Top 10 Marketing Terminology You Should Know
Author: Camryne Washington
Are you feeling like you are not making the sales you want? Are you feeling like no one knows who you are? Maybe you need to enhance yourself digitally. Every company needs exceptional marketing online to boost their brand and revenue in the age of technology. In 2018, mobile internet usage was 48.2%. This means that people are regularly on their phones searching for products or services through their mobile devices. How can this work for you? By understanding a few key terms, you will learn how you can digitally market your business to optimize the best results.
Cost Per Acquisition (CPA)- This marketing metric measures how much it cost for a company to acquire a single customer through campaigns and marketing channels. This metric helps businesses determine what method works best to gain those customers. About 22% of companies are satisfied with their conversion rates. (Econsultancy, 2016) (Source: https://www.hubspot.com/marketing-statistics) Understanding who the customer is, how they shop, and other factors can help a company better run a successful campaign.
Click Through Rate (CTR)- A marketing metric that measures the number of people who see your ad and get directed toward your landing page, or website page. Highly relevant ads have high click through rates, which is a great sign to keep running an ad. Low CTR's are low in relevancy and an indicator that an ad needs adjustments.
Remarketing- In the marketing world, traditionally, remarketing refers to bringing the customer back through emails such as cart abandonment, product suggestions, and other email marketing campaigns. Today, remarketing is usually defined as ads that a visitor sees when they leave your site. These ads can be on other websites or even in the search engine. It's a subtle way to hint to a customer to come back.
Key Performance Indicator (KPI)- It empowers a company to define, control, and accomplish their goals. Key performance indicators can be used to measure anything the company wants to track from website engagement to customer service. This tool helps a business determine what's beneficial, needs to improve, or needs to be abandoned. Companies should regularly review their KPIs, even successful ones, to repeat the same results or strengthen the better performers.
Search Engine Optimization (SEO)- People usually find companies through search engines such as Google, Bing, and Yahoo. Through the use of keywords, businesses can organically reach the first page results for free. Keywords are put within blog posts, articles, or product descriptions and correlate to what the customer is looking for when they're searching.
Pay Per Click(PPC)- Advertisers pay a fee for every click they receive on their ad. The business is paying for its audience to come to them. Unlike SE0, this is not free and will cost you. If you're willing to pay for that traffic rather than wait it out, PPC is a great option.
Bounce Rate- A rate that determines how many people visit and leave your site after only looking at one page. Google Analytics will recognize your page as interactive if the person has visited one other page. The lower the bounce rate, the better. High bounce rates indicate a need for a change.
Domain Authority (DA)- Created by SEO company MOZ, domain authority is a prediction of how well your site will rank on search engine results. The ranking is between 1 and 100. DA is a great way to understand your competitiveness to those around you. The higher your score, the better your chances are of getting more views and gaining more dominance.
Buyer Persona- Information backed by market research and data from your existing customers. This information can help businesses create a clear picture of who they want to attract. Important things to note are the customer's age, salary, likes, and dislikes. Creating a consumer will help the company figure out who and how to market to their target audience.
Engagement Rate- Social media such as Twitter, Facebook, Youtube, and Instagram determine success through engagement rates. Likes, comments, shares, or views determine a post rate compared to the number of followers they have. Content with higher engagement means consumers like what a business even if they have a small following.
Before you call your next marketing agency, re-read this article, jot down some ideas and figure out how you can improve your business. To stay relevant in the constant and ever-changing business, a company needs to be ahead of the competition through optimization of their digital presence. If you're still scratching your head, don't worry, with a little more research you will be an expert in no time.