Econometrics: Digital media attribution
A restructured modelling framework can model the offline and online consumer purchase journey to capture interactions between traditional and digital media, enabling the attribution of credit to each marketing element for the sales conversion.
Digital media attribution aims to identify the combination of online marketing activities and touchpoints contributing to online sales conversion. Given the availability of unique user-identifiers, analysis conventionally traces the actions of single individuals. Traditional media attribution, on the other hand, evaluates the offline sales impact of offline marketing investments. Measurement is typically carried out at an aggregated level, using marketing mix analysis applied to groups of consumers, either at store, chain or market level.
With the advent of multichannel marketing, comes the need to measure the sales impact of inherently micro-focused digital media alongside more macro-oriented traditional advertising. Consequently, any analytical approach that aims to incorporate both elements inevitably involves a degree of data aggregation or disaggregation depending on whether we adopt a macro or a micro route.