Is DDA suitable for small businesses?
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by
Brian Plant
| Last Updated:
August 30, 2024
Data-Driven Attribution (DDA) may not be as suitable for small businesses compared to larger enterprises. Here are some key reasons:
Data volume requirements: DDA typically needs a significant amount of conversion data to function effectively. Google recommends at least 300 conversions in the past 30 days and 3,000 ad interactions across Google Ads platforms. Many small businesses may not have this volume of data.
Complex implementation: Setting up and maintaining DDA models can be technically complex. Small businesses often lack the specialized expertise or resources to properly manage and interpret these models.
Resource constraints: Implementing DDA may require investment in sophisticated analytics tools and personnel with data analysis skills, which can be challenging for small businesses with limited budgets.
Time investment: It takes time for DDA models to learn and provide reliable insights. Small businesses may need quicker results and may not have the luxury of waiting for the model to gather sufficient data.
Simpler alternatives: For businesses with straightforward conversion paths, simpler attribution models like last-click may be sufficient and easier to implement and understand.
However, it's worth noting that if a small business does have sufficient conversion volume and the necessary resources, they could still benefit from DDA's more accurate insights into their marketing performance.
Additionally, as businesses grow and their marketing becomes more complex, transitioning to DDA could become more feasible and beneficial. For small businesses interested in more advanced attribution but lacking the data for DDA, exploring other multi-touch attribution models or gradually working towards implementing DDA as they scale could be good alternatives.