We explore eight online marketing terms that business owners should understand.
Like most small business owners, your main priority is supplying impeccable customer service in order to gain positive word-of-mouth marketing, both online and offline. This can however take up the majority of your time, so you can’t really keep up with the latest online marketing trends and developments.
To help you understand the new buzzwords in digital marketing, here is a list of eight that you will most likely have noticed but not necessarily understood.
1. Online presence
Your online presence is everywhere your business information can be found on the internet, via both computers and mobile applications.
Your potential customer base uses the internet to gather information that is critical in making the decision whether to use your services or not. They read reviews, product information and judge your website – your online presence can be key for a sale.
A call to action prompts customers to do something. These are useful on landing pages, at the end of emails or on your website. Examples include ‘Call now’, ‘Click here’ and ‘Buy now’.
A conversion is the phase where your customer takes an action after your marketing effort. The most popular conversion would be a direct sale, but it can range from signing up to an email list to getting a call back.
Remarketing is an action where you follow up with consumers that have already interacted with you or your marketing efforts. Google remarketing is a good example of this. If someone visits your website you can use remarketing to show advertisements on other websites reminding them of your products.
Referrals are customers that have been passed on to you by other companies or customers.
A customer acquisition cost is the amount of money that has been spent to acquire a new customer. It’s important to understand how much you have spent in getting new customers, as a CAC can reveal your marketing efforts are not as cost effective as they initially seem.
A customer lifetime value is the monetary value of a customer relationship. This is based on the profit you expect to gain over the length of your business relationship. With a CLTV you can calculate how much you can spend on your marketing efforts over the next few years, which is why implementing these for every customer is a worthwhile endeavour.
8. Cloud computing
Cloud computing is where businesses services like email, accounting packages or storage are supplied over the internet. This is popular because businesses want to cut the costs of housing power-hungry servers in their offices.
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