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What is Incrementality?

Incrementality in Marketing: What is it? Marketers can use incrementality testing and measurement to determine the true incremental contribution of paid media at the channel, tactic, campaign, or ad set level. This can help you measure and compare performance for different channels and campaigns to find out where your time and money is best spent. Marketing is not just about the number of people you reach. Knowing the difference between incremental and non-incremental marketing is important. Incrementality testing and measurement helps you figure out the true value of your paid media. This also includes realizing the positive effects of marketing activity on your desired outcomes, such as awareness, web visits, conversions, revenue, profitability, and more.

 

Testing is the best way to measure the significance of media. To measure significance, audiences are segmented into test and control groups. The difference in conversion rates between the two groups effectively gives us significance and an accurate measure of the marginal incremental contribution of that media. Measurement is a contentious issue among marketers. One way to measure the incremental impact of different media is to divide your audience into two groups: a test population and a control population. The difference between conversion rates between the two groups shows us the effects of that media channel – effectively giving us a better understanding of its incrementality.If you want to use this to improve your reporting, Odyssey has teamed up with Datorama to launch an incrementality app. Together with Odyssey and Salesforce, marketing attribution has never been easier to implement.

 

Unfortunately, because MMM and MTA cannot measure impressions or views, you’re just measuring clicks. This can be misleading. Incrementality measurement accounts for all the impressions and clicks on the platforms being tested and gives marketers a more accurate view of how their media is working across their entire portfolio. To measure the impact of your marketing campaigns, you need to be able to tell the difference between impressions and clicks. Media mix modeling (MMM) and multi-touch attribution (MTA) are only able to measure clicks, not impressions, so marketers are left with a skewed view of their true contribution across their entire portfolio. True impact measurement is achieved with incrementality measurement, which takes into account impressions and clicks for each media platform being tested.