E-commerce businesses, in particular, face the unique challenge of navigating an environment where consumer touchpoints are plentiful and the paths to purchase are complex. To truly thrive, they must look beyond the confines of traditional marketing models. Herein lies the profound value of integrating three powerful approaches: Multi-Touch Attribution (MTA), People-based Strategy (PPS), and Marketing Mix Modeling (MMM). This synthesis not only harnesses the strengths of each model but also significantly amplifies their collective impact on marketing effectiveness and ROI.
Deciphering MTA, PPS, and MMM: A comparative overview
Each of these models offers distinct perspectives and advantages:
- Multi-Touch Attribution (MTA) focuses on assigning value to each customer interaction along their journey towards a conversion. This granular approach excels in digital environments where multiple touchpoints, from social media ads to email campaigns, influence consumer decisions. However, its reliance on digital data can be a limitation, struggling to incorporate offline influences effectively.
- People-based Strategy (PS) emphasizes understanding and targeting individual consumer behaviors across devices and platforms, integrating data to build a cohesive customer profile. This strategy is potent in its precision and personalization capabilities, enabling marketers to craft highly targeted campaigns. Yet, its success is contingent on the availability and integration of extensive consumer data sets.
- Marketing Mix Modeling (MMM) offers a macro-level analysis, evaluating the overall effectiveness of marketing strategies across various channels over a longer period. MMM excels in providing strategic insights and budget allocation recommendations based on historical data. Its limitation, however, lies in its typically slower adaptability to rapidly changing market conditions and digital channels.
A tridimensional approach in e-commerce
The digital realm of e-commerce, with its swiftly evolving trends and behaviors, demands a more holistic approach. By combining MTA, PPS, and MMM, businesses can create a comprehensive marketing model that leverages the immediate, granular insights of MTA and PPS with the strategic, long-term planning capabilities of MMM.
Obtaining comprehensive insights
By integrating these models, the retailer not only understands the effectiveness of each marketing touchpoint but also gains insight into how combinations of different strategies influence overall business objectives. This integrated approach allows for:
- Refined Targeting and Personalization: Using PPS to enhance the granularity of MTA and MMM, ensuring messages are tailored to the nuanced preferences of each customer segment.
- Optimized Budget Allocation: Leveraging the strategic foresight of MMM to distribute resources effectively across both digital and traditional platforms, guided by the real-time data from MTA. here is a comprehensive comparison between marketing mix modeling and multi touch attribution to help you understand better their advantages and use cases.
- Enhanced ROI Measurement: Combining the immediate, detailed feedback from MTA and PPS with the broad, ROI-focused evaluations from MMM, providing a multi-dimensional view of marketing effectiveness.
Introducing PRISMA Fusion
Prisma is aimed at e-commerce brands investing over €80,000 monthly across diverse advertising channels such as Meta, TikTok, Google, and offline avenues, while also extending their market presence on platforms like Amazon. This innovative solution blends the precision of Multi-Touch Attribution (MTA) with the holistic insight of Marketing Mix Modeling (MMM) to optimize ad spend and enhance profitability.
PRISMA is not just another tracking tool—it's a bespoke AI-powered model specifically crafted for D2C brands. It revolutionizes budget allocation by ensuring that every euro is maximized across all channels
The Admetrics solution uniquely benefits D2C brands that navigate complex multi-channel landscapes. For example, Naturtreu saw a 40% increase in its advertising budget efficiency and a 25% reduction in customer acquisition costs within just 60 days of implementing PRISMA. Similarly, SugarGang experienced a threefold increase in Return on Ad Spend across channels, with PRISMA uncovering critical insights about the impact of emerging platforms like TikTok.
PRISMA is designed for the ambitious e-commerce entrepreneur. If you are an owner, CEO, or CMO managing an annual turnover of at least €3 million and striving to transform your online shop into a robust brand, PRISMA is tailored for you. It supports a sophisticated advertising strategy that spans organic and paid social media, native advertising, PR, and even explores offline and TV avenues.
By incorporating PRISMA into your strategy, you'll gain unprecedented clarity on the effectiveness of your social ad spend, understand the true origin of your customers, and optimize the efficiency of every advertising channel. Say goodbye to the days of uncertain budget planning based on inadequate data.
Discover how PRISMA can redefine your advertising strategy and boost your ROI.
