Offline Conversion Tracking Is Here, Mandatory Metric Going Forward

Facebook PlacesAt Opus Research’s Place Conference we discussed that online-to-offline conversion tracking will be a mandatory metric in a couple of years. Google, Facebook, Twitter and others, including xAd, Verve, JiWire, Millennial Media, PlaceIQ and Placed are all experimenting with or delivering data on store visits and offline conversions.

Google is using smartphone location to measure store visits. Placed uses an opt-in panel to do the same on behalf of its customers. Twitter works with Datalogix and now so does JiWire to match in-store transactions with mobile and online ad exposures.

Facebook recently announced (a more formal roll out of an existing program) that it would enable retailers to measure offline/in-store sales lift through its Custom Audiences program. Here’s how it works:

  • Marketers upload hashed data, including emails, phone numbers and addresses, as well as encrypted transaction information
  • Facebook matches the retailer’s hashed data to hashed data from our own databases
  • We then provide a report that compares, on an aggregate basis, the purchase behavior of customers who saw an ad on Facebook with customers who did not

Facebook offline sales

Internet-influenced in-store transactions are 10X larger than e-commerce. Most of the digital marketing world has totally ignored this phenomenon for the past decade because it was extremely difficult to track and measure. The advent of smartphones, offline location tracking (including indoor location) and other related methodologies (including transaction data) now make it possible to gain visibility on online-influenced offline conversions.

Again, these will be must-have metrics and will transform conversion tracking, as well as the way that we think about the value and pricing of digital advertising. For additional context and discussion, I’ve embedded the full video from the Place Conference session “Ad Tracking to the Point of Sale.”

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2 Responses to “Offline Conversion Tracking Is Here, Mandatory Metric Going Forward”

  1. Retailigence Reserve&Pickup says at

    I want to measure across media, not just Facebook.
    I want to measure sales, not just arrivals at the store.
    I want to measure at an individual shopper level, not just aggregated correlations.
    I want to measure which campaign triggered the final path-to-purchase action, not just which campaign had some influence.
    I want Reserve&Pickup! ; )

    and I want Happy Holidays to all Screenwerk readers and a $12M check to appear under Greg’s Christmas tree so I can see his 6 screenplays come to the silver screen!

  2. Greg Sterling says at

    And so you shall . . . Thanks Jeremy. Have a great holiday. And BTW I would accept less than $12M

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