In this episode, we dive into the complexities of incrementality testing in digital marketing. While measuring incrementality is widely recommended, it’s not a cure-all solution. I’ll break down the four key challenges you need to be aware of, from isolating the impact of multiple sources to dealing with inconclusive results.
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FULL TRANSCRIPT BELOW
Don’t trust the platforms. Measure incrementality. That’s what they all say. I think this is great advice, but incrementality is not a silver bullet because it comes with its own set of challenges, which can lead to wasted spend or missed opportunities. These are the big four risks to watch out for:
- It’s hard to isolate the impact of multiple sources or campaigns. If you’re running multiple sources or campaigns at the same time, it’s not always easy to tell which one is driving the results. Be careful about drawing conclusions too quickly.
- It’s hard to isolate creative impact. Incrementality analysis often struggles to account for smaller creative-level changes. This can skew your understanding of what’s working.
- Platforms need time to learn. A lot of platforms have a learning phase, so performance can be really poor during this phase. These results may not reflect long-term performance.
- Results can be mixed or inconclusive. Sometimes, you might see one result for installs and a very different one for purchases.
These are the risks that you always need to look out for in any form of incrementality testing. By making sure you’re accounting for these pitfalls, you can make smarter and better marketing decisions to ensure your budget is well spent.
BEFORE YOU GO
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