E-COMMERCE

ROI & ATTRIBUTION

The goal every e-commerce has is PROFIT. ROI (Return On Investment) represents the profit performance indicator.

ROI (Return On Investment)

Profit growth is achieved by increasing online sales and decreasing acquisition costs (CPA).

 

To increase ROI, e-commerce must act on COSTS by optimizing investments in digital media channels and increasing the volume and quality of visitors to the e-commerce site.

Attribution models

 

The key element for ROI optimization is the attribution model. Attribution is how sales (turnover) are related to investments (media costs).

Today, most e-commerce companies use the Last-Touch (last-click) method. This method attributes sales only to the last channel that brought the user to the site to purchase a product. Therefore, it solely considers users who are convinced to buy.

Alternatively, the recent Multi-Touch method has recently been adopted. It considers sales as the contribution of all digital media channels involved. Therefore, it not only considers convinced users but also those potentially interested to buy online. 

SLYMETRIX SRL
(Italian Startup)
VAT: IT11129370968
REA: RM-1613669

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