How to Avoid “Last Mile Attribution Bias” in B2B Marketing Mix Modelling

Background

The client is an ERP applications software marketer who sells theapplication to small and medium size businesses. The companymaintains a database of over 500,000 businesses in the countrywith contact details of key personnel. The client uses theircustomer database to target customers through direct mail, e-mailand has a sales force to visit customers.The client is also has a substantial digital presence with a website,online advertising, search engines optimization and social mediapresence. Every quarter there are live events held in various partsof the country to select prospects. Prospective customers candownload the trial version of the software for a limited period.Recently, on the advice of a leading consultant, the client releasedTV and radio ads to improve brand imagery and generate leads.The campaigns ran mostly concurrently for a period of 4 months.

Task at hand

The client wanted to know the effect of the various media on totalsales, with particular focus on the effect of TV and Radio and howit has contributed to sales and brand imagery.

Data at hand

Solution adopted

The following analysis was conducted on the data provided to understand the impact of all elements, especially TV and Radio.

Results

It was found that e-mail, radio & search Impressions were the leading contributors to dollar sales. While TV & did not directly contribute to sales, they had an abnormally high impact on intermediate steps in the path to purchase – opening of emails sent, software downloads and website visits.VAR was able to discover that a substantial portion of downloads webvisits and email opens lead to sales in successive months.

Learning

It was found that e-mail, radio & search Impressions were the leading contributors to dollar sales. While TV & did not directly contribute to sales, they had an abnormally high impact on intermediate steps in the path to purchase – opening of emails sent, software downloads and website visits.VAR was able to discover that a substantial portion of downloads webvisits and email opens lead to sales in successive months.