Amending Marketing Budget Allocation with a Lead Scoring Model

Abstract

The advance of digitalisation enables companies and their prospective customers, also called “leads”, to interact through an increasing number of channels. Leads can gather information on products and services offered by companies independent of time and place through digital channels. Marketeers face the challenge to serve the multitude of potential communication channels with advertisements to promote their products and services. The decision which channel deserves what percentage of the available budget becomes increasingly complex. In parallel, ongoing digitalisation offers new opportunities to gain insights by analysing the generated data. Every customer activity through one of the many channels generates new data. Companies increasingly capture this data in various marketing information applications such as customer relationship management systems, web analytics tools, and marketing automation systems. These activities can be aggregated in lead scoring models. Through lead scoring models, lead activities and attributes can be assigned a value regarding the purchase of a product; the lead conversion....