Understanding the costs and

benefits of marketing
communications
 Review of previous lecture

 Email marketing
 Affiliate marketing
 Lead generation marketing
 Social marketing
 Viral marketing
 Mobile marketing
 Local marketing
 Personalization
 Customization
 Customer service
 Internet marketing technologies
 Impact of e-commerce features on marketing
 Lecture contents

 Online Marketing Metrics: Lexicon

 Display ads
 Social networks
 Emails
 Online marketing communications : click through
rates
 Online advertising costs
 Web Analytics: Software for Measuring Online
Marketing Results
 Online Marketing Metrics: Lexicon

 In order to understand the process of attracting prospects to your firm’s

Web site or Facebook page via marketing communications and converting
them into customers, you need to be familiar with Web marketing
terminology;
 Display ads

 Impressions
 number of times an ad is served
 Click-through rate (CTR)
 the percentage of people exposed to an online advertisement who actually click
on the banner
 View-through rate (VTR)
 measures the 30-day response rate to an ad
Online Marketing Metrics: Lexicon

 Hits
 number of http requests received by a firm’s server
 Page views
 number of pages requested by visitors
 Stickiness (sometimes called duration)
 It is the average length of time visitors remain at a Web
site.
Online Marketing Metrics: Lexicon

 Unique visitors
 the number of distinct, unique visitors to a site
 Reach
 percentage of the total number of consumers in a
market who will visit a site
 Loyalty
 percentage of purchasers who return in a year
Online Marketing Metrics: Lexicon

 Recency
 average number of days elapsed between visits
 Acquisition rate
 percentage of visitors who register or visit product
pages
 Conversion rate
 percentage of visitors who purchase something
Online Marketing Metrics: Lexicon

 Browse-to-buy ratio
 ratio of items purchased to product views
 View-to-cart ratio
 ratio of “Add to cart” clicks to product views
 Cart conversion rate
 ratio of actual orders to “Add to cart” clicks
Online Marketing Metrics: Lexicon

 Checkout conversion rate

 ratio of actual orders to checkouts started
 Abandonment rate
 % of shoppers who begin a shopping cart, but then fail to
complete it
 Retention rate
 % of existing customers who continue to buy
 Attrition rate
 % of customers who purchase once, but do not return within a
year
Online Marketing Metrics: Lexicon
Social marketing metrics

 Conversation ratio
 number of comments produced per post
 Applause ratio
 number of Likes or Shares per post
 Amplification
 number of re-tweets or re-shares per post
 Sentiment ratio
 ratio of positive comments to total comments
Online Marketing Metrics: Lexicon
Email Metrics

 Open rate
 % of customers who open e-mail
 Delivery rate
 % of e-mail recipients who received e-mail
 Click-through rate (e-mail)
 % of e-mail recipients who clicked through to the offer
 Bounce-back rate
 percentage of e-mails that could not be delivered