Digital Marketing and eCommerce glossary
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C
call to action (CTA)
In digital marketing is a prompt or instruction that encourages the user to take a specific action. It is typically used in online advertising, email marketing, and other digital marketing campaigns to persuade the audience to perform a desired action, such as signing up for a newsletter, downloading a white paper, or making a purchase.
The CTA can be a button, a link, a message, or any other type of visual element that is designed to catch the user’s attention and direct them to a specific action.
Examples of common CTAs include “Buy Now,” “Learn More,” “Subscribe,” “Sign Up,” “Download,” “Register,” and “Contact Us.”.
cart abandonment rate
Is a metric used in e-commerce that represents the percentage of online shoppers who add products to their shopping cart but leave the website before completing the purchase. It is calculated by dividing the number of completed purchases by the total number of shopping carts.
For example, if a website had 100 shopping carts created, but only 70 completed purchases, the cart abandonment rate would be (100-70)/100 = 30%.
Reducing the cart abandonment rate is an important goal for online retailers, as it can lead to increased sales and revenue.
For related info see How to reduce cart abandonment rate
catalog
Is a digital or physical collection of products that an online retailer offers for sale. It is essentially a list of all the items available for purchase, including their descriptions, prices, images, and other relevant details.
It can be accessed by customers browsing the site or searching for specific products. It may include different categories and subcategories of products, as well as search and filter options to help customers find what they are looking for more easily.
For related info see Product Information Management - PIM products
chargebacks
Chargebacks occur when a customer disputes a charge on their credit or debit card, and the card issuer initiates a chargeback process to investigate the dispute and potentially reverse the transaction. Chargebacks can occur for a variety of reasons, including fraud, unauthorized transactions, billing errors, and dissatisfaction with the product or service.
Chargebacks can be costly and time-consuming for businesses, as they typically involve fees and penalties, as well as the potential loss of revenue and damage to the company’s reputation.
chatbots
Chatbots are computer programs designed to simulate human conversation via text or voice interactions. They use artificial intelligence (AI) and natural language processing (NLP) technologies to understand and respond to user queries in a conversational manner.
They can answer frequently asked questions, provide product recommendations, assist with purchases, schedule appointments, and more.
They offer businesses a cost-effective way to provide 24/7 customer support, improve customer engagement, and automate routine tasks, freeing up human resources for more complex and value-added activities.
For related info see Chatbots products
checkout
Checkout in ecommerce refers to the process of completing a purchase online. It typically involves a series of steps that a customer must follow to confirm their order and make a payment. Typically users are asked to provide their shipping and billing information, select a shipping method, and choose a payment option.
A smooth and user-friendly checkout process is essential for ecommerce retailers to minimize cart abandonment and maximize conversions.
click and collect
Click and collect is an ecommerce fulfillment option that allows customers to order products online and pick them up in-store or at a designated collection point.
click-trough rate (CTR)
Click-through rate (CTR) is a metric used in digital marketing to measure the effectiveness of an advertising campaign or a specific piece of content. It is the ratio of the number of clicks on a link or ad to the number of impressions (or views) it receives, expressed as a percentage.
CTR is calculated by dividing the number of clicks by the number of impressions, and then multiplying by 100. For example, if an ad receives 1,000 impressions and 50 clicks, its CTR would be 5%.
CTR is an important metric because it measures the level of engagement and interest that a piece of content or ad generates among its target audience.
comma separated values (CSV)
Comma-separated values (CSV) is a file format used for storing and exchanging data in a simple and standardized way. It is a plain text file that contains data in a table format, with each row representing a record and each column representing a field or attribute.
In a CSV file, each field is separated by a comma (or another delimiter, such as a semicolon or tab), and each record is separated by a line break. For example, a CSV file that contains customer data might look like this:
Name,Email,Phone
John Doe,johndoe@example.com,555-1234
Jane Smith,janesmith@example.com,555-5678
CSV files are a popular choice for data storage and exchange because they are simple, lightweight, and compatible with many different software applications and programming languages. However, they do have some limitations, such as a lack of standardization for field names and data types, and the potential for errors if the data contains commas or other special characters.
Content Management System (CMS)
A CMS, or Content Management System, is a software application used to create, manage, and publish digital content, typically for websites or online applications.
A CMS allows non-technical users to easily create and publish content without requiring knowledge of web development or coding.
For related info see CMS products
conversational Commerce
Conversational commerce refers to the intersection of messaging applications, chatbots, and other communication technologies with e-commerce. It involves using natural language conversations to facilitate online transactions, interactions, and customer engagement. The goal of conversational commerce is to make the process of buying goods or services more interactive, personalized, and convenient for users.
conversion
Conversion refers to the process of turning a visitor to a website, social media page, or other digital platform into a paying customer or taking a desired action, such as filling out a form or subscribing to a newsletter.
In digital marketing, conversion rate is a key metric used to measure the success of a marketing campaign, website, or landing page. It is calculated by dividing the number of conversions by the total number of visitors, and is usually expressed as a percentage.
For example, if a website has 1,000 visitors in a month and 50 of them make a purchase, the conversion rate would be 5%.
Conversion tracking and analysis is important for businesses to identify what works and what doesn’t, and to make informed decisions about their marketing strategy and website design.
conversion rate
Conversion rate is a metric used in digital marketing to measure the percentage of visitors to a website or landing page who take a desired action, such as making a purchase, filling out a form, or subscribing to a newsletter.
To calculate conversion rate, you need to divide the number of conversions by the total number of visitors and multiply the result by 100 to get a percentage. For example, if a website had 1,000 visitors in a month and 50 of them made a purchase, the conversion rate would be 5%.
For related info see How to increase conversion rate
conversion rate optimisation (CRO)
Conversion rate optimization (CRO) is the process of optimizing a website or digital marketing campaign to increase the percentage of visitors who take a desired action, such as making a purchase, filling out a form, or subscribing to a newsletter.
The goal of CRO is to increase the overall conversion rate, which is the percentage of website visitors who take the desired action.
For related info see How to increase conversion rate
cookies
Cookies are small text files that are stored on a user’s computer or device when they visit a website. Cookies are used to remember user preferences and activity, such as login credentials, language settings, and browsing history.
There are two types of cookies: session cookies and persistent cookies. Session cookies are temporary and are deleted when the user closes their browser, while persistent cookies remain on the user’s device until they expire or are manually deleted.
Cookies are used by website owners and marketers to improve the user experience, personalize content and ads, and track website analytics. For example, cookies can be used to save user preferences so that they don’t have to enter the same information multiple times, or to remember items in a shopping cart. Cookies can also be used to track user behavior on a website, such as which pages they visit and how long they spend on each page.
cost per acquisition (CPA)
Cost per acquisition (CPA) is a metric used in digital marketing to measure the total cost of acquiring a customer who takes a desired action, such as making a purchase, filling out a form, or subscribing to a service.
CPA is calculated by dividing the total cost of a marketing campaign by the number of conversions achieved. For example, if a campaign costs $1,000 and generates 100 conversions, the CPA would be $10.
CPA is an important metric because it helps businesses to measure the effectiveness and efficiency of their marketing campaigns, and to allocate resources to the channels that are delivering the best return on investment (ROI).
cost per click (CPC)
Cost per click (CPC) is a digital advertising metric that measures the cost incurred each time a user clicks on an ad.
CPC is typically used in pay-per-click (PPC) advertising, where advertisers pay a fee each time a user clicks on their ad.
CPC is calculated by dividing the total cost of a campaign by the number of clicks it receives. For example, if a campaign costs $1,000 and generates 100 clicks, the CPC would be $10.
cost per thousand (CPM)
Cost per thousand (CPM) is a digital advertising pricing model used to measure the cost of displaying an advertisement to 1,000 viewers. It is often used in display advertising, where advertisers pay for impressions, or the number of times their ad is displayed to users.
In CPM advertising, the advertiser agrees to pay a certain amount for every 1,000 impressions of their ad, regardless of whether or not the user clicks on the ad or takes any other action. For example, if an advertiser agrees to pay $5 CPM, they would pay $5 for every 1,000 impressions of their ad.
crawler
A crawler, also known as a spider or a bot, is a software program that systematically scans and indexes web pages and other online content. Crawlers are used by search engines like Google and Bing to discover and gather information about websites, which is then used to create search engine results pages (SERPs).
Crawlers can also be used for other purposes, such as website monitoring, data scraping, and link checking. Website owners can use crawlers to analyze their site’s structure, identify broken links or other issues, and gather data about user behavior.
For related info see Crawling products
cross-selling
Cross-selling is a marketing strategy used in ecommerce that involves recommending complementary or related products to customers based on their current purchase or browsing history. The goal is to increase the average order value and overall revenue of the business.
For example, when a customer is looking to buy a laptop, an ecommerce website may recommend additional accessories such as a laptop bag or a mouse that would complement their purchase.
cost per lead (CPL)
Cost per lead (CPL) is a metric used in digital marketing to measure the cost of acquiring a new lead or potential customer. A lead is typically defined as a person who has shown interest in a company’s product or service by filling out a form, subscribing to a newsletter, or taking some other action that indicates they may be interested in making a purchase in the future.
The CPL is calculated by dividing the total cost of a digital marketing campaign by the number of leads generated. For example, if a business spends $1,000 on a social media advertising campaign and generates 100 leads, the CPL would be $10 per lead ($1,000 ÷ 100 leads).
customer acquisition
Customer acquisition refers to the process of gaining new customers for a business. It involves identifying and attracting potential customers, converting them into paying customers, and building long-term relationships with them.
For related info see Customer Acquisition products
customer acquisition cost (CAC)
Customer acquisition cost (CAC) is a metric that measures the average cost a business incurs to acquire a new customer. It is calculated by dividing the total cost of sales and marketing efforts over a specific period of time by the number of customers acquired during that same period.
For example, if a business spent $100,000 on marketing and sales in a given month and acquired 1,000 new customers during that same month, the CAC would be $100 ($100,000 ÷ 1,000 customers).
customer journey
The customer journey in ecommerce refers to the process a potential customer goes through from the first interaction with a business to the point of making a purchase. It includes all touchpoints and interactions a customer has with a business, both online and offline, across various channels such as the website, social media, email, and mobile apps.
customer lifetime value (CLV)
Customer lifetime value (CLV) is a metric that measures the total amount of revenue a business can expect to earn from a customer over the course of their lifetime. It takes into account the customer’s purchasing habits, the frequency of purchases, and the estimated length of the customer’s relationship with the business.
For example, if the average value of a customer’s purchase is $50, they make five purchases per year, and they are expected to remain a customer for five years, the CLV would be $1,250 ($50 x 5 x 5).
customer relationship management (CRM)
Customer relationship management (CRM) refers to the strategies, tools, and practices that businesses use to manage their interactions and relationships with customers. It involves collecting, analyzing, and using customer data to improve customer experiences, increase customer satisfaction, and ultimately drive business growth.
customer retention
Customer retention refers to the process of keeping existing customers and encouraging them to continue doing business with a company. It involves developing and implementing strategies that help to build strong relationships with customers, increase customer loyalty, and reduce customer churn (the rate at which customers stop doing business with a company).
The benefits are increased revenue, reduced costs improved reputation and others.
To improve customer retention, businesses may implement a range of strategies, such as providing excellent customer service, offering loyalty programs and incentives, personalizing customer experiences and continuously improving products and services among others.
cyber Monday
Cyber Monday is a marketing term used to describe the Monday after the Thanksgiving holiday in the United States, which is often considered to be the start of the online holiday shopping season.
Cyber Monday is focused on online sales.
Cyber Monday has become one of the biggest online shopping days of the year, with millions of people shopping online and retailers earning billions of dollars in revenue.
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