What is.

Within the online marketing world, jargon is often used. Our specialists know better than anyone else what it is all about, but we understand that this can be confusing for our customers and cooperation partners. That is why our marketing experts explain the most common online marketing terms and abbreviations to you.

Your Ad Spend, also known as advertising costs, is the amount you spend on your ads. In short, every euro you pay on your ads. 

The bounce rate is the percentage of visitors who come to a website and immediately leave it again. The term is mainly used on websites and can be calculated in two ways. You can either divide the number of sessions where one page is loaded by all sessions or divide the number of sessions where one page is loaded by the percentage of all sessions on your site where users only viewed one page. We talk about a bounce when only one page of your site is loaded during a session.

Note: from June 2023, this term will be dropped because Google Universal Analytics will no longer be offered then. This term will be replaced (with some modifications) by the term Engagement rate. 

As mentioned earlier, engagement rate, also known as engagement ratio, is the replacement for bounce rate. However, it is not completely the same.

Engagement rate is defined by: 

  • A session lasts more than 10 seconds;
  • 1 or more conversion event; has taken place
  • 2 or more pages are displayed.

CPA stands for cost per action (cost per action or acquisition). CPA determines the cost of online advertising by attaching a value to a specific action by a user. This action can be predefined. For a purchase, the CPA is often determined based on profit margins. For a quote request or contact request, the CPA is determined by various criteria that represent the value of these actions.

 

CPC stands for cost per click. A calculation model used in online marketing and it means, literally, that you pay per click for your ad. 

The conversion rate, or conversion ratio, is the ratio of the number of visitors on a website to those who have achieved a predefined goal. This can be a purchase but other goals are also possible.  
CTA stands for call to action and is a method of prompting visitors to your website to take a desired action. This can be a general action such as "request a quote" or "contact us".  
CPM, also known as cost per thousand, is the cost per 1,000 impressions. People often use this to calculate the cost of advertisements or ads with a longer reach. 

CRO, which stands for conversion rate optimisation, is optimising the conversion rate on your website. The aim of CRO is to get more return from your existing visitors. You analyse the behaviour of your visitors, set up A/B tests and make the necessary adjustments.

Click through rate (CTR) is the click-through rate. You can calculate this in several ways, namely: 

  1. Dividing the number of clicks on an ad by the number of impressions. Clicks/displays = CTR
  2. The Click Through Ratio can also be a certain percentage within Google. Each spot correlates to an average CTR. The higher in Google, the better and higher your CTR will be. 

 

Google indicates that the CTR for ads is around 2%. If that percentage is higher then you are doing well. For search results, Google often uses the following for the first 3 spots: 

  1. Average 35%
  2. Average 25%
  3. Average 20%

  

This is the latest version of Google's analytics tools for websites and apps. Currently, many websites still use Universal Analytics, but in July 2023 they will switch to GA4. The main difference is that UA mainly looks at sessions and pageviews and GA4 looks at events.

Online views with online content is called an impression. If you have more than one, we call it multiple impressions. We often link this to a page within Google (search result page), a type of content that comes into view for a user or a view of a post on social media. 

These are platforms for individuals, consumers, B2C, B2B or any other third party where products or services are sold. The platform generates leads, conversions and transactions. The marketplaces pay out a third party and keep an x percentage of commission themselves. Well-known marketplaces are: 

  • Amazon.com
  • Bol.com
  • Coolblue.com
  • Booking.com
  • Airbnb.com

Meta platforms Inc. or Meta for short. Previously, Meta was called Facebook. The best-known platforms that fall under Meta are: Facebook, Instagram and Whatsapp.

Marketing Qualified Lead: In the domain of marketing and sales, MQL stands for Marketing Qualified Lead. An MQL is a potential customer considered promising by marketing activities based on certain criteria, such as demographics, behaviour or interest in a product or service. MQLs are often forwarded to the sales team for further follow-up. 

Search Qualified Lead: is a potential customer who lands on a company's website via a search or search engine. They take certain actions that indicate that he or she is interested in a company's products or services. A SQL is a lead who "qualifies" himself or herself through his or her search behaviour. 

One should keep in mind that not all visitors to a website are also automatically a SQL. So, for example, a visitor who accidentally lands on the website and takes no action cannot be considered a SQL.  

An SQL must meet certain, self-set/agreed-upon goals, for it to actually be an SQL. 

 

Average Order Value: Average order value (AOV) is an important e-commerce statistic that discloses the average amount a customer spends on a given order. It is calculated by dividing total sales by the total number of orders over a given period. 

The AOV is an important metric for e-commerce companies because it helps them measure and optimise the performance of their sales and marketing efforts. By understanding what the average order value is, a company can decide how much they can spend on marketing to attract new customers and retain their existing ones. 

Customer lifetime value (CLV) is the estimated total revenue a customer generates throughout their lifecycle with a company. It is an important statistic for companies that focus on customer retention and want to build long-term relationships with their customers.  

To calculate the CLV, a company has to take into account several factors, such as the average order value, the number of repeat purchases a customer makes and the average time a customer stays with the company.  

Companies use CLV to optimise their marketing and sales strategies and decide how much they can spend to acquire and retain a customer. If a customer's CLV is high, a company can invest more in marketing and sales to attract and retain that customer. If a customer's CLV is low, a company may decide to invest less in that customer and focus more on attracting customers with a higher CLV. 

Cost per sale (CPS) is a marketing statistic that charts the cost a company incurs to generate one sale. It is calculated by dividing the total cost of a marketing campaign by the number of actual transactions. 

CPS is an important statistic for companies looking to optimise their marketing spend and maximise their ROI (return on investment). By calculating the CPS, a company can determine if their marketing campaign is effective and if the cost of the campaign is right. 

Tagging is the process of assigning labels or tags to different elements or data on a website, in an application or in digital marketing campaigns. Tags are pieces of code placed on a website or in an application that send information to a tag management system or marketing analytics platform. The most commonly used is Google Tag Manager.  

Tags can be used to track and capture different types of data, such as page URLs, conversions, button clicks, forms, videos and other interactions on a website. Through tagging, companies are able to collect and analyse detailed data from users. From this data, companies can make better decisions about their digital strategies. 

Companies can use tags for various purposes, such as: 

  1. Web analytics: By using tags to collect data on website visitors, companies can gain insight into user behaviour, such as which pages are visited the most, which devices and browsers are used and which campaigns generate the most conversions. 
  2. Remarketing: Tags can be used to track visitors and show targeted ads to them based on their behaviour on a website. 
  3. E-commerce tracking: Tags can be used to track transactions and measure revenue and ROI of digital marketing campaigns. 
  4. Personalisation: By using tags to collect data about users, companies can show personalised content and offers based on their interests and preferences.

 

In general, tagging is a useful technique for companies to collect and analyse detailed data about users in order to optimise and improve their digital strategies. 

Push marketing is a marketing strategy where companies proactively communicate their products or services to potential customers, without being explicitly asked. This can be done through various channels, such as e-mail, SMS, push notifications on mobile devices, pop-up ads on websites and social media ads. 

This form of marketing focuses on creating awareness and interest in the product or service among potential customers. It also aims to encourage direct action, such as purchase or registration. Push marketing can be used to promote new products or services, seasonal offers, increase sales and encourage customer retention. 

Pull marketing is a marketing strategy in which companies focus on attracting interested potential customers through relevant and valuable content and marketing activities. This can include search engine optimisation (SEO), content marketing, social media marketing and word-of-mouth marketing. 

 Pull marketing is all about creating valuable content that appeals to potential customers and helps them solve their problems, answer their questions or provide entertainment. By focusing on building strong relationships with potential customers, companies can strengthen their brand, gain customers' trust and ultimately generate more conversions. 

A UTM code is a piece of text added to a URL to measure and analyse campaigns. UTM stands for Urchin Tracking Module and was developed by the company Urchin Software Corporation, which was later acquired by Google. It now forms the basis of Google Analytics. 

A UTM code consists of a number of so-called parameters that contain information about the source of traffic, medium type, campaign name, content and term. This makes it possible to distinguish traffic from different sources and analyse how well different marketing campaigns perform. 

The display rate is the number of impressions your ad or advertisement has received. It is calculated by comparing the total number of impressions, which your ad can receive, with the actual number of impressions.

Google Tag Manager (GTM) is a management system/tool that allows you to quickly and easily place external tracking codes, scripts and pixels on your website. Because you manage these in one central location, it saves you a lot of time.     
Link building is about "building" links from another website that point to your website. Google sees these links, also called backlinks, as recommendations. More high-quality recommendations are seen as relevant and valuable by Google, which will give your website higher authority. As a result, you will rise in positions and gain better online findability.
A conversion indicates how many visitors to your website or app proceed to an action. You can predefine these actions yourself and they range from a purchase to sending an e-mail.   

A template is a template that you can fill in. For example, a web page can have a template that can be used over and over again so that you can monitor the overall design and quality.

KPI (Key Performance Indicator), also known as performance indicators in Dutch, are targets that allow you to make your company's performance concrete and measurable.

This is a system where an organisation manages its relationships and interactions from (potential) customers to partners. It often involves customer data you keep track of or conversations and e-mail traffic you log. A CRM system also reveals the status of customer relationships.

This is the contact person within a company who has the authority to buy your product or service. It can vary a lot who the DMU is within your company.
A USP (unique selling point) is a feature that distinguishes your company from your competition. This unique added value makes potential customers prefer your organisation over your competition.
The English term for a section, title or headline. In online marketing, we mainly use this term to indicate a part of a web page to be displayed. It refers to the top of a web page where information can be found that reappears on all pages of your website. Important information is therefore often placed here because visitors can see it at a glance on all pages.
The footer refers to the bottom of a website where mainly important information about your business can be found. 
The top bar refers to the bar above the navigation menu of a website. It is often used to display the company's name and address details or USPs. The top bar immediately catches the eye of a visitor and will therefore often be filled with the most important things for a company. 

Social media is an umbrella term for all online platforms where users provide content. This content can be text, images, videos and polls. The most well-known social media platforms are: 

  • Facebook
  • Instagram
  • LinkedIn
  • TikTok
  • Youtube
  • Pinterest
  • Whatsapp
  • Twitter

The see-think-do-care model was introduced by Google and has to do with the customer journey (customer journey) and remarketing. 

Briefly, this model consists of the following: 

  • See: the visitor makes the first contact;
  • Think: the visitor has a need and looks for a solution to this need;
  • Do: the visitor converts and wants to have/purchase the solution;
  • Care: the visitor has made the purchase and now it is important to ensure that the customer remains a customer for as long as possible.

SEO is also known in Dutch as search engine optimisation. With SEO, you improve a website with the aim of gaining higher positions to get more and higher-quality traffic to your website. Optimisations are done using the three SEO pillars: content, technology and authority. So by performing SEO optimisations and taking into account Google's requirements, you can apply search engine optimisation for your website or webpage. 

SEA is also called search engine advertising in Dutch. It refers to all paid advertisements on search engines such as Google and Bing. There are different types of ads. You can advertise with banners, text, and even videos. These ads are displayed in fixed spots within Google's search engines and search partners. The difference with SEO is that for SEA, you pay for your website to be shown in the search results.

The abbreviation ROAS stands for return on ad spend. ROAS is a way of calculating the quality and effectiveness of your campaigns. ROAS is expressed as a number or percentage that indicates the return on your investment.

Remarketing is a method of re-engaging previous visitors to your website or app. This way, you bring your company, service or product to the attention of these visitors again using text, video or image ads.

Server-side tagging is a method of implementing tags on a website where the tag management processes take place on the server rather than on the client-side (e.g. in the browser). This means that the code that loads the tags is not executed on the user's computer, but on the server where the website is hosted. 

 

Server-side tagging is used for several reasons. First, it can improve the performance of a website by reducing page load time. Since the tag management processes are performed on the server, the scripts, which are normally loaded on the client-side, do not need to be downloaded and executed by the user's browser. This can significantly reduce page load time, which can lead to a better user experience and higher conversions. 

Another reason to use server-side tagging is to improve website security. Because the tag management processes are performed on the server, it is more difficult for malicious users to manipulate or steal the tags. 

Finally, server-side tagging can also be useful for managing complex tag implementations on large websites. By centralising the tag management process on the server, it can be easier to manage and debug tags, and tags can be more easily implemented on all pages of a website. 

Lead generation is the process of attracting and collecting potential customers for a product or service. The aim of lead generation is to attract the interest of potential customers and collect their contact details so that these leads can later be converted into customers. 

Lead generation can be applied in different marketing channels, including online and offline.  

Online lead generation: are search engine optimisation (SEO), search engine advertising (SEA), e-mail marketing, social media marketing and content marketing.  

Offline lead generation are: events, trade shows and direct mail campaigns. 

Companies use lead generation to expand their customer base and increase sales. By collecting and managing leads, companies can streamline their marketing and sales processes and convert more qualified leads into customers. 

Brand awareness is the extent to which consumers are familiar with a particular brand. It is an important part of companies' brand strategy because it lays the foundation for building brand loyalty and brand preference. 

Brand awareness can be measured by various indicators, such as brand awareness, consumers' ability to recognise the brand and the associations consumers have with the brand. Companies can increase brand awareness through marketing and communication activities, such as advertising campaigns, sponsorships, PR activities, content marketing and social media marketing.  

Increasing brand awareness can have several benefits for companies, including increasing sales, increasing brand preference and loyalty, increasing market share, improving brand reputation and increasing brand value. 

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Thijs van den Haak.
Online marketing consultant

Customer case: From € 150K to
€1 million turnover per month.

Customer case: From € 150K to € 1 million turnover per month.

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