Marketing Attribution

Lesson 5: First-Touch Attribution

First-Touch Attribution is a method within the Single-Touch Attribution Models category. It assigns all credit for a conversion to the first point of contact in the customer journey. This approach is straightforward and highlights the importance of the initial interaction.

First-Touch Attribution is particularly useful for understanding which channels are best at generating initial interest and awareness.

How First-Touch Attribution Works

In First-Touch Attribution, the very first interaction a customer has with your brand is given full credit for the conversion. This model assumes that the first interaction is the most influential in driving the customer toward a purchase decision.

  User clicks on a Facebook ad (First Touch)
  User browses website and reads blog posts
  User subscribes to email newsletter
  User makes a purchase from an email campaign

In the above scenario, despite the user making a purchase after an email campaign, the credit for the conversion is attributed to the initial Facebook ad click.

Visualizing First-Touch Attribution

graph TB A["Facebook Ad"] --> B["Website Visit"] B --> C["Blog Posts"] C --> D["Email Newsletter"] D --> E["Purchase"] style A fill:#f9f,stroke:#333,stroke-width:4px

Mathematical Representation

The First-Touch Attribution can also be represented mathematically:

If C is the conversion, and I₁, I₂, ... I_n are interactions, then:

\[ \text{Credit}(C) = \text{Credit}(I_1) \]

Where \( \text{Credit}(I_1) = 100\% \) and \( \text{Credit}(I_2) = \text{Credit}(I_3) = ... = \text{Credit}(I_n) = 0\% \)

Advantages and Disadvantages

Like any attribution model, First-Touch Attribution has its strengths and weaknesses:

Advantages:

Simplicity: Easy to implement and understand.
Focus on Awareness: Helps identify the best channels for driving initial interest.

Disadvantages:

Ignores Later Touchpoints: Does not account for the influence of subsequent interactions.
Overemphasis on First Interaction: May not provide a complete picture of the customer journey.

When to Use First-Touch Attribution

First-Touch Attribution is particularly useful if your marketing goal is to increase brand awareness or if you are in the early stages of a campaign where the primary focus is on generating initial interest.