The Bottom Line
This metric, expressed as a percentage, evaluates the profitability of an investment by comparing the net gain to the initial cost
Return on Investment (ROI)
The practice of optimizing website content to rank higher in search engine results is known as this
SEO
This metric is used to measure the effectiveness of an online ad by dividing the number of clicks by the number of impressions
This type of advertisement uses social media personalities to promote products
Influencer Marketing
This term describes all interactions a customer has with a brand, from initial awareness to post-purchase support
Customer Journey
This metric, often used to assess a company's profitability, excludes expenses like interest, taxes, depreciation, and amortization to focus on core operational earnings
EBITDA
This digital marketing technique involves bidding on keywords so that ads appear at the top of search engine results
Search Engine Marketing (SEM)
This metric tracks the percentage of website visitors who complete a desired action, such as making a purchase or signing up for a newsletter
CVR (Conversion Rate)
This digital advertising format uses banners, images, or videos on websites and apps to promote a product or service
Display Advertising
This term describes a company's unique position in the market and the reason customers choose it over competitors
Value Proposition / Reasons to Believe (RTB)
This key metric calculates the total cost of acquiring a new customer, including marketing and sales expenses
Customer Acquisition Cost (CAC)
This metric calculates the average cost incurred to generate a single potential customer, often used to evaluate the efficiency of lead generation campaigns
Cost Per Lead
This term refers to the perspective or stance on a particular issue
POV (Point-of-View)
This form of advertising charges marketers only when a user clicks on their ad, making it a performance-based model
Pay-per-click (PPC)
This term refers to the total revenue opportunity available if a product or service achieved 100% market share in its target market
Total Addressable Market (TAM)
This term refers to funds used by a company to acquire, upgrade, or maintain physical assets like buildings, equipment, or technology
CapEx (Capital Expenditure)
This online tool allows businesses to monitor, analyze, and report website traffic, providing insights into user behavior.
Google Analytics
This metric measures the total cost of converting a potential customer into a paying customer and is a key indicator of marketing efficiency
CPA (Cost Per Acquisition)
This technique uses AI and machine learning to deliver personalized ads to users in real-time, based on their past actions and preferences
Programmatic Advertising
This is the process of dividing a broad audience into smaller groups based on shared characteristics like demographics, interests, or behavior
Market Segmentation
This metric measures the total revenue earned from a customer over their entire relationship with the business
Lifetime Value (LTV)
This metric measures the number of times a piece of content is displayed, regardless of whether it was clicked
Impressions
This metric measures the revenue generated for every dollar spent on advertising, helping marketers assess the effectiveness of their ad campaigns
ROAS (Return on Ad Spend)
This advertising approach targets users based on their online behavior and interests, using technologies like cookies and pixels
Behavioral Targeting
This term refers to the total quantity of a product or service that consumers are willing and able to purchase at a given price during a specific time period
Market Demand