16 Digital Marketing Acronyms You Need to Know

Digital marketing is full of acronyms, some of which are remarkably similar, leading to widespread confusion. Today, we’re going to examine the most common acronyms in digital marketing and explain their meaning.

CTA – Call to Action

A button, link, or image that encourages a website visitor to take action. That action can be anything, from visiting a landing page to downloading a piece of content. To learn more about CTA’s, check out our article: 6 Tips for Creating Better Calls-to-Action.

CTR – Clickthrough Rate

The percentage of your audience that responds to the CTA, taking the next step in your marketing campaign. One can calculate CTR by dividing the number of clicks that a page (or CTA) receives by the number of total opportunities for clicks.

CPC – Cost-Per-Click

The amount of money spent to get one click from digital advertising. CPC is a metric used to measure the cost effectiveness of your campaign. To calculate CPC, divide the total cost of your marketing campaign by the number of clicks you received.

CPM – Cost-Per-Thousand

CPM is a pricing model for digital advertisements where ad space is purchased 1000 impressions at a time. Publishers only need to show the ads to consumers to get paid. CPM is most effective when trying to increase brand awareness.

CPL – Cost-Per-Lead

CPL is a term used in digital advertising. It shows how much one lead costs from a digital ad. CPL is very similar to cost-Per-click (or cost-Per-action) but is more specific. For an action to qualify as a lead, they need to sign up for something on the advertiser’s website.

PPC – Pay-Per-Click

Pay-Per-Click is a model of digital marketing where advertisers pay a fee every time somebody clicks one of their ads. It’s a method of paying for visitors to your site, one that is very different from SEO and earning traffic through organic methods.

SEO – Search Engine Optimization

A mixture of strategy, techniques, and tactics used to increase the number of visitors to your website. The goal of SEO is to rank higher on a search engine’s results page (SERP) for a particular keyword. The higher your website ranks, the more traffic is (typically) generated.

SERP – Search Engine Results Page

The results page on a search engine (such as Google or Bing), generated after a keyword search. The goal of SEO is for your website to place as high as possible on the SERP.

SEM – Search Engine Marketing

Search Engine Marketing is a form of internet marketing that involves using search engines to increase the visibility of your website. SEM primarily involves paid advertisements, but can also include elements of organic SEO.

SMM – Social Media Marketing

SMM is a form of marketing that uses social networking platforms as a marketing tool. The goal of SMM is to create content that users will share with their networks. SMM helps brands increase exposure and broaden the reach of their marketing. Social media marketing is a core component of any inbound marketing strategy.

KPI – Key Performance Indicator

Metrics that demonstrate how effectively a company is achieving key business objectives. KPIs vary between organizations based on; objectives, marketing channels, and the overall level of marketing maturity. For more information on KPIs, check out our article: 6 KPIs of Customer Experience in Financial Services.

RT – Retweet

A retweet is a Twitter-specific method of sharing posts. If somebody RTs you, it means they are sharing your posts with their followers. Counting retweets is a simple (and not very accurate) method of measuring engagement on Twitter. Other simple social media specific metrics you can measure include likes, shares, and comments.

SaaS – Software as a Service

SaaS is a software licensing and delivery model where buyers pay on a subscription basis. Most enterprise software is sold using this model because buyers get lower up-front costs, ongoing support with the product, and do not have to manage physical copies of the product. Purveyors of software enjoy this model because it makes it easier for them to update software for their clients. The SaaS model gives them the ability to update their product continually. 

CMS – Content Management System

A CMS is a system used to manage an organization’s digital content. Using a CMS to power your website could be one of the best investments you make for your business. While a CMS can be a significant investment, it can be a great asset for your business in the long run. To learn more about CMS’s check out our article: 7 Reasons it Might be Time to Upgrade Your Content Management System.

UX – User Experience

UX refers to the overall experience a person has when using a product or service, especially when it concerns how fun and easy it is to use. A positive user experience will help you build trust, and increase the likelihood of a user returning to your website. This guide by Fast Company can help you turn a good UX into something great.

CX – Customer Experience

CX is the product of many interactions between an organization and a customer over the course of their relationship. Every touchpoint throughout the buyer’s journey impacts CX, including digital and more traditional touchpoints (such as a billboard). Customer experience is one of the most discussed concepts in organizations undergoing digital transformation.

For more information on CX, check out our articles:

Are Banks Failing at Customer Experience?

How do Customer Experience Improvements Impact Revenue?

Customer Experience Vs. Digital Experience