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Attribution Model Definition
An attribution model is a set of rules or algorithms that determine how credit for a sale or conversion is distributed among the various ads, channels, and interactions a customer experienced before converting. Different models impact how success is measured.
How Attribution Model Works
- Marketers select models based on goals and customer journeys.
- Common models include last-click, first-click, linear, time-decay, and data-driven.
- Each touchpoint receives varying amounts of credit depending on the model.
- Attribution results guide optimization and investment decisions.
Example of Attribution Model
In a time-decay model, touchpoints closer to the conversion receive more credit, while earlier interactions receive less.
Why Attribution Model Matters in Advertising
- Influences how campaign performance is evaluated
- Guides smarter budget allocation and optimization
- Ensures fair credit distribution across marketing channels
- Helps marketers understand which tactics truly drive conversions
