Customer Lifetime Value Attribution

What is Customer Lifetime Value (CLV) Attribution?

The Customer Lifetime Value attribution is an attribution model that rewards each channel which contributes to a conversion and keeps rewarding these channels across the full customer journey (future sales). This model differs from mono-attributive models (first-click or last-click) which rewards only 1 channel regardless of the intervention of additional channels to a sale.

What are the benefits?

For every conversion, you will be rewarded for your contribution regardless of your position in the funnel path. The more you are influencing a sale, the bigger your contribution share will be and with it your commission.

The CLV attribution considers the whole customer journey across time. If you contributed to a user’s conversion, you might also be rewarded for conversions made by this same user in the future, even though you did not generate a contact anymore.

How does it work for the FlixBus affiliate program?

There is no supplementary effort needed from your side. The affiliate program works just like any other.

A third-party algorithm analyzes the conversion funnel of each sale. The attribution takes place in 2 steps:

1. Calculation of the channel contribution 

For every conversion, the algorithm calculates the weight of each contact (click or impression) involved and attributes the revenue accordingly. The weight of each contact is based on the contribution to the conversion probability, which is considering factors like time between contacts or depth of user engagement.

2. Calculation of the channel contribution in future conversions

For every future conversion, the algorithm considers the contacts of the new conversion, and the ones from past conversions. If past contacts still have an impact, the algorithm will attribute the revenue considering these. It means that you can get commission for conversions which you did not have any contact with.

The conversions are uploaded daily on Tradetracker at noon (CET).

How does it work in practice?

John books a FlixBus ticket for the first time and paid 20€. Before booking, he visited a deal portal (Affiliate1), then a blog (Affiliate2) and clicked on a search ad (SEA). Affiliate1 mainly influenced the conversion and got 60% of the order amount attributed (12€), 30% went to SEA (6€) and 10% to the Affiliate2 (2€).

Two days later, John wanted to book a second ticket and went directly to FlixBus.com. For this reason, 70% of the order amount goes to Website. The algorithm still considers that the previous contacts had an influence. Therefore, the 30% left were shared between Affiliate1, Affiliate2 and SEA.

mceclip0.png

How to interpret your transaction statistics?

When looking at the transaction report, here are important points to consider:

  • descrAffiliate includes the click date and time, as well as the date and time of the conversion. The format is the following {click date and time}; {conversion data and time}
    With the CLV attribution, this timespan between touchpoint and conversion might be higher than you are used to, especially when you get rewarded for future conversions
  • Registration Date corresponds to the date and time of the conversion upload
  • Characteristic: each contact is unique; therefore, you might get rewarded several times for the same
    conversion. The format is the following {order_id}-{touchpoint_referral}
  • Order Total corresponds to the order share attributed to your account. It can be null if your contact has not contributed to the conversion
  • Commission is calculated on the Order Total

Exception for cashback publishers

To allow cashback publishers to reward their users, they are submitted to the following attribution: the order will be attributed to a cashback publisher if he started the session during which the order has been made. A session lasts 30 minutes.

Cashback publishers benefit from this exception as long as their new customer rate reaches 20%.

Modification of the attribution

FlixBus reserves the right to change its attribution model. Publishers will be informed at least 30 days in advance.

Was this article helpful?

Have more questions? Submit a request