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The Online Marketing Terms You Shouldn’t Overlook

Small businesses in particular need to work harder to make themselves visible over their larger competitors. An online marketing firm can be one of the most effective ways of making an impression on your target audience. However, it’s also important to make yourself familiar with some of the essential internet marketing terms so you can gauge the efficiency of your marketing company.

Online Presence

This term refers to the marketing tactics you use to make your business known online. Today, the Internet is the most common method for consumers to research their purchases and even to make a purchase. For this reason, you need to make sure your business can easily be found online, both through your own website and through other popular avenues, such as Yelp and other business directories.


A call-to-action, otherwise known as a CTA, encourages your visitors to complete an action after visiting your website. This portion of your content should be actionable and tell your readers exactly what you want them to do. It can also be useful to include an incentive to encourage readers to complete the action.


A conversion is something you achieve when a visitor to your website decides to make a purchase. While this is the most common definition of a conversion, some online marketing firms consider a conversion to be a successful phone call or email. Tracking your conversions will help you determine the success of your marketing and make any changes that may be required.


Sometimes, the first interaction with a customer doesn’t create a conversion. Remarketing allows you to reach out to your prospects to further the discussion. Reaching out and offering to answer any questions can be the push people need to make a final decision.


Small businesses often rely heavily on referrals from their existing customers to grow. Referrals are individuals who receive a recommendation from a past or existing customer and thus become customers themselves. This can be one of the most powerful methods of online marketing.

Customer Acquisition Cost

Customer acquisition cost (CAC) refers to the amount of money it costs to obtain a customer through your marketing efforts. This cost is calculated by dividing the total cost of an element of your marketing by the number of customers produced directly by those efforts.

Customer Lifetime Value

Similar to the CAC, the customer lifetime value (CLTV) is designed to help you determine the value of each customer you obtain. When you know how much you can expect your customers to spend with your business, you can better calculate how much you can spend on your online marketing.

Online marketing is an essential element if you want your business to succeed. When you fully understand these marketing terms, you will be able to gauge the success of your online marketing firm.