Question

You recently completed a campaign promoting a new product and you need to evaluate its success. You'll use an attribution model to assign attribution credit across various touchpoints, such as clicks and impressions. But you also want to give more credit to the touchpoints that happened closest to the time of conversion.

Options:
a. First-Touch Attribution
b. Linear Attribution
c. Time-Decay Attribution
d. Position-Based Attribution

Answer 1

The correct option is c. Time-Decay Attribution.

The Time-Decay Attribution model is the most appropriate for assigning more credit to campaign touchpoints nearer the time of conversion, as it scales credit based on proximity to the sale.

Step-by-step explanation:

To evaluate the success of a campaign promoting a new product and to assign attribution credit to touchpoints that occurred closer to the time of conversion, the most suitable attribution model to use is c. Time-Decay Attribution. This model assigns more credit to the interactions that happen nearest to the time of the sale or conversion, reflecting the increased influence of these later touchpoints.

Unlike First-Touch Attribution, which gives all credit to the first interaction, or Linear Attribution, which distributes credit equally across all touchpoints, the Time-Decay model acknowledges that the touchpoints closer to the conversion likely had a stronger impact on the consumer's decision to purchase. Similarly, while Position-Based Attribution gives credit to both the first and last interaction, it doesn't necessarily scale the credit based on the proximity to the conversion like the Time-Decay model does.