The gaps in current patterns …
It will not startle you if you are advised to take your conversions into account to upgrade your optimization algorithms. Yet this is not enough! First of all, because giving credit only to traffic sources that give rise to immediate conversion is an erroneous view of your acquisition strategy, and it is extremely rare that only one lever is involved in a conversion. But also because by focusing solely on macro conversions, advertisers neglect more than 90% of their data, making predictive algorithms ineffective.
Understanding the « customer path »
Faced with this need for volumetry some are turning to buying traffic with the hope of sparking conversions. Studies show that there is no correlation between visits and conversions. By comparing the purchase path with human encounters, this situation is in itself not surprising at all!
Indeed, imagine that you were crossing a stranger in the street and that such person asked you to follow him for a getaway to Lisbon, would you follow him? Without a doubt, you would refuse! However, if you took the time to be acquainted with this « unknown », it is probable that after several exchanges you will end up accepting this offer that seemed foolish at first. The process is strictly the same with the purchase path of your customers. All your users are not the same, some will need more time to convert, and will have different degrees of engagement.
From Macro to Micro conversions, how can you score your interactions?
Before anything else, the important thing is to identify the consumer segments that we want to address: are they new customers? loyal customers? customers who have already purchased once on the site? etc.
Next comes the definition of the Scoring matrix, specific to each of the segments. But what is exactly a Scoring Matrix? A Scoring matrix consists of the customer path decomposition according to five levels of engagement: visit, action, attention, consideration and, finally, conversion. It is recalled that according to the study mentioned above, there is a strong correlation between one threshold and another.
When the traditional approach awards the entire score to the act of purchase and to the leverage used (here the social), Scoring makes it possible to value all the levers involved in the conversion process.
Also, a woman X living in Paris, who has accessed the website via a sponsored ad and has consulted several product sheets on the site before putting some of them in her shopping kart, but without finalizing her purchasing process, will get the score of 80 (if she belongs to segment 1). By focusing on the level of visitor engagement and traffic sources, it is then possible to target high-potential audiences wherever they are with a message suitable to their position in the conversion funnel. In our case we will be able to make an upward adjustment of the Adwords bids to reach more particularly people with a profile similar to profile X that have a high conversion potential.
In such a context, there is no longer any question of using a CPA-based media operating (cost-per-acquisition), but rather a CPS-based operating (cost per score), in order to obtain a better daily vision of all channels performances:
To keep in mind …
Taking into account the different points of contact, scoring meets this need for volumetry and allows the construction of audience profiles, the evaluation of all the levers efficiency, and ultimately the optimization of the tactical acquisition device (levers, auctions, targeting, etc.).
The Scoring breaks down the silos and forms part of a multi-source management model allowing a true vision of the best performing channels, and thus a better budget allocation!
Would you like to learn more about this subject?Adrien is waiting for you!