Every industry comes with its own jargons and digital marketing is the same. Knowing at least some of the marketing terms will help you work and collaborate with others much more efficiently.
We’ve separated the marketing terms into categories:
- Broad Digital Marketing Terms
- Metric-related Marketing Terms
- Operational Marketing Terms
- Sales funnel Terms
- Website Strategy Terms
Broad Digital Marketing Terms
1. Brand awareness
Brand awareness is the degree to which people will be able to recall and recognize your brand. Therefore, brand awareness largely depends on brand recall and recognition of your consumers.
Brand recall is the extent of how closely connected your brand is to a product.
Brand recognition is the extent of whether consumers will be able to recognize a brand through its attributes.
Generally speaking, brand awareness involves a situation where your customers will be able to see your brand and know of the solution that you can provide for them.
2. Buyer persona
Buyer persona is one of the most common marketing terms. They are basically a representation of your ideal customers. The information usually included in a buyer persona are demographics, psychographics, lifestyle and, sometimes, their role in a company. The more in-depth of a description you can provide of your buyer persona, the better because your buyer persona will help brands understand the motivations of their customers.
3. Digital marketing
This refers to any form of online communication aimed towards persuading people to buy a product or service.
4. Inbound marketing
Inbound marketing is a marketing approach that focuses on the customer. Usually, this focuses on the most ideal customer to a business instead of simply showing marketing messages to simply anyone. This can be done through various strategies, from social media marketing to blogging. As a result, you will be able to attract the right customers to your company which also helps with long-term scaling with better ROI.
5. Lead nurturing
Lead nurturing is a process that educates and builds trust between your business and your prospects to help guide them down the sales funnel. This involves providing personalized experiences to your prospects and converting them into customers.
6. Search Engine Marketing (SEM)
Often confused with SEO, SEM is the process that is aimed towards increasing your website traffic through paid ads on search engines. One example of this is by using Google Ads.
7. Search Engine Optimization (SEO)
SEO is a free digital marketing channel that takes a lot of time and effort that is all about pushing your website to the first page of search engine results where more people will be able to see and enter your website.
Metric-related Marketing Terms
8. Churn rate
Churn rate is one of the many marketing terms used to measure customer retention and contributes to the recurring revenue of the company. It also identifies the number of customers that a company loses within a given time period.
9. Cost per lead
Cost per lead is how much you spend on acquiring leads and it is also quite related to Customer Acquisition Cost which can be easily found in paid advertising channels.
10. Customer acquisition
Customer acquisition is related to the resources and processes involved in attracting new customers. This is related to brand awareness, lead generation and nurturing.
11. Customer acquisition cost
Customer acquisition cost (CAC) is the cost related to turning leads into a customer. In order to calculate CAC, you have to divide the money spent on attracting customers with the number of customers acquired in the time period that the money was spent.
12. Customer Lifetime Value
Customer Lifetime Value (CLV) is a predicted amount of net profit that can be acquired from one customer over the course of your business. Therefore, if you can increase your CLV, you will be able to increase the value of each customer. CLV is calculated by subtracting customer revenue with gross margin and dividing that number with your churn rate.
13. Growth marketing
Growth marketing is a marketing process that involves designing and experimenting. The purpose of this is to optimize and improve the results of a target area. As a result, growth marketing can help you achieve growth in your business.
14. Key Performance Indicator (KPI)
Key Performance Indicators (KPIs) are used as part of tracking the progress of a character towards a marketing goal. By setting your KPIs, you will be able to evaluate your business’ performance and optimize your marketing strategies.
Operational Marketing Terms
15. Content Management System (CMS)
A Content Management System (CMS) is a software tool that helps marketers and content creators organize and manage, as well as track their performance on the website content.
16. Customer Relationship Management (CRM)
Customer Relationship Management (CRM) is a software used as a contact database mainly used in sales. It helps to identify insights and provide analytics to the business. However, its main feature is the ability to store contact information to help salespeople track their interactions with stakeholders.
17. Marketing automation
Marketing automation is a software designed to automate marketing tasks. It is all about nurturing leads along their customer journey by leveraging content to address your customer’s needs depending on which stage they are in. In short, you are catering content to your prospects based on their behavior which is more powerful than simply sending out emails to everyone. As a result, marketing automation will elevate the efficiency of your marketing efforts.
Sales Funnel Terms
18. Top of the funnel (ToFu)
The funnel shows how you turn prospects into customers.
The top of the funnel (ToFu) refers to the first stage of the buyer’s process. At this stage, the buyer is aware of a problem and, as a result, they are actively looking for a solution. They will likely consume informational or educational content such as reading a blog or watching a video. You want to have your visitors take the desired step to move down the funnel.
19. Middle of the funnel (MoFu)
The middle of the funnel is the middle stage of a prospect’s buying process. They will have identified their problem, are still actively looking for a solution and consuming content that can present your business as the solution. This is also where responsibilities move from marketing to sales.
20. Bottom of the funnel (BoFu)
The bottom of the funnel is the last stage of a buyer’s process. It is also when the buyer has identified a problem, done their research and is ready to buy. Here, buyers will usually request a free demo or a free consultation and are beginning to talk with a salesperson.
Website Strategy Terms
21. A/B split testing
A/B split test is an experiment comparing 2 variables. Specifically, it does this by presenting it to a randomly split audience and comparing the results over time.
22. Conversion rate optimization
Conversion rate optimization (CRO) is a method used to increase the number of conversions on a webpage without having to bring in more web traffic. In any case, CRO is a method you should go with if you’d like to make the most of your marketing efforts.
23. Landing page
A landing page is a web page used for lead generation. In addition to this, the more optimized a landing page is, the more likely that your website visitors will turn into leads.
24. Thank you page
Once customers submit information on a landing page, they are usually redirected to a thank you page. Its purpose is to thank them for the submission as well as providing more steps that they can take with your business. These help to immediately nurture your leads and provide better customer experience.
Digital marketing is filled with jargons, therefore, learning these terminologies will help you understand more about this topic and optimize your marketing efforts. Ultimately, we hope you have gained some great knowledge from this article!
If you are interested in including or developing your marketing strategy, let our experts at Marketing Guru help you! Get your free consultation today.