Marketing Definitions and Terms.

What is SEO?

SEO: Search Engine Optimization

SEO (Search Engine Optimization) is a marketing technique that focuses on increasing organic visibility of a particular site in the search engine results such as Google, Yahoo, and Bing.

Unlike pay-per-click (PPC), you can increase the organic visibility of your website for free. SEO, however, takes more time than PPC, which can increase your visibility almost instantly.

Search engines return the most relevant results based on the keywords entered by the user. But, keep in mind that keywords are only one of many variables that search engines take into consideration when determining the relevance of content.

What is Remarketing?

Remarketing a.k.a Retargeting

Remarketing (a.k.a retargeting) is a marketing technique that displays ads to people who have already visited your website or store. You know when you visit a site and view a particular product, and then you end up seeing ads for the same product on a different—and often unrelated—website? That's precisely the work of remarketing.

Remarketing is a useful and effective technique as it helps to push the visitor further down the sales funnel. It works sort of like a reminder that pushes the visitor to complete a desired action, be it making a purchase, or signing up for a newsletter.

First time visitors have a low likelihood of converting. But, every time a user revisits a website, the probability of converting increases manifold. Remarketing, thus, aims to drive these repeat visits, and that's why it's one of the most effective techniques.

What is A/B Testing?

A/B Testing a.k.a Split Testing

A/B testing refers to the testing of two versions of a variable in order to determine which version performs better. In marketing, almost any variable can be tested: landing pages, email subject lines, CTAs, fonts, ads, colors etc.

A/B tests can help you determine what you’re doing right and wrong. These tests are designed to improve your marketing efforts and strategy. It is very rare that the first version of any variable is the final—and best—version, and that’s precisely why it’s so important to test things.

What is PPC?

PPC: Pay-Per-Click

PPC stands for pay-per-click (it is also often referred to as CPC, or cost-per-click). It is an advertising model in which the advertiser pays a fee each time someone clicks on an ad. There are multiple platforms that offer PPC opportunities, including Google Ads, Facebook, LinkedIn and Bing (and many more).

PPC is an effective method of increasing conversions, but it can also become very expensive and have a bad ROI if done incorrectly and without a solid plan.The advantage of PPC over SEO is that the visibility of your website can increase almost instantly, even when your SEO techniques aren't up to par. All you have to do is enter the keywords you want to rank for and voila.

What is a Landing Page?

Landing Page Definition

A landing page is a dedicated web page that outlines a specific marketing offer. It can revolve around an eBook, a webinar, or any other downloadable (it doesn’t have to be downloadable) content. Landing pages almost always contain an information-capturing form.

The advantage of creating dedicated landing pages is that they contain specific information. In fact, when doing PPC advertising, it is best to send the visitors to a dedicated page, rather than just a general homepage.

To learn more about landing pages, read our article on generating more leads for your SaaS business.

What is Lead Nurture?

Lead Nurture a.k.a Drip Campaigns

Lead nurture, also often referred to as drip campaigns, is a method of developing and maintaining relationships with leads and/or customers at different stages of the sales cycle. For example, if you’ve ever bought anything online, there’s a high chance that you keep getting promotional emails or newsletters. In other words, the company is ‘nurturing’ you, or simply attempting to maintain contact, in hopes that you will return and make a purchase.

According to Hubspot, approximately 50% of new leads are not ready to make a purchase, and a staggering 80% of leads never convert to a paying customer. Keep in mind that while these leads might not be ready now, they shouldn’t be discounted; in fact, they are potential future customers—they just need to be primed (nurtured).

Lead nurture is a useful marketing technique that can help you prime the non-ready leads. Lead nurturing can be as simple as sending a series of automated emails over a specific period of time to specific audiences (e.g. you can choose to nurture leads differently based on region, age, interests etc.). Emails are just one element of lead nurture, but they can be easily combined with periodical phone calls, remarketing campaigns, and even direct mail.

What are KPIs?

KPIs: Key Performance Indicator(s)

KPIs (Key Performance Indicators) are metrics used to measure the performance of a business. KPIs are not always static; that is, they tend to vary from company to company (and even from campaign to campaign). For example, if Campaign A focuses on bringing more visitors to the landing page or site, and Campaign B focuses on lowering the overall CPL (cost-per-lead), the two campaigns have two different goals, and therefore their performance will be evaluated using different KPIs.

It’s important to clearly define goals and KPIs before launching a campaign—or running a business! Another thing to keep in mind is that the number of KPIs should be kept to a minimum. It’s best to have one primary KPI, and a set of secondary KPIs that are directly related to the primary KPI.

What is CPL?

CPL: Cost Per Lead

Cost-per-lead refers to the amount of money it takes for a company to acquire a lead. The cost-per-lead may vary widely depending on the industry. While CPL is related to CAC (Customer Acquisition Cost), the two are not to be confused.

For example, imagine that the total cost of Campaign A is $20,000, and the total cost of Campaign B is $1000. Now imagine that Campaign A generated 160 leads, whereas Campaign B generated 5 leads. The CPL for Campaign A is $125 (20000/160 = 125), whereas the CPL for Campaign B is $200 (1000/5 = 200). While Campaign B is cheaper than Campaign A, it is also less effective and the CPL is $75 higher.

But let’s take it a step further and calculate the CAC, too. Let’s say that from the 160 leads generated by Campaign A, 40 leads become customers. In this case, the CAC for Campaign A is $500 (20000/40 = 500). If Campaign B generated only 1 customer from its 10 leads, then the CAC for Campaign B is $1000 (1000/1 = 1000). Again, while campaign B is cheaper overall, its performance is also much worse, as it generates paying customers at twice the price of Campaign A (CAC: $500 [A] vs. $1000 [B]). This is why it’s important to track your campaigns all the way to the CAC rather than just CPL. But, don’t forget about the ROI (Return on Investment) either!