Measuring TikTok's contribution to both Shopify and Amazon
TikTok Ads had become a key channel powering this brands strong growth. However, the team knew that their TikTok reporting probably didn't reflect the true impact of the channel. Like most ad channels, TikTok's in platform reporting only measures the impact their ads had on Shopify, while not accounting for the impact it has on Amazon orders.
Leveraging geo-based incrementality testing to calibrate attribution
To solve this, the brand turned to WorkMagic to help them run geo-based incrementality tests for their TikTok ads. Over a three-week period, the test involved a control group and a test group to compare the performance of areas with and without active TikTok ads to measure the true impact TikTok ads had on driving orders.
Learning TikTok's true impact on orders
WorkMagic's incrementality test revealed that the true impact of TikTok Ads was significantly higher than the brand realized. TikTok under reported its impact on the brand's DTC orders by 12%, while also not reflecting its impact on Amazon orders at all. In total, TikTok was actually driving 95% more orders than previously believed based on TikTok's reporting.
When comparing multiple attribution methods, all of them underestimated the true impact that TikTok had on sales, underscoring how any attribution model besides WorkMagic's Incrementality-based Attribution would have led to a false conclusion that TikTok was not having a large impact, while the truth was the exact opposite.
With these findings, the brand realized they were significantly underestimating the impact TikTok was having, causing them to assess allocating more budget to the channel.
WorkMagic automatically applied the results of the incrementality tests to the brand's custom Incrementality-based Attribution model, making optimizing based on incrementality simple.