MATAS – DATADREVET INDSIGT LØFTER ANNONCEOMSÆTNING MED 57%

IMPACT Commerce and Matas have developed an omnichannel attribution model that has changed Matas' approach to the customer journey, by seamlessly bridging the gap between online interactions and physical store purchases. This integration allows Matas to meticulously track and understand customer journeys across multiple channels, delivering a cohesive and personalised experience. This has impressively led to a 10% improvement in ROAS and a remarkable 69% enhancement in the quality of Google Ads data.

The most exciting part of the solution is that Google receives automatic feedback on attributed sales in the store (we call this an omni-pixel), which allows it to bid much more precisely than before, and adjust budgets and targets to focus on the most valuable customers across offline and online channels, to engage high-value individuals and drive omnichannel engagement. This implementation of automated bidding through the omni-tracking pixel, has yielded impressive results. Revenue has soared by 57% online and 21% in physical stores – all while maintaining a relatively moderate increase in advertising expenses.

By breaking down data silos between online and offline channels, Matas can now optimise its marketing efforts. This integration has led to a significant boost in both online and in-store sales. With the ability to directly link campaign interactions to in-store purchases, Matas gains unique insights, ensuring better resource allocation and more effective marketing strategies. This holistic understanding of customer behaviour helps Matas reduce unnecessary costs and significantly enhance campaign effectiveness.

The success of this initiative can be attributed to its innovative approach to data-driven marketing, profound technological integration, and substantial improvements in customer experience. The economic outcomes have been significant, demonstrating how strategically advanced solutions can provide a competitive edge in the retail landscape. This partnership between IMPACT Commerce and Matas exemplifies the power of technology in transforming retail marketing and customer engagement.

How can we measure the real value of our marketing efforts if we do not know the customer's journey from the first click to purchase in store?

That question was the starting point for an extensive collaboration between Matas and IMPACT Commerce. The goal and purpose of the collaboration were to break down the data silos between online and offline channels to achieve a deeper, data-driven insight into customers' purchasing behavior and journeys. This was intended to help optimise marketing efforts and improve customer experience across channels.

When it comes to target group insights, the advanced data-driven omnichannel attribution model, which can track the customer journey from online interactions to purchases in physical stores, provides Matas with a significantly deeper understanding of not only the customer journey but also the target groups. This deepened understanding has been crucial for optimising marketing budgets and activities, ensuring targeted advertising, and improving the customer experience across touchpoints.

To achieve this, we (when consent is given) collect web behaviour and campaign interaction data together with transactions in-store and online. Data is consolidated from Google BigQuery, POS, ERP, and ClubMatas data in Microsoft Azure Databricks, where it runs through our Machine Learning-driven attribution modelvisualisation in Microsoft PowerBI, as well as directly as conversion data to Google Ads and others. This means that we can now, among other things, track a customer's journey from a click on a Google ad to a purchase in-store and subsequently assign sales value to each interaction to understand the effect of Google ads on the final purchase – not just online, but also in-store.

In short, the attribution model allows Matas to link campaign interactions directly to in-store purchases – something that was previously reserved primarily for online sales. Ultimately, this provides Matas with a holistic approach for optimising spend pacing and ad exposure.

At Matas, there is a clear belief that marketing activities should not be isolated to single channels but optimised in a holistic perspective. With this strategic approach as a foundation, Matas sought to understand how digital media such as email marketing, paid search, SEO, social, etc., affect both online and in-store sales. To realise this, there was a need for a high degree of interdisciplinary skills to build a unique solution consisting of advanced statistical models based on omnichannel data. This required deep technical knowledge across a wide range of marketing disciplines, including:

Paid Marketing: Understanding how ad platforms work and the mechanisms of the underlying data models.
Web Data: Insights into how web tracking and compliance work, and how these data can be integrated across online and offline orders.
Customer Club Data: Knowledge of how customer data, CRM systems, and loyalty clubs work, and how it can be linked with web tracking.
Microsoft Azure: Knowledge of the chosen cloud platform, Microsoft Azure, as well as familiarity with Matas' general data landscape to integrate the solution into the existing architecture.
Advanced, Data-Driven Attribution Models: Understanding of how different attribution models work.

Most importantly, it required an understanding of how to unite all the above elements into a single model – which is what IMPACT Commerce has helped Matas with. The solution is a central part of Matas’ overall omnichannel strategy, which has clearly contributed to the company's growth, while contributing to Matas’ competitive advantage of being an omnichannel retailer compared to a pure-player.

By using advanced data consolidation and activation in a way that most brands operating in an omnichannel context can only dream of, we’re truly proud of the wide spectrum of results derived from this data-driven approach to generating growth. As a result, Matas can: 1) bid significantly better based on the wealth of data, and 2) outbid competitors for advertising, generating 1.6 times more revenue (according to the model) than a pure-player.

The attribution model provides Matas with in-depth insights into the impact of their digital marketing efforts on both web and in-store sales. For example, it has improved the data quality of Matas’ Google ads by 69%, enabling them to fine-tune and optimise their marketing efforts for optimal effect. The model also revealed that 25% of the revenue in physical stores originates from online activities. Additionally, the model showed that digital channels generate 40% more revenue in physical stores compared to online sales.

The automated bidding (omni-tracking pixel) has boosted revenue by an impressive 57% online and 21% in physical stores – all with a relatively moderate increase in advertising expenses, which has improved their ROAS by about 10%. Truly phenomenal results, showing the significant competitive advantage businesses can achieve as an omnichannel retailer when properly integrating their data.

This insight ensures better allocation of resources as well as optimisation of channel mix, budgets, and campaigns based on a holistic understanding of customer behaviour across online and offline purchases. By identifying and investing in the most value-creating activities, Matas can now reduce unnecessary costs and increase campaign effectiveness.