Hello and welcome to The Close the Loop podcast.
Kevin Dieny:I'm your host, Kevin Dieny, and today we're gonna be talking about How To
Kevin Dieny:Solve Marketing Incrementality with Data.
Kevin Dieny:This is a topic that just the title alone is like, what in the world
Kevin Dieny:are we gonna be talking about today?
Kevin Dieny:What is marketing incrementality?
Kevin Dieny:Are we gonna be doing data science here, or are we going to be um,
Kevin Dieny:pulling out our graphing calculators?
Kevin Dieny:No, no, no.
Kevin Dieny:We're gonna keep this very simple.
Kevin Dieny:The whole purpose of this episode is going to be, to make sure that we're
Kevin Dieny:measuring our marketing effectively.
Kevin Dieny:That's basically it.
Kevin Dieny:You know, why do we wanna measure it effectively?
Kevin Dieny:Well, you're spending money on marketing.
Kevin Dieny:I think everyone's question, and we've reiterated this many times in our podcast,
Kevin Dieny:is how do we understand what's working?
Kevin Dieny:Therefore, how do we know when we're spending a dollar, we're spending
Kevin Dieny:money in marketing resources, efforts, that it's working, that it's
Kevin Dieny:impacting positively on the business.
Kevin Dieny:Now this, specifically this topic, juxtaposes with marketing attribution.
Kevin Dieny:Marketing attribution is not the same thing as marketing incrementality.
Kevin Dieny:And I think that's a really good place for us to start is what's
Kevin Dieny:the difference between marketing attribution and marketing incrementality?
Kevin Dieny:So marketing attribution, let's focus on what that is first.
Kevin Dieny:I think if I said, asked you, you know where you are right now,
Kevin Dieny:what's marketing attribution?
Kevin Dieny:You'd probably think, Well, it's probably just proving what marketing did.
Kevin Dieny:That'd be an amazing one liner to say, Yeah, that's what marketing attribution
Kevin Dieny:is, and that's, that's pretty, that's pretty close marketing attribution.
Kevin Dieny:In a, to be a little more specific, right, is measuring all of the
Kevin Dieny:touches and interactions, engagements that you have data on before, maybe
Kevin Dieny:during, maybe after that are going on with your business and the.
Kevin Dieny:Visitors, prospects, leads, patients, whatever it is that your business re
Kevin Dieny:you know, delivers revenue from all those interactions, everything that's
Kevin Dieny:happening there, that's, you know, the goal of marketing attribution
Kevin Dieny:is the study, the measurement, the tracking analysis of all those touch
Kevin Dieny:points, everything that's going on.
Kevin Dieny:And that's incredibly valuable.
Kevin Dieny:Maybe the overarching component of measuring marketing is being able
Kevin Dieny:to measure the things that happen with your business and everything
Kevin Dieny:going on with your consumers.
Kevin Dieny:You know, that's, that's hugely impactful to being able to get
Kevin Dieny:to marketing incrementality now.
Kevin Dieny:So what's marketing Incre mental?
Kevin Dieny:Marketing incrementality is a little bit hard, so I'll have to give you some
Kevin Dieny:examples, but the definition is going to be knowing which conversions, you know,
Kevin Dieny:which high impact interactions, which revenues, which deals, whatever it is,
Kevin Dieny:would not have occurred, would not have happened without the influence of market.
Kevin Dieny:Marketing touchpoints, measuring all of them.
Kevin Dieny:That's, you know, part of the fold of marketing attribution.
Kevin Dieny:You wanna know everything going on, measure it so that you can
Kevin Dieny:see if you know what is happening before people end up converting or
Kevin Dieny:buying or whatever they're doing.
Kevin Dieny:Incrementality is looking at it like, Well, fine, people are watching my TV
Kevin Dieny:ad and visiting my website, but when they have bought, if they really wanted.
Kevin Dieny:If someone wanted to buy or, or to be a customer, a consumer of whatever product
Kevin Dieny:or service you offer, couldn't they have done that without seeing the TV ad?
Kevin Dieny:Did they have to go to the website?
Kevin Dieny:Is it, is it possible that they could do that through other means?
Kevin Dieny:You know?
Kevin Dieny:Or maybe, yeah, the website is critical.
Kevin Dieny:You know, this is how my business functions.
Kevin Dieny:Or maybe there's a marketing channel that is driving a huge
Kevin Dieny:proportion, a large number.
Kevin Dieny:Of your conversions, your revenues, your profit.
Kevin Dieny:And so an incrementality would say if it could have happened, if it
Kevin Dieny:would've happened without it, then it's not part of incrementality.
Kevin Dieny:It needs to have been required almost like, uh, it needs to have been nearly
Kevin Dieny:essential for this to happen now.
Kevin Dieny:That's kind of a nice way to look at it.
Kevin Dieny:I mean, a lot of times, even when I've asked people who.
Kevin Dieny:Or completely oblivious to what's going on in marketing.
Kevin Dieny:Sometimes I'll hear them say, no.
Kevin Dieny:That's what attribution is, right?
Kevin Dieny:That's being able to prove that marketing did something . Because
Kevin Dieny:if it would, it could, It could have happened without the marketing.
Kevin Dieny:Then why did we spend money on marketing?
Kevin Dieny:Right?
Kevin Dieny:. Now that's the big problem here, right?
Kevin Dieny:So why is that?
Kevin Dieny:Why is proving marketing's value always such a pain?
Kevin Dieny:Right?
Kevin Dieny:And that boils down to quite a few problems.
Kevin Dieny:In the realm of what we're talking about.
Kevin Dieny:One of the more poignant, I think, phrases, quotes, that's out there, it's
Kevin Dieny:even been mentioned on our podcast a while back, is, I know my marketing's working.
Kevin Dieny:I just don't know which part, and I know parts of my marketing arent working.
Kevin Dieny:I just don't know which part.
Kevin Dieny:, I don't know, maybe which campaign, which keyword, which page.
Kevin Dieny:You know, what's not working, what's not.
Kevin Dieny:Ultimately helping my consumers move along a progression toward buying.
Kevin Dieny:And this is where a lot of arguments come up, because things like branding,
Kevin Dieny:who cares about a logo, who cares about a website, who cares about
Kevin Dieny:something being read or orange or looking nice or looking poorly?
Kevin Dieny:You know, like what does it really matter?
Kevin Dieny:Like the car you sh you drive.
Kevin Dieny:To visit a client, does it really matter?
Kevin Dieny:And answering that question is difficult cuz you, you can't rewind time, you
Kevin Dieny:can't ask the person and guarantee knowledge of what they would've done if
Kevin Dieny:you hadn't shown up in a specific car.
Kevin Dieny:Right?
Kevin Dieny:, it's not, it's not really feasible.
Kevin Dieny:You can't go, Hey, I see you bought those shoes.
Kevin Dieny:You know?
Kevin Dieny:If you hadn't have seen that ad last Tuesday, would you have still bought?
Kevin Dieny:Maybe they'd say, I don't know, maybe they'd say, Yeah, I probably
Kevin Dieny:would've . It's, it's not something you can basically get anecdotally.
Kevin Dieny:So then you go, Well then how do you get it from data if you can't
Kevin Dieny:get it from what people remember, what people are gonna say, right?
Kevin Dieny:Cause it's slightly unreliable.
Kevin Dieny:How do you understand incrementality?
Kevin Dieny:So the other part of this is, sure, we can get it from data.
Kevin Dieny:Yeah, like maybe we look at a thousand people who show up in a nice car and a
Kevin Dieny:thousand people who show up in a poor car and see how, you know, based on
Kevin Dieny:the fact that they're equal performers in every way, who closes more deals.
Kevin Dieny:You know, possibly the car is some kind of an influence here.
Kevin Dieny:But at the end of the day, is the data accurate?
Kevin Dieny:Is that really gonna give us.
Kevin Dieny:A result that we can rely on, right?
Kevin Dieny:An a result that we would say, Okay, wow, cars are making a difference.
Kevin Dieny:Let's go buy all our sales team new cars, you know, like the
Kevin Dieny:type of car they show up with.
Kevin Dieny:The nice of it, like the, the look of it.
Kevin Dieny:You know, if that matters a lot, then maybe it justifies the cost of buying
Kevin Dieny:some brand new vehicles or whatever.
Kevin Dieny:Is it accurate?
Kevin Dieny:It sure we can't rely on people, so then we go to data.
Kevin Dieny:But is the data even accurate?
Kevin Dieny:Is the data even gonna be suggestive?
Kevin Dieny:A result that we want to take as a business.
Kevin Dieny:If we're not even willing to buy a whole new fleet of cars for our team, then
Kevin Dieny:what's it, you know, that's who cares.
Kevin Dieny:So that brings us to the last pain, which is.
Kevin Dieny:Let's say you totally understand anchored mentality in your business,
Kevin Dieny:meaning you know exactly what is required, what is influencing your
Kevin Dieny:consumers to buy, to be, drive revenue, to drive profit in your business.
Kevin Dieny:You know exactly what, So if you, you had a knob sitting in front of
Kevin Dieny:you and you could turn it, increase it, and go, Okay, I'm just gonna go.
Kevin Dieny:I'm gonna spend $10 and I'm gonna spend a hundred dollars and it's
Kevin Dieny:gonna go up by tenfold in my return, tenfold in my revenues.
Kevin Dieny:You know, my profit's gonna go up, uh, by tenfold if there was a
Kevin Dieny:little dial, simple kind of thing.
Kevin Dieny:And you knew exactly the incrementality, right.
Kevin Dieny:How would you, what dials would you turn to get the most out of it?
Kevin Dieny:Right.
Kevin Dieny:Is it as simple as just one dial?
Kevin Dieny:No, right.
Kevin Dieny:It's gonna be okay.
Kevin Dieny:Well, I see.
Kevin Dieny:In this period of time, social media's having a great impact.
Kevin Dieny:An email over here and the phone over here and the texts we sent, you know,
Kevin Dieny:and the reviews that people are looking at, the video that people are watching
Kevin Dieny:on my website this month is having a huge impact, but the next month it wasn't.
Kevin Dieny:Why did it go up and down, or why did it go down and then up , that's all
Kevin Dieny:part of this problem that businesses are having and why it makes it so painful.
Kevin Dieny:Why it's so difficult?
Kevin Dieny:Because people, things change and it's hard to have a reliable single dial.
Kevin Dieny:You might have a couple, Okay, I see that these are all impacting
Kevin Dieny:it, but how much do I turn 'em up and which ones do I turn down?
Kevin Dieny:Maybe these three are helping, but since this one's helping
Kevin Dieny:the most, I'll turn it up.
Kevin Dieny:But if I turn one up the most and the other's not as much,
Kevin Dieny:then there's a displacement.
Kevin Dieny:Where my, maybe my budgets are allocated, my resources are allocated, and then if
Kevin Dieny:things aren't out, are out of balance, maybe all of a sudden it works worse.
Kevin Dieny:So, all right, so this is the pain, the problem.
Kevin Dieny:This is what we're dealing with here.
Kevin Dieny:So at the end of the day, all again, let me refocus what
Kevin Dieny:we're trying to talk about here.
Kevin Dieny:Is, how can we get to that point where we under, we better understand how
Kevin Dieny:our marketing is effective in what we can do, what dials we have, right?
Kevin Dieny:What levers we can pull, what doors we can swing open, what doors we need to
Kevin Dieny:close, what dials we need to turn down to make our marketing more effective.
Kevin Dieny:That's what we're after, an incrementality at its best.
Kevin Dieny:Does this at the point of small, medium sized businesses that we're talking about
Kevin Dieny:who don't have PhD data scientists who don't have the time or luxury or even
Kevin Dieny:the interest in doing a lot of data incrementality tests or experiments,
Kevin Dieny:or even giving, even caring much about marketing attribution at all, right?
Kevin Dieny:How can those type, how can these smaller businesses find value out of better
Kevin Dieny:understanding what's happening in their marketing and their marketing strategy?
Kevin Dieny:This isn't just to evaluate an agency.
Kevin Dieny:You know, if you are an agency, this is great.
Kevin Dieny:If you are a business who's running marketing?
Kevin Dieny:This is who, this is who it's for.
Kevin Dieny:Anyone who's running marketing, that's who this is for today.
Kevin Dieny:So the first thing about understanding all of this, What it requires.
Kevin Dieny:Okay, so let's set this up.
Kevin Dieny:Uh, the path we're about to take has some requirements.
Kevin Dieny:Number one, you gotta culturally across the board care.
Kevin Dieny:Cause at the end of the day, you're gonna wanna take action.
Kevin Dieny:You're gonna wanna turn a dial or turn down a dial, right?
Kevin Dieny:And if you're not willing or interested, or care much about turning or up or up or
Kevin Dieny:down a dial to get more out of what you're spending in marketing then is not for you.
Kevin Dieny:No, don't even bother going forward with this.
Kevin Dieny:Okay.
Kevin Dieny:This is for, okay.
Kevin Dieny:Maybe I'm willing to see if my marketing could be more effective, and if I do find
Kevin Dieny:out there is a way, I am totally going to turn out the dial or turn it down.
Kevin Dieny:That's requirement number one is a, I would say almost like
Kevin Dieny:a culture of informational and data awareness and interest.
Kevin Dieny:You have to be willing to do something with the data you get.
Kevin Dieny:Number two, you're gonna need the right tools and the right people.
Kevin Dieny:Now you're not gonna need million dollar tools.
Kevin Dieny:You may not even need to spend that much money at all, or, you know,
Kevin Dieny:might even get by with free tools.
Kevin Dieny:Fine, Right?
Kevin Dieny:But you're, you're gonna need, resources are gonna come out of your company in
Kevin Dieny:some way or another for this project.
Kevin Dieny:So allocating resources, whether it's actual, you know, monetary budget
Kevin Dieny:or it's time or effort, you're gonna need tools and the right people.
Kevin Dieny:Okay, So that's the next requirement here.
Kevin Dieny:Then the last one.
Kevin Dieny:Is Okay, you said you were interested in, in turning this dial, you said, Great,
Kevin Dieny:if I knew that this specific ad or this source information, or writing this blog
Kevin Dieny:article was gonna help my business over the next six months, you know, go, like,
Kevin Dieny:basically go from here to there and it's only gonna cost me a little bit.
Kevin Dieny:I would totally do that and these are the things I would do.
Kevin Dieny:You need to have a plan.
Kevin Dieny:You have like some sort of a strategy or, or at least in your head, get
Kevin Dieny:whatever I've learned, whatever I find out, I'm willing to take action on.
Kevin Dieny:That's like the orchestration part and having that plan or idea in place is
Kevin Dieny:again, the last requirement for running incrementality and solving it with data.
Kevin Dieny:So let's go through, now that we understand the requirements, now
Kevin Dieny:that we understand what's ahead of us, what's gonna be happen.
Kevin Dieny:So here's a good question to start us off with.
Kevin Dieny:What is really harder measuring marketing attribution or getting
Kevin Dieny:to marketing incrementality?
Kevin Dieny:Marketing attribution is difficult because it's really hard to accurately.
Kevin Dieny:Measure and attribute the touchpoints, the engagements across, let's say, every
Kevin Dieny:consumer at every interaction that, that that consumer has with your business.
Kevin Dieny:It's difficult.
Kevin Dieny:Don't get into why in a sec, but incrementality requires that not
Kevin Dieny:only have you measured points, but that you have sort of a controlled
Kevin Dieny:environment where you could see.
Kevin Dieny:Everyone's doing, whether or not they're interacting with these
Kevin Dieny:channels, maybe specific channels or not, because that's how we're
Kevin Dieny:gonna start measuring incrementality.
Kevin Dieny:Basically how I explained it before, whether a nice car matters
Kevin Dieny:in sales, in field sales, right?
Kevin Dieny:Or in, uh, your team going out and meeting and interacting, going in the homes of
Kevin Dieny:consumers, you know, the quality of the vehicle they drive, the cleanliness of it.
Kevin Dieny:Does that really matter?
Kevin Dieny:Right.
Kevin Dieny:And how you would do that would be okay.
Kevin Dieny:We have the control or a group, a large group of people who are gonna go out and
Kevin Dieny:do the same exact thing, who have the same, very similar skillset and experience
Kevin Dieny:and everything to the same kind of people they're gonna visit, but they're
Kevin Dieny:gonna have a poor car, a Chevy car.
Kevin Dieny:And then we have the group that's gonna go and they're very, again,
Kevin Dieny:these groups are very similar, but they're gonna, the only thing that's
Kevin Dieny:different is they're gonna have a nice.
Kevin Dieny:So you see this is kind of this experimentation.
Kevin Dieny:Is how you're gonna say, Okay, well now I can see poor car, great car.
Kevin Dieny:I only have like 10, 20 cars in my fleet or in my team.
Kevin Dieny:I can't do a thousand cars . So, but that's where we're going to be dealing
Kevin Dieny:with marketing data, which is much more vast, much larger, much higher quantity.
Kevin Dieny:So you can do things like this, you can do experiments like this, and
Kevin Dieny:that's how we're gonna get there.
Kevin Dieny:And that's why incrementality is actually kind of more difficult.
Kevin Dieny:Cause not only are you measuring the touchpoints and interactions,
Kevin Dieny:you also have to kind.
Kevin Dieny:Set this up in a controlled and test or an experimental way to know what
Kevin Dieny:is, what's happening and how maybe certain channels are impacting, or maybe
Kevin Dieny:not just a combination of channels, but a single individual channel
Kevin Dieny:is impacting your, your business.
Kevin Dieny:So here's another thing that's, that's going on.
Kevin Dieny:Sometimes it, there's, uh, it might be easy to settle on.
Kevin Dieny:Well, let's just, let's just lean on marketing attribution models.
Kevin Dieny:The most common of those is called last click attribution.
Kevin Dieny:Just say, okay, whatever.
Kevin Dieny:Long as we're measuring the last thing they did right then I know at
Kevin Dieny:least that thing is fairly important.
Kevin Dieny:Right.
Kevin Dieny:They called my business Great.
Kevin Dieny:So I know they have the call, we're tracking the call and then I can see,
Kevin Dieny:okay, well it was uh, a Google search that brought them there and Interesting.
Kevin Dieny:It was a Google search that included my company.
Kevin Dieny:So that's what did it.
Kevin Dieny:And then you say, Great.
Kevin Dieny:Done.
Kevin Dieny:I know it's driving my business.
Kevin Dieny:It's consumers typing my company name in and then calling me.
Kevin Dieny:So maybe my website should just be a giant phone number and maybe my
Kevin Dieny:business and it's keywords should just be my brand, my brand name.
Kevin Dieny:You know, maybe that's all it takes, but you see how that's kind
Kevin Dieny:of misleading and weird and, and obviously that's an extreme example.
Kevin Dieny:Of going about this the wrong way, and there's other marketing attribution
Kevin Dieny:models like first interaction or equal interactions along the way, or
Kevin Dieny:just the polls or there's database.
Kevin Dieny:There's all these attribution modeling techniques to say, Well, maybe these
Kevin Dieny:touches mattered more than these touches, or maybe these touches should matter more.
Kevin Dieny:And so we'll give, basically you take the amount.
Kevin Dieny:Either the lifetime value or the revenue or the profit of whatever you got.
Kevin Dieny:Like let's say you sell a consumer a new roof and it was $30,000.
Kevin Dieny:You go, Okay, 30,000 is how much we, uh, revenue we.
Kevin Dieny:Okay, let's take that amount and spread that over.
Kevin Dieny:What brought 'em in.
Kevin Dieny:Okay.
Kevin Dieny:While there was a salesperson, there was, uh, who came to them and
Kevin Dieny:gave them the quote, an assessment.
Kevin Dieny:But how did we get there?
Kevin Dieny:Well, they asked for a quote on our website.
Kevin Dieny:They called us.
Kevin Dieny:They came from a Google search.
Kevin Dieny:And so you say, Okay, well there's these four touchpoint.
Kevin Dieny:Let's take the money and go, you know, increment.
Kevin Dieny:Spread it out and go, Okay, so now we can see how much, you know, revenue's
Kevin Dieny:coming from our organic website search.
Kevin Dieny:This is how marketing attribution's working.
Kevin Dieny:And that's why there's different models of trying to assess
Kevin Dieny:that incrementality, right?
Kevin Dieny:Is saying, Well, they wouldn't have known to search for your brand
Kevin Dieny:if they didn't know your brand.
Kevin Dieny:So that one doesn't really get a lot of credit.
Kevin Dieny:Let's go back a little further and see where they learned your brand, where
Kevin Dieny:they under, where they were educated, where they became aware of the problem,
Kevin Dieny:where they became aware of the solution, where they became aware of you being a
Kevin Dieny:solution provider and how they became comfortable and trusting of your business.
Kevin Dieny:Could that have included reviews, could that have included, uh, videos?
Kevin Dieny:Like anything like that has incrementality components in it.
Kevin Dieny:And that's where we wanted to really understand it is also possible that, you
Kevin Dieny:know, because they searched for your brand name and you came up and we see that that
Kevin Dieny:is having a huge lift in conversions, that that might also have some incrementality.
Kevin Dieny:That's where, okay, Ryan gonna get too crazy here, but that's
Kevin Dieny:data driven attribution.
Kevin Dieny:That's data driven, marketing sort of, and, and how it's done.
Kevin Dieny:We tout all day.
Kevin Dieny:Go track every touch you have, so you have that data so you
Kevin Dieny:can do something with it, right?
Kevin Dieny:If you don't know where your business is coming from, that's, that's
Kevin Dieny:first, that's, that's primary.
Kevin Dieny:Having a way that people can even get in touch with your business,
Kevin Dieny:an email, a form, a call, a chat, a text, whatever it is, right?
Kevin Dieny:Those methods are walking into your business.
Kevin Dieny:You know, if you have a storefront, making sure those things are in place.
Kevin Dieny:Operationally is usually the the starter.
Kevin Dieny:So we're assuming that that's happened.
Kevin Dieny:Then we're assuming you're tracking those touch points and that's
Kevin Dieny:how you're getting attribution.
Kevin Dieny:So then we're getting into incrementality.
Kevin Dieny:So here's how we're going to solve this with data.
Kevin Dieny:We're gonna look at the data we have.
Kevin Dieny:Okay, So there's two groups.
Kevin Dieny:There's a group data.
Kevin Dieny:We have.
Kevin Dieny:B group data that exists.
Kevin Dieny:We don't have it.
Kevin Dieny:For instance, , this is a good example.
Kevin Dieny:There are interactions.
Kevin Dieny:You just can't measure.
Kevin Dieny:You'll never, you can't measure someone saying to their brother, Hey, I, you
Kevin Dieny:know, this roofing company came by and gave us a quote and it was great,
Kevin Dieny:and that's how we got our new roof.
Kevin Dieny:A referral like that.
Kevin Dieny:There's no tracking capability.
Kevin Dieny:There's no tool.
Kevin Dieny:It's like, Hey, your brother, like this is how many times your business
Kevin Dieny:has been mentioned between brothers or between brothers in-laws or
Kevin Dieny:between uncles or family or neighbors.
Kevin Dieny:That doesn't exist.
Kevin Dieny:You know, referral tracking like that is difficult.
Kevin Dieny:Oftentimes you'll see referral links and gift cards and stuff in exchange
Kevin Dieny:for that information, but it's not telling you the full truth there.
Kevin Dieny:There's also interactions that are measurable.
Kevin Dieny:In a span, but it's hard to measure their impact, right on the greater hole.
Kevin Dieny:Like think of rain falling on a lake, right?
Kevin Dieny:If all the rain came down in one big, giant rain drop, make a big splash, right?
Kevin Dieny:Make a big impact.
Kevin Dieny:But when there's like a tens of thousands of tiny little
Kevin Dieny:raindrops hitting the water, right?
Kevin Dieny:Those are all having little micro impacts all over the place, and
Kevin Dieny:some of them canceling each other.
Kevin Dieny:Sometimes the repetitive use of a channel or marketing is having
Kevin Dieny:an impact, but it's also having a negative impact called saturation.
Kevin Dieny:Someone sees your ad over and over and over again.
Kevin Dieny:They start to forget about it.
Kevin Dieny:It starts to become less important to them.
Kevin Dieny:It starts to lose it's uniqueness.
Kevin Dieny:It's why companies spend money making newer advertisements all the time.
Kevin Dieny:You know, the old one gets boring, the old one falls out of their interest,
Kevin Dieny:So all this is happen.
Kevin Dieny:So there's the data we have and that's what we're only gonna focus on.
Kevin Dieny:The data we don't have, can't get it.
Kevin Dieny:Too difficult to get too costly.
Kevin Dieny:You're not tracking it, just put it outta your mind.
Kevin Dieny:Focus on whatever you're tracking today.
Kevin Dieny:Whatever you know.
Kevin Dieny:Right?
Kevin Dieny:So what do you have?
Kevin Dieny:What do you know?
Kevin Dieny:Do you have a crm?
Kevin Dieny:Do you have call information?
Kevin Dieny:You have form information?
Kevin Dieny:Do you, you know, in your store front, if people come in, do you know.
Kevin Dieny:You count that.
Kevin Dieny:Do you know anything about that?
Kevin Dieny:Maybe you take their information at the computer so you have it when
Kevin Dieny:they order or they when they don't.
Kevin Dieny:If they come in and they leave, do you know anything about them?
Kevin Dieny:You know?
Kevin Dieny:So what data do you have?
Kevin Dieny:Focus just on that.
Kevin Dieny:And that's all we're gonna do incrementality on today.
Kevin Dieny:So of the data that you have, right?
Kevin Dieny:I would also look at it like, how much of it do I have?
Kevin Dieny:And that's where I was talking about the, the cars.
Kevin Dieny:Right.
Kevin Dieny:You have, Let's say you have 20 trucks, 20 vans, 28, your team is 20 people.
Kevin Dieny:Is that enough to do a large experiment with?
Kevin Dieny:Possibly not.
Kevin Dieny:You have five data points.
Kevin Dieny:That's it.
Kevin Dieny:Over the span of a year, not gonna be helpful.
Kevin Dieny:So again, you have the data that you have and then there's
Kevin Dieny:data that you have at quantity.
Kevin Dieny:Again, that's again, we're gonna need to kind of focus on.
Kevin Dieny:There is still importance in the data that's of small quantity.
Kevin Dieny:It's.
Kevin Dieny:Difficult to assess an incrementality, uh, because of the, you know, we need
Kevin Dieny:to be able to experiment with it.
Kevin Dieny:We need to be able to say, Some with some without.
Kevin Dieny:And that might be difficult with small quantities of data.
Kevin Dieny:And if you, you know, if five things happen in a year and next year or six
Kevin Dieny:things happen, would you be really, really willing to bet a lot of money that that
Kevin Dieny:happened because of something you did?
Kevin Dieny:Or could it just have been chance, you know, or you got lucky, or that
Kevin Dieny:person referred someone to their brother behind the scenes and you didn't know.
Kevin Dieny:Right.
Kevin Dieny:stuff like that is why we wanna focus on the large data.
Kevin Dieny:The other thing we wanna focus on is things that you can.
Kevin Dieny:So you're getting a lot of visitors to your website, but it's all
Kevin Dieny:falling under the The channel.
Kevin Dieny:Direct, okay.
Kevin Dieny:Or other or unknown , right?
Kevin Dieny:You don't know where they're coming from.
Kevin Dieny:You don't know how they're getting your url.
Kevin Dieny:You don't know how they're coming to your website.
Kevin Dieny:Can you do anything about that?
Kevin Dieny:No, not really.
Kevin Dieny:Sure.
Kevin Dieny:Other channels are having an impact, but directly influencing that may
Kevin Dieny:not necessarily be possible, and you could be of high quantities of data.
Kevin Dieny:So we're filtering that.
Kevin Dieny:Again.
Kevin Dieny:Again, think about what do you, what data do you understand in your
Kevin Dieny:business that's of a certain quantity that you can do something about?
Kevin Dieny:Right.
Kevin Dieny:Visitors from ads can do something about, I'm gonna calls your team's getting,
Kevin Dieny:or are putting out or outbounding the appointments they're setting.
Kevin Dieny:The times that things are happening, visitors to your website, maybe,
Kevin Dieny:um, from, yeah, again, social ads, sources that you control, maybe that
Kevin Dieny:you're spending money in is again, probably a pretty important one.
Kevin Dieny:So that's all gonna come into play, the things that are
Kevin Dieny:in this other bucket, right?
Kevin Dieny:Your reputation, your brand.
Kevin Dieny:Those things are really hard to know and measure if things are happening.
Kevin Dieny:The swag, the type of truck, the logo, you know, those things, those are difficult.
Kevin Dieny:You can run tests on those, but those are, those are difficult.
Kevin Dieny:Um, your reputation, I'm talking about how people, what people
Kevin Dieny:think and understand of your.
Kevin Dieny:Your company, your review based reputation, you could definitely
Kevin Dieny:do something about, right?
Kevin Dieny:Like we have these tools, we measure 'em, we respond to reviews, we encourage
Kevin Dieny:people to leave reviews so you can get your reviews higher and get higher.
Kevin Dieny:You know, the better service you're out putting Will will bring
Kevin Dieny:in higher star rating reviews.
Kevin Dieny:So you can't have an influence on that, but your just general reputation
Kevin Dieny:in the community, how you're known, that's a lot harder to assess.
Kevin Dieny:So all these things are silos, pockets, and areas of data all over the place.
Kevin Dieny:The thing you really want to now, now we're getting to, is the data you have.
Kevin Dieny:You need to be able to connect it to each.
Kevin Dieny:So I took a pause here.
Kevin Dieny:, cuz this is really important question.
Kevin Dieny:How are you gonna stitch the data together?
Kevin Dieny:How are you gonna take your data and tie it together to make sense of it?
Kevin Dieny:Right?
Kevin Dieny:This is where incremental for smaller businesses is what I wanna focus.
Kevin Dieny:The bigger enterprise, bigger companies can afford machine learning algorithms.
Kevin Dieny:They can afford to do pretty hardcore experimentation across their channels
Kevin Dieny:to get an interesting mix, uh, an interesting combination of, let's
Kevin Dieny:say statistical results, statistical modeling, there's also tools out there.
Kevin Dieny:That we'll do that kind of for you, or we'll look at every channel and
Kevin Dieny:its impact and its influence and, and run its analysis and break apart
Kevin Dieny:and pull apart all the interesting stories going on in your business data.
Kevin Dieny:But let's ignore the tool.
Kevin Dieny:Solution that are costly.
Kevin Dieny:Ignore anything that costs money.
Kevin Dieny:For now, let's just look at how we're gonna stitch this together.
Kevin Dieny:Let's tell this story.
Kevin Dieny:So first we're gonna look at the dependencies.
Kevin Dieny:Which is how do we tie information in one system to data in another?
Kevin Dieny:And I'm gonna start with a simple, the simplest way I can do this with you,
Kevin Dieny:which is we're gonna tie websites, website interactions to campaigns.
Kevin Dieny:You are spending money somewhere in ads, let's say.
Kevin Dieny:So you're spending money on Google.
Kevin Dieny:Google local search ads, Google Local services, ads.
Kevin Dieny:and you're getting leads.
Kevin Dieny:People are calling your business for a specific service.
Kevin Dieny:Great coming in, you're getting these leads, and then they're
Kevin Dieny:booking us appointments.
Kevin Dieny:You're having an assessment or something, a quote, uh, it's service
Kevin Dieny:is delivered and there's payments, and you're, so that's the span.
Kevin Dieny:That's the simple touch points.
Kevin Dieny:In this example, right?
Kevin Dieny:There's searches, web visits, local service ads, calls, appointments, quotes.
Kevin Dieny:Service delivery payment.
Kevin Dieny:That's what we're looking at here.
Kevin Dieny:Okay, so you run campaigns first, local service ads, campaigns,
Kevin Dieny:maybe Google ad campaigns.
Kevin Dieny:You also have organic your, your SEO call that your organic campaign, your
Kevin Dieny:organic campaigning campaigns is just saying, you know, what efforts are
Kevin Dieny:there and we're grouping them all.
Kevin Dieny:Al.
Kevin Dieny:So each of these campaigns is running, and then someone sees your local
Kevin Dieny:service ad and they call it, All right.
Kevin Dieny:So how do we stitch together the efforts we're making in our
Kevin Dieny:marketing campaigns to this call?
Kevin Dieny:Okay.
Kevin Dieny:So first of all, when.
Kevin Dieny:We're spending money in a campaign.
Kevin Dieny:If we're using, and you should be using, this is how you do it.
Kevin Dieny:UTM parameters.
Kevin Dieny:Any time anyone visits your website, you're gonna see what
Kevin Dieny:campaign is coming from, right?
Kevin Dieny:Organic and search don't, You won't find that, but you'll see them.
Kevin Dieny:That's channels.
Kevin Dieny:You'll see them showing up because the source and the medium will
Kevin Dieny:be there and it'll say, Sources, Google or Yahoo, or aol, or.
Kevin Dieny:Whatever search engine people are using do dot go.
Kevin Dieny:You'll see them, Googles and stuff, their searches, and you'll show up
Kevin Dieny:as organic in your web analytics, which again, what you're doing here.
Kevin Dieny:So you get, you may say, Okay, look it, I'm seeing 10,000 visitors from
Kevin Dieny:like my organic, and if you search console, you can even see what queries,
Kevin Dieny:what searches they're typing in.
Kevin Dieny:Great.
Kevin Dieny:If you're spending money on ads, you're gonna see what
Kevin Dieny:campaign is happening there.
Kevin Dieny:Now, if it's paid ad, Facebook ad, Google ad search ads, whatever it is, if they
Kevin Dieny:go to your website, right, they're gonna, you're gonna see the campaign created.
Kevin Dieny:Visitors.
Kevin Dieny:Now, when there's a call, that number that they call needs to be
Kevin Dieny:unique to either the campaign or the channel or the visitor or whatever.
Kevin Dieny:So that way you can go, Okay, they saw my local search.
Kevin Dieny:They called it and they called the number.
Kevin Dieny:I can attribute the call back to local service ad because that number is
Kevin Dieny:associated only with local search ads, and this is called tracking in a, in a
Kevin Dieny:bubble here, in a very quick explanation.
Kevin Dieny:So now you go, Okay, great, I'm getting this many calls from local service
Kevin Dieny:ads, Boom, I've got my how much, what campaign, what I'm spending, right?
Kevin Dieny:And on the other end I'm getting, what I'm getting out of it, my results, my calls.
Kevin Dieny:Now you're not gonna see in campaigns the people here, really, right At this
Kevin Dieny:point, all you're seeing is a campaign, which is an effort, how much I'm spending
Kevin Dieny:and resources there to make it happen.
Kevin Dieny:On the call side, that's where you're opening up people.
Kevin Dieny:Now, people data contact, data, lead data, and we're seeing, let's say,
Kevin Dieny:Bill, Called my business at this time, and he came from this ad and this.
Kevin Dieny:So we're saying, Bill is now associated with this campaign and this campaign.
Kevin Dieny:I spent this much money.
Kevin Dieny:You're linking them together.
Kevin Dieny:Those two silos, you're bringing 'em together cuz what connects
Kevin Dieny:them is the call and the call, you can tell, came from that campaign.
Kevin Dieny:Hopefully this is making sense.
Kevin Dieny:You're stitching those two together.
Kevin Dieny:Now we're gonna go further than that.
Kevin Dieny:We see the call resulted in an appoint.
Kevin Dieny:So now we can say, Okay, now an appointment is resulting in,
Kevin Dieny:resulted from this campaign.
Kevin Dieny:Now there's a quote.
Kevin Dieny:Someone shows up, they get a quote, then they purchase, It's
Kevin Dieny:service delivered and I get paid.
Kevin Dieny:Awesome.
Kevin Dieny:Now I have revenue against my costs still.
Kevin Dieny:We're just talking about attribution right now, , we could see what we
Kevin Dieny:spent and what we got out of it.
Kevin Dieny:And if we total this up over the span of time, after six months, we spent
Kevin Dieny:this much and we got that much out.
Kevin Dieny:Awesome.
Kevin Dieny:That's so cool.
Kevin Dieny:But let's go a little further, right?
Kevin Dieny:Let's go into incrementality.
Kevin Dieny:So now we see every point along the way that's happened here.
Kevin Dieny:We also have that search, maybe organic campaigns, maybe other social campaigns,
Kevin Dieny:campaigns happening before the local ads.
Kevin Dieny:Did those influence the local app?
Kevin Dieny:Were they incremental?
Kevin Dieny:Meaning, was any of them essential?
Kevin Dieny:To that person seeing the local ad and then following up and calling
Kevin Dieny:and moving along that way, that path.
Kevin Dieny:How do we assess that?
Kevin Dieny:So again, you only have some data points, right?
Kevin Dieny:Did they visit your website?
Kevin Dieny:Did the same person who visited your website also visit your website from
Kevin Dieny:seeing the local ad, are we seeing a, let's say, Channel mix of people who
Kevin Dieny:are visiting our website from search and visiting our website from paid ads.
Kevin Dieny:Are we seeing those two happen, Like those two channels happen together
Kevin Dieny:at any quantity of time that results in people calling or filling out
Kevin Dieny:a form or contacting our business?
Kevin Dieny:That is how you would look at this.
Kevin Dieny:And if you see, wow, uh, we do, we are getting a lot of searches.
Kevin Dieny:And we're getting a good, good amount of, let's say Google local
Kevin Dieny:search ads, leads, uh, quality leads.
Kevin Dieny:You could probably say, yeah, there's probably some incrementality
Kevin Dieny:going on, but now that brings up, okay, now we need to know for sure.
Kevin Dieny:How do we know for sure?
Kevin Dieny:Right?
Kevin Dieny:So this is where it gets real fun.
Kevin Dieny:real interesting.
Kevin Dieny:Okay, so now we need to set up an experiment where, We have a group that
Kevin Dieny:won't see our search ads and a group that will see our search ads, and we
Kevin Dieny:need to see our local services ads and we need to see if, when the local search
Kevin Dieny:ads are in there, if the, and we keep the, you know, maybe organic search or
Kevin Dieny:other campaigns going at the same time, whether they're having an impact on us
Kevin Dieny:getting leads and sales and revenue.
Kevin Dieny:So how would we do.
Kevin Dieny:Let's say you've got locations, multiple locations.
Kevin Dieny:So let's say you got three, and let's say one of them is pretty far away in
Kevin Dieny:another, maybe county, another area, People from this area are unlikely
Kevin Dieny:to call that one way over there.
Kevin Dieny:Okay?
Kevin Dieny:So that one over there is where we're gonna run the test because it's separate
Kevin Dieny:enough, it's distinct enough, right?
Kevin Dieny:We're gonna run.
Kevin Dieny:A lot of paid campaigns, maybe Google ads and Google local search ads
Kevin Dieny:together over here, Facebook ads, whatever it is you wanna do the test on.
Kevin Dieny:So I guess for this example, let's say Facebook ad, you're gonna run
Kevin Dieny:a Facebook ad with Google, Google's local search ads right here.
Kevin Dieny:But in that third location, you're just gonna do the Google local search ads.
Kevin Dieny:Okay?
Kevin Dieny:Budgeting the same strategy, the same, managing it the same.
Kevin Dieny:You wanna try to have these two examples be everything the same except
Kevin Dieny:for the Facebook component, right?
Kevin Dieny:And you're gonna need to do this for a longer stretch of time.
Kevin Dieny:That way you could say, Okay, I have Facebook ads going and Google
Kevin Dieny:local search ads going over there.
Kevin Dieny:I just have Google local search ads going.
Kevin Dieny:So it's Facebook causing an impact on my overall.
Kevin Dieny:Is it anything an incremental meaning?
Kevin Dieny:It's helping.
Kevin Dieny:Me drive business, and if it didn't exist, I would've driven less.
Kevin Dieny:So here's how we would know after, let's say six months location far
Kevin Dieny:away and location close up, are the have the same sort of result
Kevin Dieny:in terms of percentage, right?
Kevin Dieny:Return on investment.
Kevin Dieny:Uh, the revenues are similar, the leads ratios are similar.
Kevin Dieny:The volume of leads, the quality of leads they got is very similar.
Kevin Dieny:Then you might say, Well, Facebook's not having a real lift here.
Kevin Dieny:You know, maybe it's not having any impact.
Kevin Dieny:And so you could dial back Facebook, but all of a sudden if you're
Kevin Dieny:like, Whoa, all of a sudden this location over here is stuff dropped,
Kevin Dieny:maybe it is having an impact.
Kevin Dieny:And maybe there is something about that other location that mimics
Kevin Dieny:Facebook's influence over here.
Kevin Dieny:So things like that are happening all the time, and it's difficult,
Kevin Dieny:but that's the, that's the decision you have to make is if I knew that
Kevin Dieny:Facebook is having a, not as much of an.
Kevin Dieny:Maybe I wouldn't spend as much money there.
Kevin Dieny:And so you turn it down, but then all of a sudden you realize, Oh wow,
Kevin Dieny:something's happening over here.
Kevin Dieny:Maybe it is Facebook and you turn it back up.
Kevin Dieny:If things go back up to normal or over a span of time they do, then yeah,
Kevin Dieny:maybe Facebook is having an impact.
Kevin Dieny:That's the difficult, the real tough problem with all of this, right?
Kevin Dieny:There's seasonality.
Kevin Dieny:You gotta be careful about.
Kevin Dieny:Uh, you don't know.
Kevin Dieny:Some baselines are really hard to establish, like what's really happening.
Kevin Dieny:The data solution for this incrementality is to focus on the information of
Kevin Dieny:high quality that you have at your fingertips, which could be small, could
Kevin Dieny:not, could be minimal, and consider what can I do to test if it's working
Kevin Dieny:and think of, well, where can I.
Kevin Dieny:Something in a controlled way versus an experimental way and run it for enough
Kevin Dieny:time to see if it's having an impact.
Kevin Dieny:That's how you, that's how you have to do this.
Kevin Dieny:Cuz let me tell you, as a marketing professional, a business is, is
Kevin Dieny:totally willing to cut budget on things that are just attribution.
Kevin Dieny:Right.
Kevin Dieny:Yeah, social people are interacting with social because it, the way they
Kevin Dieny:understand it is, sure, maybe it's having an impact on the business, but it's hard.
Kevin Dieny:But you know, there's not a lot of confidence there.
Kevin Dieny:Just matching a marketing attribution alone, a business is much more willing to
Kevin Dieny:hold budget and not cut it on increment incremental marketing, because that
Kevin Dieny:marketing is essential and is absolutely critical to driving revenue for the.
Kevin Dieny:The components of a business that are absolutely critical to driving revenue are
Kevin Dieny:the things they're not gonna wanna cut.
Kevin Dieny:What the things that are kind of wishy washy gray, maybe they're causing
Kevin Dieny:revenue, maybe they're not , those are things that are gonna be like, Oh, that's
Kevin Dieny:slash and burn this marketing budget.
Kevin Dieny:That's to be expected and that's what happens.
Kevin Dieny:And so you have to be able to prove this.
Kevin Dieny:You kind of start with attribution and then you get to incrementality,
Kevin Dieny:which again is a lot harder.
Kevin Dieny:Um, finally there's the concept of the black swan.
Kevin Dieny:Is there data maybe in small quantities, maybe in rarity, seasonality?
Kevin Dieny:Is there something maybe that happens on the news or something
Kevin Dieny:that happens to a competitor?
Kevin Dieny:Unpredictable, Unforeseen.
Kevin Dieny:Unknowable things that have a giant impact on your results, right?
Kevin Dieny:Are there things like that you will not be able to predict or foresee
Kevin Dieny:them and you don't know, and they may influence your data, and so the
Kevin Dieny:only way you can know is just, okay.
Kevin Dieny:The best way to know, best way to get through all of this is go, let's
Kevin Dieny:just run an experiment once every six months on something important that we
Kevin Dieny:would be willing to do something about where we see we have high quality data.
Kevin Dieny:And we think we can influence the result, which is basically conversion
Kevin Dieny:rate, optimization, experimentation, and marketing, which is so critical
Kevin Dieny:to keeping budget, holding it, and actually having an effective result
Kevin Dieny:out of making changes in your business.
Kevin Dieny:Orchestrating actionable takeaways that are gonna really, at the end
Kevin Dieny:of the day, move the needle up and progress the business toward growing.
Kevin Dieny:That's what's so important.
Kevin Dieny:Ah, I just wanna close out here with, it's exciting to be able to have your
Kevin Dieny:marketing just lift the business so much.
Kevin Dieny:It's exciting to know that your marketing is incremental, that it's
Kevin Dieny:essential that it, the business would not have derived the revenue as
Kevin Dieny:effectively, or as well, or as quickly.
Kevin Dieny:As they as it could have with the marketing that you're doing.
Kevin Dieny:And that's what Marketing incrementality is all about.
Kevin Dieny:And that's why you want a database solution.
Kevin Dieny:And when you tie data together, yeah, start with spreadsheets, Google
Kevin Dieny:Sheets, you could do it for free.
Kevin Dieny:You could do this low budget on a small business, you can do it.
Kevin Dieny:There's tools like Super Metrics, which are maybe a one step up.
Kevin Dieny:I'll mention them here cuz they're, I love 'em.
Kevin Dieny:They're great.
Kevin Dieny:For, you know, pulling data outta silos and new systems, uh, that
Kevin Dieny:really easily and effectively.
Kevin Dieny:The next level up would, of course, be a data warehouse, Data warehousing.
Kevin Dieny:When your volume gets to a certain level, it's very big.
Kevin Dieny:You, you're gonna need an etl, you're gonna need something to extract data
Kevin Dieny:out of systems through APIs in bulk.
Kevin Dieny:Put it in, organize it, and that way you can run queries
Kevin Dieny:and get amazing attribution.
Kevin Dieny:Amazing, amazing results are even going to be incrementality, which is when
Kevin Dieny:you're gonna be needing to run some experiments and looking at lift and
Kevin Dieny:evaluating what is genuinely essential.
Kevin Dieny:And you know what?
Kevin Dieny:What is not?
Kevin Dieny:It's hard to sift that up, but it's so powerful for a business to focus
Kevin Dieny:its resources on incremental marketing campaigns and strategies instead of.
Kevin Dieny:Getting further, further into wider and wider and wider into marketing
Kevin Dieny:theories, ideas, and strategies that just aren't working for their
Kevin Dieny:business, for your individual business.
Kevin Dieny:And that's it.
Kevin Dieny:I hope you are not overwhelmed, but encouraged to take a step into the
Kevin Dieny:faray of marking inter mentality of looking in at what data you have, what
Kevin Dieny:data's available, what tests you might wanna run, and that way you can assess.
Kevin Dieny:Okay, I'm gonna make, I know how to make my marketing more effective
Kevin Dieny:from my business and help it grow, help it achieve whatever goal you're.
Kevin Dieny:With that, I'm gonna close it out.
Kevin Dieny:I appreciate you listening to the episode.
Kevin Dieny:And I'm Kevin Dieny.
Kevin Dieny:You can find me on LinkedIn or anywhere on social media if you can get, uh,
Kevin Dieny:find us and we appreciate you listening.