This video & article address a specific use case of marketing cannibalization and how to use the platform to measure this
Cannibalization is a term referring to paid marketing getting credit for results that you would likely be already getting either organically or from other paid activities.
How does cannibalization look like ?
In the above example - while tracking would show you that the newly opened channel created 90,000 conversions - incrementality would show you 0, given the fact the overall conversions remained the same as before
Using INCRMNTAL, spotting cannibalization is one of the most common use cases.
How to Find Cannibalization ?
To find cannibalization, we would normally suggest measuring any of the following activities:
Positive activity (opening a new channel / increasing ad spend) resulting in a negative impact:
- Starting a paid activity that does not add incremental value, or worse off - decreases organics or paid conversions
- Increasing bids/budgets that do not yield incremental value
“Negative” activity (stopping a channel / reducing budget) resulting in a positive impact:
- Stopping a paid activity that causes KPIs to “go up”
- Reducing bids/budgets that create a positive impact over KPIs
How to Measure for Cannibalization ?
- Use the dashboard to search for high impact activities. Typically those would be opening / closing a channel, or significant budget changes.
- Measure those activities by clicking activity and selecting “Measure”
- Looking at the results, here, we can identify almost no negative impact as a result of this significant budget reduction.
Note the Channel Significance – This campaign represented over 50% of ad spend in the country / OS
Note the ad spend vs. the conversions – increasing this campaign spend did not "move the needle" and increased the overall conversions from this country and OS
For a channel representing +50% of ad spend, and doesn't generate more conversions than what it would without increasing it - We'd advise that this is cannibalization onto performance.
Meaning, increasing this channel's spend did not generate more value, as the increase did not affect marketing performance at all. This shows this channel is cannibalizing your conversions. For the sake of the example, no detected incrementality is equivalent to negative results.
For any question please contact support@incrmntal.com , or open a support Ticket here