10 concepts you should know about Digital Marketing
When starting a project we face a number of questions: how to create a brand, how to position it, how to approach the customer and convert that interaction into sales. Regardless of the type of project we develop, be it development, design, or a technological solution, we must plan marketing strategies that allow us to reach our customers and generate higher sales.
This is why understanding marketing terms is essential to understand how we are investing money and what this implies for our project. In the Introduction to Digital Marketing Course you will find information on how to apply some of the terms that I present below, all to real cases, as well as specific techniques to, from scratch, start creating your digital marketing strategy.
A / B Testing
It is a process in which two variations of the same process are measured to determine which one works best. In an email marketing campaign, for example, the audience that will receive an email is divided and two versions of it are shown. In the end, the results are compared and the one that worked best is determined depending on the objective of the campaign.
Analytics is the raw material used in marketing to get relevant clues about a campaign. Following analytics is essential for any marketing activity to be effective. One of the most used tools in this area is Google Analytics.
Buyer Persona / User Persona
Who is your client? How do you define it? A User Persona is a representation of the ideal customer of a brand. The characteristics of this User Persona depend on a demographic investigation based on data collected from existing customers. Knowing the characteristics of an ideal client allows us to be more assertive in communicating with them.
Call to Action (CTA)
A call to action can be a button, a link, an image, a text box or any other mechanism that motivates the user to perform an action. Examples of these calls to action are buttons that say “subscribe” or “free download”.
The percentage of people who complete a desired action divided by the number of people who viewed your page. Some of the actions can be to give an email, download an ebook or software, make a purchase, etc. When you get a high Conversion Rate you can say that a site is working.
Customer Acquisition Cost (CAC)
This is the price you pay to get a customer. If you invest 1000 dollars in a campaign and get 10 users, your CAC is $ 100
This marketing style focuses on getting customers naturally through content that is interesting to them: their focus is not to invade customers with advertising. A very effective strategy to achieve these objectives is to align the content that is produced on a site with what customers are looking for. Examples of inbound marketing strategies are blog posts, videos on YouTube, infographics, etc.
Unlike inbound marketing, outbound refers to the efforts that are made to get customers through paid advertising media. Some channels used for this type of marketing are ads on the search network and the display network on Google, ads on social networks, etc.
Keywords are the words or phrases that allow a user to find the content they need in search engines such as Google or Bing. For a user to find you, you must optimize your content according to the keywords that the user uses to search for a result.
Customer Lifetime Value (LTV)
It is understood as an estimate of the net value that a company or brand receives for the relationship it has with a customer, from its first purchase until it stops consuming a product. Having this estimate allows you to understand what the investment should be to get a customer, and in the end compare how effective this interaction has been in terms of cost-benefit.
Cost Per Click (CPC)
It is the cost paid by someone clicking on one of our ads. These types of ads are used in order to bring more traffic to a particular site. There are two types of pay per click:
- Flat rate : It is a payment arranged between the advertiser and who provides the service to show the ad.
- Bid-based: The advertiser competes with other advertisers to appear somewhere in the networks where the ads are shown. In this case, each advertiser decides the budget they are willing to pay because an ad is shown. Once that budget is reached, the ad is written off.
ROI (Return on Investment)
It is a measure used to track the efficiency and profitability of a given action. The way in which it is estimated is by subtracting the investment cost from the profit obtained and then dividing the result by the investment cost. The final figure is considered ROI, if this is negative, it means that the action is not returning the investment and is not being profitable.