Attribution measurement can be a key tool for determining which marketing channels work and which can help cut customer acquisition costs. Marketers in verticals like financial services have long understood that they need to play the long game when it comes to acquiring new customers. Considering the potential payoff, it can be common to see numerous special promotions and premiums offered (free toaster anyone?), and acquisition costs in the hundreds of dollars . In the past, that was perfectly acceptable. Today, a new breed of financial service startups are doing more with less. New business models for online banking, mortgage lending and even wealth planning services are mirroring the experiences learned in direct mail and online to capture mindshare. But as these disrupters barrage consumers with multichannel offers, they are also promoting churn and potentially eroding the stickiness of customer relationships. Both traditional institutions and this new breed of online-first financial brands need to look to attribution measurement to see which channels are providing the best marketing ROI. The flaws of the legacy attribution model Historically, attribution has been determined by sampling and probabilistic forecasting. Unfortunately, samples based on small match rates can easily skew model results, reducing accuracy. But these legacy models aren’t just inaccurate, they are late. Typically, marketers commission attribution studies that arrive months after the campaign, and the findings often reflect what the marketer wants to hear. While the legacy model is a challenge for all marketers, it’s especially burdensome for financial marketers for two reasons. First, high acquisition costs and churn will exacerbate the pain of a slow and wasteful attribution model. As a result, financial marketers dig themselves into a deeper hole—one that leaves fewer dollars for innovation in various media channels. Moreover, the longer you are beholden to a legacy model, the deeper that hole becomes. You May Also Enjoy: Attribution is Still A Huge Challenge for B2B Marketers: Report Attribution Models: Tips for Deciding Which is![]()
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