Digital Term For E-Commerce Business

Some Digital Terms for E-Commerce Business/ Entrepreneur should know

 As a Digital Marketing professional we witness that several e-commerce entrepreneur do not understand several terms of Digital Marketing and Related things. So I have prepared a list of word which all e-commerce entrepreneur should be aware so they can understand it in effective way.

1. User Interface (UI): It is the point of human-computer interaction and communication in a device & also the way through which a user interacts with an application or a website.
2. User Experience (UX): It encompasses all aspects of the end-users’ interaction with the company, its services, and its products.
3. Landing Page: It is a standalone web page that a person “lands” on after clicking through from an email, ad, or other digital locations.
4. Catalogue: A catalogue describes data set attributes and indicates the volumes on which a data set is located.
5. 404 Error: It is a web page designated to be displayed when a request triggers the HTTP 404 response code. This code means the client/visitor was able to locate the server, but not the specific destination.
6. Bounce Rate: It is a single-page session divided by all sessions or the percentage of all sessions on your site in which users viewed only a single page and triggered only a single request to the Analytics server.
7. Search Engine Optimisation (SEO): It is the process of improving the quality and quantity of website traffic to a website or a web page from search engines.
8. Keyword: A term used in digital marketing to describe a word or a group of words an Internet user uses to perform a search in a search engine or search bar.
9. Bid Strategy: A bid strategy that automatically sets bids for your ads based on that ad’s likelihood to result in a click or conversion.
10. Search Term: Also known as a search query, is the word or phrase someone enters into a search engine, such as Google.
11. Creative: It is the ad served to users on a webpage, app, or another digital environment.
12. Targeting Demographics: Demographic targeting is defined as a type of marketing segmentation. Segments include family size, religion, gender, age, ethnicity, education and even income.
13. Target Market: It is a specific group of people with shared characteristics that a business markets its products or services to.
14. Ad Placement: The group of ad units that specify the areas on the website where advertisers can place their ads.
15. Cost Per Acquisition (CPA): It is a marketing metric that measures the aggregate cost to acquire one paying customer on a campaign or channel level.
16. Pay Per Click (PPC): It is a digital advertising model in which a company pays an ad publisher for each user click on its advertisements.
17. Conversion Rate Optimisation (CRO): It is the process of increasing the percentage of conversions from a website or mobile app.
18. Click Through Rate (CTR): It is the number of clicks that your ad receives divided by the number of times your ad is shown. Clicks ÷ impressions = CTR.
19. Cost Per 1000 Impressions (CPM): is a marketing term used to denote the cost an advertiser pays per one thousand advertisement impressions on a web page.
20. Add To Cart (ATC): It is a feature of ecommerce stores that allows customers to choose items to purchase without actually completing the payment.
21. Average Order Value (AOV): It tracks the average dollar amount spent each time a customer places an order on a website or mobile app.
22. Initiate Checkout (IC): It refers to when someone starts the checkout process to buy something from your site.
23. Return On Ad Spend (ROAS): It is an important key performance indicator (KPI) in online and mobile marketing and refers to the amount of revenue that is earned for every dollar spent on a campaign.
24. Profit And Loss (P/L): It is a financial statement that summarises the revenues, costs, and expenses incurred during a specified period.
25. Monthly Recurring Revenue (MRR): It is the predictable total revenue generated by your business from all the active subscriptions in a particular month.
26. Lifetime Value (LTV): Customer Lifetime Value (CLTV) is the gross profit a customer delivers to your business in their lifetime.
27. Cost Of Goods (COGS): COGS includes all of the direct costs involved in manufacturing products.
28. Return On Investment (ROI): It is a mathematical formula that investors can use to evaluate their investments and judge how well a particular investment has performed compared to others.
29. View Content (VC): It is typically set up to fire when visitors browse through a deeper page on site. As such, it can help to understand how people are engaging with sites and with specific pages.
30. Page View (PV): Whenever a person visits a web page, it is referred to as a ‘page view’. Page views are tracked by applications that monitor websites and record the amount.
31. Split Testing (A/B Test): It refers to a randomised experimentation process wherein two or more versions of a variable (web page, page element, etc.) are shown to different segments of website visitors at the same time. This is done to determine which version leaves the maximum impact and drives business metrics.
32. Call To Action (CTA): A marketing term referring to the next step or action that the marketer wants the consumer to take. A CTA can be as direct as a button that says “Buy Now,” or as subtle as “Read More.”
33. Click To Open Rate (CTOR): The CTOR metric is calculated by dividing the number of clicks by the number of opens. A good CTOR should be between 20% and 30%, depending on the industry and goal.
34. Heat Maps: It is a two-dimensional representation of data in which values are represented by colors.
35. Domain Name System (DNS): It maps the name people use to locate a website to the IP address that a computer uses to locate that website.
36. Business To Business (B2B): It is the exchange of products, services or information between businesses.
37. Direct To Consumer (DTC): The DTC retail model involves selling products without the help of third-party retailers or wholesalers.
38. Stock Keeping Unit (SKU): It is used by retailers to identify and track their inventory, or stock.
39. Upselling: It is an attempt to convince a customer to purchase something additional or more costly.
40. Down Selling: It is the technique of offering a more budget-friendly alternative to the product or service initially considered by the customer.
41. Point Of Sale (POS): It is a place where a customer executes the payment for goods or services and where sales taxes may become payable.
42. Sales Funnel: Also called a purchase funnel, it is the visual representation of the customer journey, depicting the sales process from awareness to action.
43. Retargeting: It is a type of online advertisement aimed at consumers who have already had some contact with the advertising brand or the products being advertised.
44. Affiliate: A business relationship wherein one company owns less than a majority stake in the other company’s stock.
45. Evergreen: A long-term, sustainable marketing approach that doesn’t rely on current trends or events, evergreen marketing is a great way to stay ahead of the competition.
46. Lead: Any individual or organization within your marketing reach who has interacted with your brand or has the potential to become a future customer.
47. Logistics: Marketing logistics pertains to the process of delivering the information from the producer to the market.
48. Profit Margin: The amount of money made by a company or a business activity, calculated by dividing income by revenues, or how many cents of profit are generated for every dollar of sales.
49. Social Proof: It is the influence that the actions and attitudes of the people around us (either in real life or online) have on our own behavior.
50. User Generated Content: Content related to your brand that’s created by someone who’s not an official representative of your business.

I have prepared this list for better understanding maybe few are left. Thanks for Reading.