: a channel is the collective medium/technology where a prospective customer can engage with a brand and visa versa, these include: paid search, digital display, affiliates, social media, direct mail and offline.
Conversions: what the marketer defines as the successful outcome of a campaign: sale, lead, quote, store visit.
Converters: The number of unique users who converted to a sale, quote, store visit, etc. This group includes both touched and untouched converters. A single converter can represent multiple conversions.
Converts: also known as Converters.
Conversion Window: please see look-back window.
Cost File: The files delivered to Abakus that contain the cost for each of your placements. Cost files are ideally delivered to Abakus daily and contain the actual cost for that placement that day.
CPA (Cost per Acquisition): CPA is how much it costs to convert a person through marketing into a customer. If your success metric is a sale, the CPA is defined as what are the marketing and advertising costs to get one person to buy something.
Exposed Conversions: these are conversions, where at some point prior to the conversions, some of the tracked marketing was seen or clicked. This means there was some of the tracked marketing in the path to conversion.
Exposed Users: these are users, where at some point prior to a conversion, the user is exposed to some of the tracked marketing.
Exclusive Converters: these are people who converted and were exposed to only one of the players in the attribution calculation (so if someone converted and had only ever seen an email and no other marketing, then that’s an exclusive converter on the direct mail player).
Exclusive Reach: this is the number of unique users exposed to marketing events from only that one player.
Exclusive Revenue: this represents the monetary value in revenue that only one player was responsible for.
Exposed Revenue: this represents the monetary value in revenue as a result of a conversions where at some point prior to the conversion some of the tracked marketing was exposed.
First Click/First Touch: An attribution model that gives 100% of the conversion credit to the first click or marketing touchpoint, in relation to the prospect converting.
Funnel (Upper & Lower): The purchase funnel, or purchasing funnel, is a consumer focused marketing model which illustrates the theoretical customer journey towards the purchase of a product or service.
Upper Funnel: Users who have been exposed to media before visiting the site.
- A customer is looking at holidays online, they have yet to visit the brand’s site.
- They see a banner ad for special airfares for their favorite destination.
- This prompts the user to go to the website to book their tickets for the holidays.
Lower Funnel: Returning users who were exposed to media after they visited the site and then converted.
- A user visited or booked a flight on an airline’s website last summer.
- The holidays are coming up so the user goes back to the same website to look up airfares but does not book a flight.
- The user is then served an ad regarding special airfares for the specific trip they did a search for which prompts them to come back to the website to book a flight.
Game Theory: Game Theory is defined as the science of strategic decision making - a way of making the best decision possible based on expected outcomes. Specifically, it is the study of mathematical models of conflict and cooperation between intelligent rational decision-makers.
Halo (aka Halo Effect): Attempts to measure the extent to which a channel can potentially lift or cannibalize another channel. For example, if an advertiser sees an increase in branded keyword searches while running a social media campaign, this would be described as a halo effect.
Last Click/Last Touch: An attribution model that gives 100% of the conversion credit to the last click or marketing touchpoint, in relation to the prospect converting.
Log File: Daily files that are transferred to Abakus which contain all marketing data (impressions, clicks) and all website activity (visits, conversions). Each entry must contain a unique user ID.
Look-Back Window: Used in rules based attribution models, it is the specified amount of time an impression or click remains valid in relation to a conversion. Example: If look back window is set to 30 days for an impression, and the conversion happens 31 days or more after that impression, the conversion will not be attributed it in whole or in part. Similarly, if a look back window is set to 7 days for a click, and the conversion happens 5 days after the click, then the click will be attributed to the conversion.
Match Rate: The percentage of individual customers that can be found in an online cookie pool, by matching customer level ID data to cookies, devices etc.
Match Table: Files to be delivered to Abakus daily that contain the actual given names for your different campaigns, placements, providers, or other data delivered in log files as IDs. Match tables are what are referenced in order to build your customized taxonomy.
Model Validation: The process of verifying the accuracy of attribution measurement and the media spend recommendations it delivers by comparing the predicted results with the actual results.
Misc: Misc (miscellaneous) is a common category that might appear within your taxonomy. It means there are some players that have clicks/impressions recorded in the log files, however these players do not appear in the match tables. An exception can be some activity that is not tracked directly by the ad server, or equivalent tracking platform. This activity is mapped using a match table or cost data feed that is provided directly from the vendor, for example, Marin, DS, Kenshoo, Mediamath, etc.
Non-Addressable Channels: Marketing channels such as broadcast TV, broadcast radio, print, out-of-home or in-store displays are non-addressable channels. They are places where marketing is delivered to a non-identifiable audience.
Optimization: Optimization is about finding an better way to maximize cost effectiveness and operational efficiency, whilst achieving the highest possible performance under given constraints (time, medium, spend).
Path Analysis: The process of determining a specific sequence of interactions a customer undertakes prior to some desired conversion outcome (sale, lead etc.).
Placement/Ad Group: An ad group is an ad-server/search management platform term, which refers to a grouping of one or more ads that target, typically a related set of creative or keywords.
Player: Dimension for which the attribution analysis can be run. This could be a channel, provider, placement, ad-size, creative, exposure, geographic area.
Point of Diminishing Returns: The point at which increased investment in a particular area results in a decrease in the overall return (assuming all variables remain fixed). For example, the point of diminishing returns for a PPC campaign occurs when increasing the budget results in a decline in conversion rates and an increase in cost per acquisition.
Provider: An Abakus term which refers to a level of the account taxonomy selected within the ‘settings>display level’ section of the dynamic player selection tool. Provider most often relates to Publisher, Search Engine, Network or DSP.
Revenue: Income generated from sale of goods or services before any costs/expenses are deducted.
Risk Tolerance: A setting within Abakus Performance Optimization reports which allows the user to adjust the amount of risk they are comfortable in taking (low, medium, high) in relation to the % of spend to reallocate between players, and the % of players optimized at each level of risk.
ROAS (Return on Ad Spend): a metric used to determine media effectiveness, simply put this is the gross revenue generated for every dollar spent on advertising and marketing. Or Revenue from ad campaign/cost of running ad campaign.
ROI (Return on Investment): ROI measures the profit generated by ads relative to the cost of those ads. Or (Profit-Cost of Ads)/Cost of Ads.
Rules-Based: An attribution model that distributes conversion credit across one or more marketing touchpoint using a manually or arbitrarily assigned weight. Examples of rules-based attribution models include even weighting, time decay, last and first event, and linear.
Scenario Planning: The use of predictive analytics to forecast future performance and produce customized media plans containing the optimal mix of channels and tactics needed to maximize marketing return on investment.
Audience Segment: An identifiable group of individuals who share similar characteristics or needs and generally respond in a predictable matter to a marketing stimulation.
Segmentation: The act of dividing a broad market into subsets based on common traits, demographics, geographic location, perceived need or priority, an example would be lower and upper funnel segmentation.
Shapley Value – In game theory, the Shapley Value is a fair value allocated to players in a collaborative game, considering all possible orders and variations of players.
Size Metric (Spend/Scale): This report setting is available as a toggle within Performance Reports and as an option within the dynamic player selection tool. It allows the user to view the player’s relative sizes in terms of their percentage of spend or their percentage of scale based on the defined efficiency metric. In the case of spend, the bigger the circle the higher overall spend that player has. In the case of scale, if the efficiency metric is CPA, the bigger the circle the more conversions are attributed to that player.
Spend Coverage: The percentage of attributed conversions with applied cost during the selected period.
Strategy: An Abakus term which refers to a level of the account taxonomy selected within the ‘settings>display level’ section of the dynamic player selection tool. Strategy most often relates to the business goal of the marketing i.e. Retargeting, Prospecting, Brand Awareness.
Taxonomy: Agreed classification and naming conventions of marketing attributes. Taxonomies differ across organizations and ensure that the analyses, insights and recommendations derived from attribution map directly to a company’s unique naming conventions and business goals.
Touchpoints: Any media interaction to which a customer is exposed. Touchpoints will include offline and online examples such as exposure to a TV commercial, browsing a website page, seeing a display ad or clicking on an internet search result.
Unique Users: is an individual visitor to a Website or the individual recipient of specific content, such as an ad, e-mail, or newsletter.
Visit: when a user views a page on your website. A visit includes users who have been presented a marketing ad and those who have organically arrived at your website.