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How to measure the impact of Online marketing on your Offline stores

Image Sources: Google, ThinkwithGoogle

1Before going into details about the impact of online marketing on our offline store let's meet Tim, he has a lot of stores in many places and has been doing good business for years. But with the rise of E-commerce and change in consumer preferences, Tim also started to venture into E-commerce and invested in digital marketing to reach out to more people. He noticed his old loyal customers as well as new customers are using his E-commerce service and are happy with the products, however, he did not see a drop in his physical stores' sales. On the contrary, they were greater than ever, users loved visiting the stores and shopping.


In many instances, the salesman reported Tim that many customers would show a particular product on their mobile devices which they saw on their business’s e-commerce site and would ask for it. This helped the business in growing and giving the users what they need in much lesser time. Tim has a lot of physical shops across many locations and saw the business growing both online and offline.


4Now Tim knows in many ways all his online marketing activities are pushing or improving the performance of his offline stores, but he is confused regarding how to attribute or give credit. In simple language how to identify which part of the digital activity played a major role in pushing the offline store performance.

Google came up with a product in its beta version which can make Tim's life easier and help him to actually measure which of his Adwords Campaigns is driving store visits & store sales.



How does it work?

According to Google,

For Store Visit Conversions:

  • Store visit data is based on anonymous, aggregated statistics. AdWords creates modeled numbers by using current and past data on the number of people who click your ads and later visit your store.
  • Store visit data can’t be tied to individual ad clicks or people. We use industry best practices to ensure the privacy of individual users.



Source: Dagensmedia

For Store Sales Conversions:

Store sales (direct upload) let you import offline transactions directly into AdWords either yourself or through third-party partners. By matching transaction data from your loyalty program or customer database, you can see how your Google ads translate into offline purchases. You’ll see data by campaign and device for Search and Shopping campaigns.

“We do this with machine learning at the core,” said Jerry Dischler, VP of product management for AdWords in an interview. “We couldn’t measure store visits without ML.”


Are there any requirements?

For Store Visits:

Have multiple physical store locations in eligible countries. Ask your account representative if store visit conversions are available in your location.

  1. Receive thousands of ad clicks and many store visits.
  2. Have a Google My Business account linked to your AdWords account.
  3. Create each of your store locations in your Google My Business account.
  4. Have at least 90% of your linked locations verified in Google My Business.
  5. Ensure location extensions are active on your account.
  6. Have sufficient store visits data on the backend to attribute to ad click traffic and pass our user privacy thresholds.


For Store Conversion:

In order to be eligible to measure store sales (direct upload) conversions you need to:

  1. Track store sales data in a customer relationship management (CRM) system.
  2. Have a loyalty program or other ways to collect customer information associated with offline transactions.
  3. Upload transaction data every week or every other week.
  4. Receive thousands of ad clicks and store sales for the account each month.
  5. Comply with the store sales (direct upload) policies.



Source: Google Incrementality Study, Adwords Google Blog

12Google says, “As a reminder, store visits are estimates based on aggregated, anonymized data from a sample set of users that have turned on Location History. This data is then extrapolated to represent the broader population and only reported if it reaches a strict, highly conservative confidence level.”

Now Tim knows which of his Adword campaigns are driving store visits, and sales. So he is very happy and is going to be able to make informed data-driven decisions to grow his business.

Some Success Stories:

  1. Nissan UK Drives Store Visits with AdWords
  2. AdWords Store Visits Helps PetSmart Measure How Google Search
  3. Advertising Affects In-Store Traffic
  4. Insights from Store Visit Conversions in AdWords, BMW UK Realises 173:1 Return On Investment from Search Marketing


When are you getting started?

For Google get started with your Store Visits conversions by following the steps mentioned here. And start recording and measuring Store Sales Conversions by following the steps mentioned here. For Facebook, get started here.

Reach out to us and get started with these. I hope you really enjoyed your time reading this blog. Please do post your thoughts and queries in the comment section.

This article is a part of Social Takeover by Vishal Mishra. Read about his thoughts on 7 AI trends for 2018 and GCLID Tracking.