How Should You Be Measuring Your Marketing in 2025?

Measurement in digital marketing has undergone major shifts. Historically, marketers relied on granular data – tracking every click and attributing accordingly. However, changes across the industry have made traditional measurement more complex. 

In our latest webinar, Measurement for Growth, our experts Carl Hutchinson (Summit), Sam Craggs (Google) and Joy Talbot (Magic Numbers) discuss the main changes, key challenges and big opportunities for retailers and brands to measure their marketing activity successfully.  

Read the webinar summary below or scroll for the full video.

 

The Challenges of Modern Measurement – Carl Hutchinson, Summit 

Measurement has changed dramatically due to: 

• Data Privacy & Walled Gardens – Previously, marketers had full visibility into user behaviour. Now, there are more restrictions on data sharing. 

• Platform Diversification – Google is no longer the only search platform; brands must consider other emerging platforms. 

• Video Consumption Growth – Video, like TV ads, isn’t always designed for direct clicks, making traditional digital attribution harder. 

• New Traffic Sources – Platforms like Gemini, ChatGPT and Perplexity introduce new variables in traffic measurement. 

• Automated Optimizations & AI – Google’s PMax (Performance Max) and Demand Gen use AI-driven campaign optimisation, but often with limited transparency into performance insights. 

Adapting to the Future 

While this creates some challenges, this shift is also a blessing. Being able to track every click doesn’t necessarily show you the whole picture or accurately tell you what you should be spending your next pound on. 

It presents an opportunity for holistic measurement and, while perfect tracking is no longer possible, businesses can adapt measurement strategies to align with new technologies, regulations and consumer behaviours. 

The Evolution of Measurement – Sam Craggs, Google 

Over the years, how we measure our digital marketing activity has changed. Initially, full transparency was expected – tracking every user interaction and attributing accordingly. However, increasing privacy regulations, post-COVID digital changes and more complex customer journeys have prompted a shift. Today, the priority is on Return on Investment (ROI) as the primary measurement factor. 

“The why of measurement hasn’t changed; it’s always been about getting the most accurate results to drive your business forward. But the how has taken on a new form.”

Developing a Modern Measurement Strategy 

A modern measurement strategy must be built on three pillars:  

1. Establishing strong foundations with clear commercial goals
2. Ensuring effective first-party data collection 
3. Using these insights to optimise marketing efforts, by identifying key conversion paths, order values and repeat customers. 

The Role of AI in Advertising and Attribution 

AI-powered tools are key in bridging data gaps caused by privacy changes. AI fills in missing information, enhancing attribution models and improving marketing spend decisions. Validation tools ensure measurement outputs remain accurate and reliable. 

Moving Towards Holistic Attribution 

The industry is moving beyond last-click attribution, recognising the complexity of multi-channel user journeys. Businesses need to track customer behaviour across various touchpoints and adjust marketing spend accordingly. The rise of Marketing Mix Modeling (MMM) is a crucial step in achieving a holistic view of performance across multiple channels, providing an overarching view of marketing effectiveness and helping to optimise budget allocation. 

Google Meridian and the Future of Measurement 

Google Meridian, an open-source tool, helps businesses integrate multiple data sources for better forecasting. However, its complexity and resource requirements mean it is not yet universally accessible. Calibration (whether that be A/B testing, geo-location testing or incremental) then looks at the results and compares them with your actual data and real-world performance, helping refine measurement strategies. 

Final Thoughts from Google 

Ultimately, measurement success requires businesses to adopt a flexible, data-driven approach, that looks at the bigger picture and not just that last click. 

Maximising Marketing Effectiveness with Econometrics – Joy Talbot, Magic Numbers 

Econometrics plays a crucial role in optimising marketing spend by helping brands understand how various factors impact business outcomes. It goes beyond measuring the success of campaigns, providing insights into how both marketing and external elements drive results. 

What is Econometrics? 

Econometrics quantifies the effect of marketing activities on sales using techniques like Marketing Mix Modeling (MMM). It measures the incremental impact of each marketing channel, alongside external factors such as weather or competition, to determine a campaign’s true ROI. It differs from traditional attribution, which might miss the full impact of channels like TV or the press. 

Analysing Data for Actionable Insights 

Econometrics models involve collecting data – sales, marketing activity and external drivers –  and applying statistical methods to isolate the effects of each variable. The aim is to capture the true impact of each factor by separating them and quantifying their effects on sales, allowing for better understanding and decision-making.  

Short-Term vs. Long-Term Impact 

Econometrics isn’t just about immediate sales impact. It helps brands understand both the short-term and long-term effects of marketing efforts. While direct response channels like search and social may have quick returns, demand-building campaigns, such as brand TV ads, can be evaluated for both short-term sales spikes and longer-term brand-building impacts. 

Why use Econometrics? 

Optimising Marketing Channels and Budgets 

By analysing the impact of each channel on sales, businesses can make smarter decisions about where to allocate resources, whether it’s increasing spend on high-performing channels or shifting resources from less effective ones. 

Leveraging Econometrics for Strategic Decision-Making 

Econometrics allows businesses to make data-driven decisions on a range of strategic issues, including pricing, media planning and customer targeting. The model helps forecast the potential outcomes of different strategies, allowing organisations to refine their approach and align efforts with business goals. 

Building Confidence with Bulletproof Evidence 

A strong econometrics model provides the data necessary to build trust with stakeholders, including marketing teams, finance departments and C-suite executives. Accurate forecasts and a clear breakdown of the factors driving sales enable brands to justify marketing spend and confidently align their activities with long-term business success. 

Final Thoughts from Magic Numbers

Incorporating econometrics into marketing strategies allows businesses to take a holistic approach to measuring effectiveness. With a clear understanding of how various factors influence sales, brands can allocate resources more effectively, improve decision-making and, ultimately, achieve better results across their marketing efforts. 

If you have any questions about measurement and how to better understand performance across your marketing channels, get in touch with us at hello@summitmedia.com.

 

Watch the full webinar here: