Well, we thought it was time to create a blog post that could serve as a holistic marketing glossary — one that not only defines each term, but also offers some helpful resources in case you want to learn about them in more depth. We hope you can bookmark this post and come back to it whenever you need to.
1. A/B Testing
This is the process of comparing two variations of a single variable to determine which performs best in order to help improve marketing efforts. This is often done in email marketing (with variations in the subject line or copy), calls-to-action (variations in colors or verbiage), and landing pages (variations in content). Outside of marketing, you can use it to determine what tastes better on a peanut butter sandwich: jelly or fluff.
What I sometimes refer to as the “eyes” of inbound marketing, analytics is essentially the discovery and communication of meaningful patterns in data. When referred to in the context of marketing, it’s looking at the data of one’s initiatives (website visitor reports, social, PPC, etc.), analyzing the trends, and developing actionable insights to make better informed marketing decisions. (Want to learn marketing analytics?
3. B2B (Business-to-Business)
An adjective used to describe companies that sell to other businesses. For example, Google and Oracle are primarily B2B companies.
4. B2C (Business-to-Consumer)
An adjective used to describe companies that sell directly to consumers. For example, Amazon, Apple, and Nike are primarily B2C companies.
This is short for web log or weblog. An individual or group of people usually maintains a blog. A personal blog or business blog will traditionally include regular entries of commentary, descriptions of events, or other material, such as photos and video.
Blogging is a core component of inbound marketing, as it can accomplish several initiatives simultaneously — like website traffic growth, thought leadership, and lead generation. It does not, however, do your taxes.
6. Bottom of the Funnel
Since we’re going alphabetically, the last part of the funnel process is first! So, “bottoms up,” I suppose. The bottom of the funnel refers to a stage of the buying process leads reach when they’re just about to close as new customers. They’ve identified a problem, have shopped around for possible solutions, and are very close to buying.
Typically, next steps for leads at this stage are a call from a sales rep, a demo, or a free consultation — depending on what type of business is attempting to close the lead.
7. Bounce Rate
Website bounce rate: The percentage of people who land on a page on your website and then leave without clicking on anything else or navigating to any other pages on your site. A high bounce rate generally leads to poor conversion rates because no one is staying on your site long enough to read your content or convert on a landing page (or for any other conversion event).
8. Buyer Persona
A semi-fictional representation of your ideal customer based on market research and real data about your existing customers. While it helps marketers like you define their target audience, it can also help sales reps qualify leads.
A call-to-action is a text link, button, image, or some type of web link that encourages a website visitor to visit a landing page and become of lead. Some examples of CTAs are “Subscribe Now” or “Download the Whitepaper Today.” These are important for marketers because they’re the “bait” that entices a website visitor to eventually become a lead. So, you can imagine that it’s important to convey a very enticing, valuable offer on a call-to-action to better foster visitor-to-lead conversion. Hey, that was a CTA!
10. Churn Rate
A metric that measures how many customers you retain and at what value. To calculate churn rate, take the number of customers you lost during a certain time frame, and divide that by the total number of customers you had at the very beginning of that time frame. (Don’t include any new sales from that time frame.)
For example, if a company had 500 customers at the beginning of October and only 450 customers at the end of October (discounting any customers that were closed in October), their customer churn rate would be: (500-450)/500 = 50/500 = 10%.
11. Clickthrough Rate (CTR)
The percentage of your audience that advances (or clicks through) from one part of your website to the next step of your marketing campaign. As a mathematic equation, it’s the total number of clicks that your page or CTA receives divided by the number of opportunities that people had to click (ex: number of pageviews, emails sent, and so on).
12. Cost-per-Lead (CPL)
The amount it costs your marketing organization to acquire a lead. This factors heavily into CAC (customer acquisition cost), and is a metric marketers should keep a keen eye on.
Hashtags are a way for you and your readers to interact with each other on social media and have conversations about a particular piece of content. They tie public conversations on Twitter, Facebook, and Instagram together into a single stream, which users can find by searching for a hashtag, clicking on one, or using a third-party monitoring tool.
14. Key Performance Indicator (KPI)
A type of performance measurement companies use to evaluate an employee’s or an activity’s success. Marketers look at KPIs to track progress toward marketing goals, and successful marketers constantly evaluate their performance against industry standard metrics. Examples of KPIs include CAC (Customer Acquisition Cost), blog traffic sources, and homepage views. Choose KPIs that represent how your marketing and business are performing.
15. Landing Page
A landing page is a website page containing a form that is used for lead generation. This page revolves around a marketing offer, such as an ebook or a webinar, and serves to capture visitor information in exchange for the valuable offer. Landing pages are the gatekeepers of the conversion path and are what separates a website visitor from becoming a lead.