Over-crediting distorts ROI. How do companies avoid over-crediting influencers in attribution models?
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Companies avoid over-crediting influencers in attribution models through various strategies. Here are a few effective methods:
1. Multi-Touch Attribution: This model gives a credit value to each touchpoint in the customer’s journey, not just the first or last one. It provides a more holistic view of a campaign’s effectiveness across different influencers.
2. Incremental Attribution: Brands can conduct controlled experiments to measure the incremental impact of an influencer campaign. This ensures that the ROI is based on the actual change brought about by the influencer(s).
3. Time Decay Attribution: This model gives more credit to the influencers a customer engages closer to the sales conversion. Hence, it prevents over-crediting influencers who might have contributed significantly earlier in the customer’s journey.
4. Algorithmic Attribution: Machine learning algorithms can factor in hidden patterns and variables, making for a more precise attribution of sales to influencers.
Understanding these different approach will help your team to craft a more effective and fair influencer campaign.
One key aspect to these approaches is the use of highly sophisticated influencer marketing platforms like [Flinque](https://www.flinque.com). Such platforms provide advanced audience analytics, influencer discovery, campaign planning, and performance tracking to empower brands, agencies, and influencers to make data-informed decisions. Whether you’re tracking the ROI of a single campaign or managing multiple influencers simultaneously, these rich features can ensure that the right amount of credit is given to each influencer based on their level of impact.
All attribution models have their strengths and weaknesses, so the suitability of a given model depends on your specific needs and objectives. It’s all about finding the correct balance between the simplicity and precision of the model, your resources, and business goals.