E-commerce:

 E-commerce - buying and selling goods and services online, including physical products, digital
products, services, and software.

Customer journeys and customer journey maps:

 Customer journey: The customer journey refers to the path that a customer takes from initial
awareness of a product or service to the final purchase decision. It includes various touchpoints
and interactions with the brand along the way.
 Pain points: Pain points are specific problems or challenges that customers want to solve.
Understanding these pain points is crucial for businesses to align their marketing efforts with
customer needs and goals.
 Touchpoints: Touchpoints are the specific interactions that customers have with a brand during
their journey. These can include search results, website visits, social media posts, customer
reviews, live chats, emails, and more. Each touchpoint has the potential to shape the customer's
perception of the brand.
 Customer journey map: A customer journey map is a visual representation of the touchpoints
and stages that a typical customer goes through during their journey. It helps businesses
understand the customer experience, identify pain points, and optimize interactions at each
stage.
 Multiple journey maps: Depending on customer segments or personas, businesses can create
multiple journey maps to account for different patterns and behaviors. This allows for
personalized marketing strategies and tailored experiences for specific customer groups.

Media mix refers to the combination of digital channels used and how the budget is allocated.

Attribution and Reporting in Marketing

 Introduction:
o Attribution is the process of determining the touchpoints that mostly influence customer
decisions.
o Uses customer engagement data to understand the effectiveness of each touchpoint.
o Considers the entire customer journey and assigns credit accordingly.
o Common assumption, but may not accurately reflect the customer journey.
o Last Touchpoint Attribution:
 Assigns all credit to the last touchpoint before conversion.
o First Click Attribution:
 Assigns all credit to the first touchpoint that leads to a conversion.
o Linear Attribution:
 Assigns equal credit to each touchpoint along the customer journey.
Marketing funnel:

 Awareness
o This is when a potential customer first encounters a brand and becomes aware of its
existence.
o Metrics:
 Impressions: Total number of times an ad appears on people's screens.
 Reach: Total number of unique individuals who encounter an ad.
 Frequency: How many times each individual encounters the ad in a given
timeframe.
 Consideration
o Some potential customers from the awareness stage start to think about doing business
with the brand, actively exploring options and comparing different brands.
o Metrics:
 Online searches for the business.
 Number of first-time visitors to a website.
 Number of pages per visitor and time spent on a page.
 Email sign-ups and newsletter subscriptions.
 Conversion
o This stage occurs when a potential customer decides to make a purchase and becomes a
customer. Measure the number of conversions (purchases) as a basic metric.
o Metrics:
 Conversion Rate: Percentage of leads or potential customers who convert into
paying customers.
 Average Order Value (AOV): Average amount customers spend per order.
 Customer Lifetime Value (CLV): Value a customer brings to the business over
their entire relationship. Can be calculated = average spent x average frequency
x average time they be as our customer
 Repeat Purchase Rate: Percentage of customers who make repeat purchases.
 Net Promoter Score (NPS): Measure of customer satisfaction and likelihood of
recommending the business.
 Customer Retention Rate: Percentage of customers who continue to engage with
the business.
 Referral Rate: Number of customer referrals received.
 Loyalty
o After the conversion, the goal is to retain and build customer loyalty by providing a
positive experience and reasons to continue doing business with the brand.

Awareness

 Search Engine Optimization (SEO):

 Search Engine Marketing (SEM):
 Display Ads:
 Social Media Marketing:
  Social Media Advertising:
 Video Marketing:
 Influencer Marketing:
 Content Marketing:

Consideration

 Unique Selling Proposition (USP): Clearly communicate why the product or service is better than
the competition. Emphasize the USP frequently to reinforce its value.
 Testimonials:
 Case Studies:
 Remarketing Ads:
 Webinars:
 Email Marketing:
 Social Media Marketing:

Conversion

 Optimize the checkout process:

 Improve product and service photos:
 Enhance product or service copy:
 Incorporate live chat or chatbots:
 Utilize abandoned cart recovery:
 Improve website speed:
 Offer trials or money-back guarantees:
 Conduct A/B tests:
 Consider return rates:

Loyalty

 Reward Programs:
- Incentivize customers to keep coming back by offering rewards or loyalty points.
- Use point-of-sale (POS) systems that integrate reward programs into their software.
- Examples include food apps like Starbucks, Chipotle, and McDonald's
 Email Marketing:
- Consistently engage customers through email campaigns.
- Provide valuable content to the customer to keep them interested and prevent
unsubscribing.
- Educate customers about the brand or share its story to build loyalty
 Social Shares:
- Encourage customers to follow the business on social media platforms.
- Deliver shareable content that customers would want to share with their followers.
 - Leverage the power of social media to expand brand reach and gain organic promotion.
 Remarketing to Paying Customers:
- Utilize ad remarketing to reengage customers who have already made a purchase.
- Recommend related products or add-ons based on their previous purchase.
 Positive Reviews:
- Encourage customers to leave positive reviews about their experience.
- Reviews can be shared on social media, through emails, or posted on the business's
website.
- Positive reviews serve as social proof and can influence others to become customers.
 Birthday and Anniversary Discounts:
- Offer special discounts or incentives on a customer's birthday or the anniversary of their
first purchase.
- Make customers feel appreciated and valued by acknowledging these important dates.
 Freebies:
- Provide complimentary branded items or freebies related to the business.
- These freebies serve as reminders of the brand and can create positive associations.
 Amusing Confirmation Messages:
- Personalize confirmation emails or texts with interesting and engaging content.
- Use descriptive language to create excitement and anticipation about receiving the
product.
- Make the confirmation message memorable and align it with the brand's personality.

Unique terms:

1. Customer acquisition cost (CAC): The average cost of acquiring a paying customer. It includes all
expenses associated with marketing and sales efforts to acquire new customers, such as advertising
costs, sales team salaries, and overhead costs.

2. Customer lifetime value (LTV or CLV): The average revenue generated per customer over a certain
period of time. It represents the total value a customer brings to a business during their entire
relationship with the company.

3. Lifetime ROAS: Return on Advertising Spend (ROAS) is a metric that measures the revenue generated
from advertising campaigns relative to the cost of those campaigns. Lifetime ROAS takes into account the
number of new customers acquired and multiplies it by the total customer lifetime value, then divides it
by the total ad spend.

4. LTV to CAC ratio: The total Customer Lifetime Value (LTV) divided by Customer Acquisition Cost (CAC).
This ratio helps businesses assess the efficiency and profitability of their customer acquisition efforts. A
higher LTV to CAC ratio indicates better profitability.
5. Margin of error: The statistically-calculated difference between a test result and the theoretical result
that could have come from a test with a larger sample size. It quantifies the uncertainty or potential
variability in the results of an experiment or study.

6. Marketing mix models: Statistical models used by advertisers to predict the effectiveness and return
on investment (ROI) of their advertising spend. These models analyze various marketing channels,
campaigns, and their impact on sales or other desired outcomes.

7. Marketing return on investment (ROI): A metric calculated by subtracting the marketing cost from the
total sales growth and dividing the result by the marketing cost. It measures the profitability of
marketing efforts and indicates how effectively marketing initiatives are contributing to revenue growth.

8. Media mix models: Similar to marketing mix models, these are statistical models that help advertisers
determine the optimal allocation of their marketing budget across different media channels (such as TV,
radio, print, digital) to achieve their objectives.

9. Multivariable testing: Also known as multivariate testing, this method involves comparing two or more
versions of content with several differing variables to determine which combination yields better results.
It allows businesses to test multiple variables simultaneously to understand their individual and
combined impact on performance.

10. Predicted lifetime value (pLTV): The predicted revenue generated by customers over a period of time,
which includes future interactions and transactions. It is an estimation based on historical data and
predictive analytics.

11. Redirect testing: A method of testing where two ads or webpages with different URLs are tested
against each other to determine which yields better results. It helps evaluate the impact of different
versions or variations on user behavior and performance metrics.

12. Return on investment (ROI): A ratio of net income (revenue generated minus expenses) to
investment (money spent). ROI is a measure of the profitability or efficiency of an investment or
initiative.

13. Statistical significance: A determination of whether a test result could be due to random chance or
represents a true difference or effect. Statistical significance helps evaluate the reliability and validity of
experimental or observational data.

14. Total LTV: The average revenue generated per customer over a period of time that includes the past
to the present. It represents the total value a customer has contributed to a business since their initial
acquisition.

15. Variants: Different versions of the same content served to users during an A/B test or other types of
experiments. Variants allow businesses to compare the performance and effectiveness of different
versions to determine the optimal one.

16. Average order value (AOV): The average value of individual orders placed by customers. It is
calculated by dividing the total revenue generated from orders by the number of orders.
17. Comma-separated values (CSV): A file format commonly used for storing and exchanging data. In a
CSV file, each data value is separated by a comma, allowing for easy import and export of data across
different software applications.

18. Cookie: A small file saved on computers by websites to store user preferences, session information,
or other data. Cookies enable websites to remember users and provide personalized experiences.

19. Cost per acquisition (CPA): The average cost of acquiring a potential customer. It represents the cost
associated with converting a lead or prospect into a paying customer.

20. Cost per click (CPC): The amount a marketer pays when someone clicks on their ad. It is a common
pricing model used in online advertising, where advertisers only pay when a user interacts with their ad
by clicking on it.

21. Federated Learning of Cohorts (FLoC): A privacy-focused technology developed by Google as an

alternative to using individual tracking cookies for online advertising. FLoC groups people with similar
browsing characteristics into cohorts, preserving privacy while still enabling targeted advertising.

22. Incremental sales: The sales during a specific period that are above and beyond what a business
normally sells in that timeframe. Incremental sales are often used to measure the impact of specific
marketing campaigns or initiatives.

23. Macro conversion: A completed purchase transaction, which represents the primary goal of a
business. It could be a customer making a purchase, subscribing to a service, or completing any other
desired action.

24. Media mix: The combination of digital channels that marketers use to reach their goals and how they
allocate their marketing budget among those channels. The media mix may include various channels
such as search ads, display ads, social media, email marketing, etc.

25. Media plan: A document that contains details about where, when, and how often an ad will appear
across all media channels. It outlines the specific media placements and schedules for advertising
campaigns.

26. Metric: A quantifiable measurement used to track and assess a business objective. Metrics provide
numerical insights into various aspects of performance, such as revenue, customer acquisition,
conversion rate, etc.

27. Micro conversion: A completed response or action that indicates a user is moving toward a
completed purchase transaction. Examples include signing up for a newsletter, adding items to a
shopping cart, or viewing a specific page.

28. Performance goal: A target that has a measurable, numeric value. Performance goals are set to track
and evaluate the success of marketing initiatives and are often aligned with broader business objectives.

29. Personalized advertising: A type of advertising that relies on user interest or behavior data to
determine the right audience for ads. It aims to deliver relevant and tailored messages to individual
users based on their preferences, demographics, or online behavior.
30. Predictive analytics: The use of historical data, statistical algorithms, and machine learning
techniques to make predictions or forecasts about future events or behaviors. Predictive analytics helps
businesses anticipate customer behavior, trends, and outcomes.

31. Segment: A subset of analytics data that features a common characteristic. Segments are used to
group users or events based on specific criteria, allowing for more focused analysis and targeting.
Examples include user segments (e.g., new users, returning users), event segments (e.g., conversions,
clicks), or session segments (e.g., sessions with specific actions).

32. Split testing: Also known as A/B testing, it is a method of testing where two or more versions of
content (e.g., webpages, ads, emails) are compared to determine which version performs better. It helps
identify the most effective elements or variations to optimize marketing efforts.

33. Tag management system (TMS): A tool or platform that enables the deployment and management of
various tags (pieces of code) for multiple advertising platforms and systems in a simple and centralized
way. TMS stream lines the process of implementing and updating tags on websites or other digital
properties.

34. Target audience: The specific group of people who are most likely to be interested in and purchase a
company's products or services. Target audiences are identified based on various demographic,
psychographic, and behavioral characteristics.

35. Third-party cookies: Cookies that are not developed and distributed by a website's owner but are
distributed through third-party tools such as advertising networks or analytics platforms. Third-party
cookies track user behavior across multiple websites to provide targeted advertising or analytics services.

36. UTM: Stands for Urchin Tracking Module. It is a text tag added to a URL to help monitor and track the
performance of specific content or campaigns. UTM parameters allow businesses to identify the source,
medium, campaign, and other details of incoming traffic to their website.

37. Conversion paths: A feature in Google Analytics that allows marketers to view the sequence of
touchpoints or interactions a user goes through before completing a conversion. It provides insights into
the various channels and steps that contribute to a conversion.

38. Cross-channel attribution: A model in Google Analytics that attributes a percentage of a conversion
to all advertising channels that had touchpoints with the user. Cross-channel attribution aims to allocate
credit to different marketing channels based on their influence in the user's conversion journey.

39. Data-driven attribution: A model in Google Analytics that uses historical data from an account to
calculate the percentage of a conversion to attribute to each marketing channel. It leverages statistical
algorithms to assign credit to channels based on their contribution to conversions.

40. Dimensions: In the context of Google Analytics, dimensions are attributes or characteristics of an
event or user that provide additional context or information. Examples of dimensions include the
source/medium of traffic, user demographics, device type, or geographic location.

41. Event: In Google Analytics, an event is an activity or interaction on a website or digital property that
triggers data collection. Events can include actions like button clicks, video plays, form submissions, or
any other user engagement.
42. Smart campaign: A feature in Google Ads that allows marketers to create and run ads on Google
Search, Google Maps, Gmail, YouTube, and certain Google partner websites without the need for a
dedicated website. Smart campaigns leverage machine learning and automation to optimize ad
performance.

43. Variables: In the context of Google Analytics, variables refer to the segments, dimensions, and
metrics configured in a Google Analytics account. Variables help businesses define and track specific
aspects of user behavior, website performance, or marketing efforts.

44. Open rate: The percentage of users who open an email. Calculation: Number of people who open the
email / Number of emails delivered.

45. Click-to-open rate: The percentage of email recipients who clicked on one or more links in an email.
Calculation: Total clicks / Number of unique opens.

46. Unsubscribe rate: The percentage of email recipients who unsubscribe from the send list after
opening an email. Calculation: Number of unsubscribes / Number of emails delivered.

47. Complaint rate: The percentage of complaints recipients send to mailbox providers about the email.
Calculation: Number of complaints / Total number of emails delivered to subscribers.

48. Conversion rate: The percentage of email recipients who clicked on a link in the email and took a
desired action. Calculation: amount of conversions / Number of emails delivered.

49. Forward rate: The percentage of recipients who share or forward the email. Calculation: amount of
forwards / Number of emails delivered.

50. List growth rate: The rate at which the email list grows. Calculation: [(Number of new subscribers -
number of unsubscribes) / Total number of email addresses] x 100.

51. Bounce rate: The percentage of emails sent that could not be delivered to the recipient's inbox.
Calculation: (Total number of bounced emails / Emails sent) x 100.

52. Campaign return on investment (ROI): The ratio of money made to money spent on the email
campaign. Calculation: (Total revenue / Total spent) x 100

The 4 Ps of Marketing:

 Product: Offering innovative products that meet customer needs and have a unique brand
proposition.
 Price: Determining the right pricing strategy that influences consumers' purchasing decisions.
 Promotion: Promoting the offerings to potential customers through various channels, such as
television advertising and sales promotions.
 Placement: Physically delivering the product to customers through distributors and retail stores.

branding
  Strong brands usually charge higher prices, enjoy greater loyalty, and have higher profitability,
resulting in brand equity. Brand equity is a valuable intangible asset for firms.
 Brand management involves choosing brand elements, building associations through advertising,
and protecting the brand through trademarks. They are responsible for managing the health of
the brand.
 Promotion is an essential aspect of the marketing mix, Coke's promotional success is evident in
its brand recognition, as the word "Coke" is the second most recognized word on the planet after
"OK."

Co- creation

 Customer co-creation involves customers contributing to the design and development of new
product offerings. It can be facilitated through web-based platforms and digital tools.
 Now the Challenge is customers may be reluctant to contribute, and most submissions may not
be useful.
 Two main methods for motivating customers to engage in co-creation are social recognition and
financial rewards. Successful firms often employ both types of rewards, providing recognition
and incentives for selected contributions.
 co-creation can take different forms, such as collaborating, co-designing, tinkering, and
submitting.
 Studies have shown that design crowdsourcing can positively impact the sales of products with
low initial customer appeal but high technological complexity.
 Companies should aim to generate a large number of ideas, provide authentic reasons for
customer involvement, offer rewards and recognition, and involve the broader customer
community in the evaluation and selection process to avoid alienating contributors.

Key Points for Successful Customer Co-Creation:

1. The Rule of One:

- Customer ideas can be idiosyncratic and may not appeal to a broader customer base.
- Only about one percent of customer contributions are typically suitable for
implementation.
- Companies should seek many ideas and provide incentives for customer participation.

2. Authenticity:

- Customers are more likely to contribute ideas to companies perceived as having an

authentic need for their help.
- Customers may be skeptical of companies attempting to exploit their efforts for
commercial gain.

3. Patches and Badges:

- Successful co-creators should be rewarded, both financially and through visible symbols
of recognition.
 - Examples include NASA's special patches for co-creators.

4. Avoiding Rejection:

- Engage the broader customer community in evaluating and selecting contributions.

- This reduces the risk of alienating customers and shifts the responsibility of rejecting
ideas away from the company.

Sharing economy

The sharing economy has indeed revolutionized the way individuals connect and access resources. It has
introduced new business models and platforms that facilitate the temporary sharing of goods and
services. Let's delve deeper into the examples you provided and explore the key characteristics of the
sharing economy.

1. Uber: Uber is a prominent example of the sharing economy, offering ride-sharing services
through its digital platform. It connects riders with drivers who use their personal vehicles to
provide transportation services. Uber's platform operates as a two-sided marketplace, attracting
both riders and drivers. The company has expanded its offerings to include food delivery (Uber
Eats), motorcycle transportation in certain countries, bicycle rentals, and temporary staffing
(Uber Works).
2. Rent The Runway (RTR): RTR is a sharing platform for designer clothing, allowing customers to
rent high-end dresses, sweaters, and jackets at a fraction of the cost of purchasing them. Unlike
Uber, RTR owns the products it shares, eliminating the need for external providers. The platform
offers different monthly plans for customers to access a variety of fashion items. RTR also has
physical retail locations in major cities, combining digital and physical experiences.
3. LendingClub: LendingClub is a peer-to-peer lending platform, connecting borrowers with
individual investors. It operates as an "Uber for money," where individuals can request loans
through the platform, and investors can choose to fund these loans with amounts as low as $25.
LendingClub provides a way for borrowers to access funds while offering investors the
opportunity to earn interest on their investments.

The key characteristics of the sharing economy can be summarized as follows:

 Two-Sided Platform: Sharing economy platforms typically operate as two-sided marketplaces,

catering to both providers and users. They need to attract and balance the supply and demand
sides of their business. This can be a challenging task, as it requires marketing efforts directed at
both customers and providers.
 Crowdsourced Supply: Many sharing platforms rely on external individuals or businesses to
provide the resources being shared. For example, Uber drivers, Airbnb hosts, or investors on
LendingClub. These external providers offer their assets or services on the platform, but they are
not direct employees of the company. This decentralized supply introduces challenges related to
quality control and consistency.
  Access Not Ownership: The sharing economy emphasizes temporary access to resources rather
than ownership. This allows users to try out products and services without the burden of
ownership costs. Access-based models promote resource efficiency and utilization, as goods or
services can be shared among multiple users. Brand attachment and identification may be less
important in the sharing economy, as users tend to prioritize the experience and interaction with
the service provider rather than the specific brand of the resource.

UGC

 This digital landscape has democratized promotion through user-generated content (UGC). UGC
refers to the content created and shared by a product's customers rather than the company
itself. It is characterized by its creative nature, being posted online and accessible to others.
While UGC is often non-commercial in nature, it indirectly promotes products and brands in an
authentic and subtle manner.
 the impact of feedback types (cooperation, individualistic, and competition) depended on an
individual's gender. Cooperation was the strongest motivator for women, while competition was
the strongest motivator for men. This suggests that firms should tailor the type of feedback
given to individuals based on their gender to effectively motivate UGC contributions.
 the differences in UGC generated on smartphones versus personal computers. They found that
UGC created on smartphones tends to be shorter, less detailed, more emotional, and more
positive in nature compared to UGC created on personal computers. Firms should encourage
customers to generate UGC on smartphones to leverage its unique characteristics.

strategies to encourage and leverage UGC

 Ask customers to share: Many internet users are willing to contribute their ideas and
experiences. Firms should actively encourage customer participation through social media
channels and other platforms, initiating a two-way conversation with their customers.
 Be responsive: When customers contribute UGC, firms should respond and engage with them.
This responsiveness can be achieved through monitoring and actively participating in online
discussions. Financial incentives or rewards can also be provided to encourage positive
contributions.
 Identify and reward influential contributors: The Pareto Principle applies to UGC, where a small
percentage of contributors generate the majority of content. Firms should identify these
influential contributors and recognize their efforts through rewards or incentives.
 Integrate UGC with traditional promotion: UGC should not be seen as a separate activity but
rather integrated with traditional promotional efforts. Firms can showcase UGC in their
advertising campaigns, linking customer-generated content with their brand narratives to create
a powerful and authentic message.

Doppelganger Brand Image

- Brand image helps differentiate products from competitors.

 - Focus on intangible features and emotional appeal.
- Some customers ignore or dislike such appeals.
- Doppelganger brand image: Negative alter-ego of a brand.
- Created negative image of Hummer car owners as environmental jerks.
- New Pepsi logo Criticized for being a waste of money, led to doppelganger versions.
- United. Airlines incident Passenger forcefully removed from the plane, led to negative
images.
- Large, well-known brands with high awareness. More likely to attract attention from
anti-brand activists.

Pay what you want (PWYW)

- It is an intriguing pricing concept that allows customers to decide how much they want
to pay for a particular product or service. This strategy recognizes that different
customers may have different assessments of value and aims to capture a wider range of
customers by allowing them to self-segment based on their willingness to pay. the idea
of customers paying less than the suggested price or even nothing may seem
counterintuitive, studies have shown that many people are not solely driven by self-
interest. For example, a study on a pay what you want restaurant in Vienna found that
over 99% of patrons paid for the food they ate.

Freemium

- Freemium is a business model commonly used in the software and digital services
industry. The term "freemium" is a combination of the words "free" and "premium." In
this model, a company offers a basic version of their product or service for free, while
also providing additional features or advanced functionality at a cost, typically through a
subscription or in-app purchases.
- The goal of the freemium model is to attract a large user base by offering a valuable free
product or service, with the hope that a percentage of those users will eventually
convert to paying customers. The free version serves as a marketing tool to showcase
the product's capabilities and generate interest.

 Notes on Newsletter Growth Strategies:

 Offer incentives:
 Exclusive content, resources, events, or discounts can entice
subscriptions.
 Incentives should align with the target audience's interests and needs.
 Collaborate with others:
 Collaborate with content creators or thought leaders in your niche.
 Guest writing, podcast appearances, or joint webinars can expand your
reach.

 Promote word-of-mouth:
 Encourage existing subscribers to share your newsletter.
 Include social sharing buttons within newsletters for easy sharing.

 Content distribution:
 Publish content on platforms like Twitter and LinkedIn.
 Share content with friends and colleagues.
 Optimize social media bios with clear calls to action for sign-ups.

 Cross-promotion and recommendations:

 Partner with non-competitive newsletters for cross-promotion.
 Leverage recommendation features on platforms like Substack.

 Referral programs:
 Implement milestone-based referral programs for existing subscribers.
 Offer rewards for subscribers who refer others to your newsletter.

 Monetization and paid tactics:

 Explore monetization options like ads, sponsored content, or selling
digital products/services.
 Utilize platforms such as Facebook, Instagram, TikTok, and Twitter for
paid marketing.

 Facebook Ads and targeting:

 Facebook Ads offer effective targeting options and a large user base.
 Create compelling landing pages and engaging ad creative.
 Define target audiences based on similar publications or lookalike
audiences.

 Maximize one channel before diversification:

  Focus on maximizing the potential of one channel before expanding to
others.
 Squeeze the most out of a single channel for better results and cost-
effectiveness.

 Facebook and TikTok Ads:

 User-generated content (UGC) videos can be used as ads on Facebook,
TikTok, and Instagram for growth.

 Affiliate marketing:
 Affiliate marketing can be challenging for newsletters but can be
successful.
 Co-registration affiliates can help acquire subscribers at a low cost.

Market penetration

Measurement of how many people are using your product and how many estimated people are on that
market

Calculated as

This will give you sales potential = Your Total sales/ Total market sales x 100

This will give you customer potential = Your total consumer/ Total market share x 100