Measuring the impact of your cannabis advertising is an essential part of calculating your marketing return on investment (ROI). One way to do this is through the use of incrementality. Incrementality involves comparing the results of a group of people who were shown an ad to a control group that did not see the ad. This allows you to understand whether the ad influenced the consumer’s actions and how they were acquired, either as a result of the ad or independently of it. By measuring incrementality, you can gain insights into which channels are most effective at influencing your target audience, segment your consumers based on their response to your messaging, and optimize your budget according to the results of your incrementality testing.
To measure incrementality, you can use testing and experimentation. This involves randomly dividing your audience into test and control groups and assigning them to different media channels. Conversion rates are calculated for each group, and the difference in those rates will highlight the incremental contribution of each channel. You can also incorporate data from various sources to gain a more detailed understanding of the incremental contribution of each channel and optimize your campaigns for increased performance.
Incrementality can also be measured offline, through partnerships with attribution partners who have their own proprietary methods for calculating it. This can help you understand the impact of your campaigns on foot traffic to brick and mortar locations.
