In AcquireGraph, AudienceCreation

In our last blog (Identity Solutions: Overcoming The Challenges), we discussed the emerging focus on Identity Solutions citing a recent Winterberry Group study (Know Your Audience: The Evolution of Identity in a Consumer-Centric Marketplace), released in August of this year.   It’s predicted that the US market will expand investments in identity solutions from $900 million in 2018 to $2.6 billion by 2022.

One of the largest barriers to adoption of identity solution use among those included in the study, was the ability to analyze and determine an ROI on the resources required to find and implement the right solution. Of those in the study, only 13.4% reported seeing the value.

From our perspective, the question isn’t if the ROI is there, it’s how companies are determining the ROI. Campaign performance should be the foundation of this analysis, however, the metrics used for this need to be revisited.

The Tools Mistakenly Being Used Today
The world we live in is cluttered with various tools that allow marketers to track, optimize and gain additional basic metrics for campaign performance. These tools do a good job of providing statistics that speak to a brands level of engagement with a consumer at a high level, unfortunately too many advertisers are using these tools to ultimately determine whether their campaigns were successful or not.

If the decision internally was made to base success or failure, simply on the number of eyeballs that saw an ad instead of what sales lift came as a result of those eyeballs being exposed to it…then these metrics work perfect. However, most would agree that regardless of the industry, success is typically defined using the sales impact as the benchmark. Simply knowing how many eyeballs were exposed to an ad won’t provide you with the true analysis of what sales were generated specifically against your campaigns channels and budgets. While it’s true that there can be a certain degree of information on sales lift generated from a quick analysis on overall company sales as compared to similar previous period, this will result in simply an indicator that your campaign achieved a degree of success.

With the abundance of variables out there that could have an impact on sales, this vague and unreliable exercise probably won’t cut it. As a multi-channel marketer, you want to know to the penny what impact your campaign had on sales and you want to know this on a channel-by-channel basis, so you can execute future campaigns against your most efficient and effective mediums.

Online Plus Offline Sales are Required to Determine a True ROI.
Another essential component to a true analysis of your campaigns impact, is measuring transactions that occurred in-store after an exposure to a digital communication. This is without question, something the basic audience engagement tools out there are unable to provide.

Recent industry research into the impact of online pre-shopping to consumer shopping behavior has shown that the majority of in-store purchasers are pre-shopping online before making a transaction. This should come as no surprise to anyone, however the statistics below are intriguing per findings in recent Yahoo & Forrester Research studies:

  • 80% or more of sales for multi-channel marketers are happening in-store.
  • 88% of sales generated from a marketers advertising budget was tied back to consumers that purchased in a physical store
  • 45% of consumers who research online buy additional product in-store when they buy the product they researched online
  • Online advertising drives In-store sales at a 6:1 ratio to online sales

With statistics as staggering as this, it further solidifies the importance of conducting a true match-back analysis as part of your campaign execution. Utilizing the tools available to gauge customer engagement throughout execution is important for optimization but ultimately the key success factor is going to be tied to how your company defines a transaction and analyzing against that. By taking this approach you’ll not only determine which channels are performing, but also which audience segments are truly your ideal customers. Audience segments generated by the identity solutions you previously struggled with building an ROI model for.

To learn more about AcquireGraph, our industry leading identity solution, as well as how a true match-back analysis can seamlessly be incorporated into your ongoing campaigns, contact us at 650.212.2233 or email us at

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