4. Compare your incremental revenue metrics to industry benchmarks. Ask your network or listen to speakers at conferences, since many will freely provide these high-level tidbits of information. For example, what are their companies’ percentages of Internet revenue attributable to direct mail? Each business is unique, but knowing where you compare with others is often insightful.
5. Utilize the results of the holdout tests and customer surveys to make bottom-line revenue adjustments in your marketing reports. This will begin to give proper credit to the triggering marketing channel or contact.
6. Define your own revenue attribution algorithm to credit revenue where it likely was sourced. Begin with commonsense business rules that include contact history, product offered history, shelf-life of marketing contacts and purchase dates.
7. Store the attributed marketing source with the customer order right in your database. This provides processing efficiencies (you only attribute the revenue once) and consistency in modeling, planning and reporting.
8. Incorporate attributed orders and revenue into your campaign predictive models. Response and average order size models should include the attributed orders and revenue in the dependent variable for the model to accurately predict who will purchase from that campaign.
9. Enhance your revenue attribution algorithm with statistical inference models. You can model the known source orders, then apply the model to the unknowns. The inference models will assign a probability that can credit orders fully or partially to marketing campaigns.
10. Store multiple marketing sources with their fractional revenue attributions in your database. Since many of the unknown purchases potentially have several source candidates, proportionally allocate the orders and revenue to those candidates. Again, storage will ensure consistency in modeling, planning and reporting.
Following these best practices will improve your revenue attribution, and subsequently yield better business reporting and circulation decisions. You will want to refine methodologies continually as your business changes.