eCommerce Glossary ShopeGrow

The world of eCommerce is constantly evolving. With new terms being introduced and old ones being discarded, it can be difficult to keep up with what’s in and what’s out (especially when you’re trying to run a business). 

That’s why we’ve compiled 190 must-know definitions for any online retailer in 2022 (and beyond!).

Some of these terms are already widely used; others will become more popular over the next few years.

Either way, our list includes everything from A/B testing to Z-score calculation that you’ll need! Come back every six months or so for updates on this blog post as well as an updated glossary index linking back to each term. We hope that by reading through this eCommerce glossary.

What is an eCommerce Glossary?

Table of Contents

An eCommerce glossary or a list of terms that are used in the eCommerce industry to signify certain words and phrases can help you to make sense of things.

An eCommerce glossary is important because it allows you to increase your knowledge of certain words and phrases.

If you’re new to the industry, this article will help you gain insight into some of the most common terms used so far.

Do I need to Know all eCommerce Glossary terms now?

No. you don’t need to know all these terms to succeed in your eCommerce business.

No, you don’t need to know every single eCommerce glossary term at this point in time.

If you want to stay up-to-date with the most common terms being used in the eCommerce industry, bookmark this article and come back often.

As time goes on, new terms will be added so you’ll never be out of the loop.

Here are 190 of the most commonly used eCommerce glossary terms:

A

A/B testing

A/B testing - eCommerce Glossary terms

A/B testing is a method of comparing two identical or nearly identical things, such as two different website layouts or a promotional deal in a group of customers. When you conduct an A/B test, the goal is to evaluate the effects on conversion rates.

An A/B test can be run in any number of different ways. The most common type of A/B test is when participants are randomly assigned to either one or the other version.

This type of A/B test is often referred to as a “split test.”

Most eCommerce marketers use A/B testing methodology in their landing pages, customer emails, and product pricing.

Abandoned cart emails

Abandoned cart emails - eCommerce Glossary terms

Abandoned cart emails are a way of reminding shoppers that they’ve left items in their basket and directing them to the checkout.

When shoppers add items to their basket but don’t make a purchase, they may receive an email from the retailer with a list of the products they were interested in. The idea is to get them back on the site and make a purchase.

Abandoned cart emails, also known as win-back emails, are a great way to get lost sales. They’re sent automatically after a certain period of time has elapsed and typically contain a link to the shopping cart so that the customer can complete their purchase.

Abandoned cart emails work to remind customers of products they left in the cart – enticing them to come back to purchase what they are already so close to buying.

According to Wikipedia, The typical shopping cart abandonment rate for online retailers varies between 60% and 80%, with an average of 71.4%.

According to SaleCycle, nearly half of all abandoned cart emails are opened and over a third of clicks lead to purchases back on site.

eCommerce glossary terms PDF

Abandoned carts

Abandoned carts are when a customer adds an item to their cart but doesn’t finish checking out due to various reasons. This includes the checkout process being too long, no shipping address or payment options, or other issues.

The exact rate of abandoned carts is difficult to track, but it’s estimated that, on average, 30% of all eCommerce carts are abandoned.

What causes customers to abandon their carts?

There are many reasons why people abandon their carts. For example:

  1. The checkout process was too long (shoppers don’t want to spend a long time going through a site).
  2. They don’t have a shipping address or payment option (such as PayPal) to make the purchase.
  3. The shopping cart is too difficult to use, and they can’t find what they’re looking for.

Abandonment

Abandonment is when a customer leaves your website without buying anything. You can reduce abandonment rates by offering free shipping, providing product reviews, and giving informative content.

Address verification service (AVS)

Address verification service (AVS) is the process of checking that the billing address matches what is registered on your credit card.

A verification service is used to check that the billing address provided by the customer matches what is registered on their credit card. Address verification service (AVS) will also prevent an incorrect, but valid, billing address from being provided during checkout.

Affiliate marketing

Affiliate marketing is a type of marketing in which the affiliate earns commissions for every lead or sale that they generate.

There are two types of affiliate marketing:

  1. Pay per click (PPC): where the affiliates are paid when someone clicks on their link to buy goods
  2. Pay per lead (PPL): where the affiliates earn a commission when there is a conversion

The benefits of using this type of marketing strategy include:

  • No fulfillment or shipping costs.
  • All successful sales are guaranteed.
  • Offers intangible products with little to no risk in product return rates.

An affiliate’s success is dependent on how well its marketing strategies pay off.

Application Programming Interface (API)

Application Programming Interfaces are programming tools that allow communication between two systems. APIs can be written in any language and are often designed to work with a specific type of software.

Many APIs are available for eCommerce platforms, which is why they are so popular among merchants.

API stands for “application programming interface.” An API is a code that allows one program to communicate with another.

Sometimes, an API will make it easier for developers to access information that would otherwise require complicated procedures, while others help programmers write their own programs that rely on third-party services or software libraries.

An application programming interface (API) is an interface allowing access to a computer program or computing system, or to some of its functions.

An API may include specifications for routines, data structures, object classes, and protocols used (exported) by the systems.

Assisted conversions

Assisted conversions are also known as assisted sales. This is a more common type of conversion where you have some form of assistance from the seller in the final stages before making a purchase.

A lot of times, these types of conversions are found on online marketplaces. A few examples include Yelp, Trulia, and Amazon.

They can also be found on e-commerce websites that offer functionality that you might not find anywhere else.

For example, imagine that you’re looking for a newer version of an iPad or iPhone but don’t know what to do next so you reach out to the seller.

The seller will then assist you by providing information about other similar products if they don’t have what you’re looking for.

Attribution model

An attribution model is a methodology of apportioning credit for conversions to differentiating marketing touchpoints.

Authorization

An authorization is a legal document that authorizes another person to act on your behalf.

Average order value

The average order value is the total dollar amount of all the orders that are made. This includes any discounts or coupon codes. Organizations can use this number to measure their success. The higher the average order value, the more successful the organization is.

Average Revenue Per User (ARPU)

ARPU is the total annual revenue that is generated by a company’s users, divided by the number of users.

It is an important metric for retailers because it measures how well they are converting visitors into customers.

ARPU can be calculated by dividing annual revenue by the number of active subscribers or average monthly user spend multiplied by 12.

This metric measures how many dollars each individual user spends per year on average (i.e., ARPU = Annual Revenue / Number of Active Subscribers).

Some companies count inactive members as well, but others only count active members in their ARPU calculation.

There are different ways to calculate ARPU, and the industry standard is to divide a company’s annual revenue by its active subscribers.

However, companies may also define “active subscriber” differently: There may be differences in what types of members or orders they include in their calculation and whether or not they include inactive members.

Therefore, it’s important to note that each company calculates ARPU differently, and it’s crucial to check the specific details of their calculations.

Average time on site

The average time that a visitor spends on a site before they leave, according to Google Analytics. It is an average of the duration from when the visitor enters the site to when they exit.

On average, customers spend about 1.5 minutes on the site before they make a purchase.

The time spent on the site can depend on multiple things. For example, if you’re shopping for office supplies to furnish your cubicle, you might spend more time looking at different products than if you were shopping for clothes.

Average Time Spent

The average time spent is the total time spent while shopping on a website for a specific period of time.

The time spent has been calculated based on the duration of your visit to the site.

According to a study that was conducted by Nielsen, the average time spent on an online shopping session is 17 minutes and 40 seconds so far this year.

B

Behavioral pattern

answer the above question in an informative way

A behavioral pattern in eCommerce is an identifiable behavior or habit of a consumer that can be tracked with the intent of improving your marketing campaigns. For example, you could track what people are searching for on their devices to see what ads they’re more interested in.

BFCM – Black Friday Cyber Monday

BFCM is a term used in the eCommerce industry to denote a retail event that occurs annually from Friday, November 23rd through Cyber Monday, November 27th.

The term is derived from Black Friday and Cyber Monday respectively which are popular retail shopping days in the United States.

BFCM is also sometimes referred to as “Cyber Week” which can be seen as a reference to the shortened time frame of the initiative relative to Black Friday and Cyber Monday.

BFCM typically sees heavy internet traffic on sites such as Amazon because of promotions and discounts offered during this period.

Black Friday and Cyber Monday are not the same days of the week, they do however occur within a few days of each other. The time frame is also known as “Black November”.

Billing Address

The billing address is the address where vendors send the product to their buyers.

The Billing Address is the address that can be used to confirm that you are over 18 years of age. The billing address is often the same as the shipping address.

Blog

A blog in the eCommerce industry is a platform where information about a company, product, or service is published for readers.

Blogs are generally used to market a product or service or to interact with customers by providing information related to the company’s field of expertise.

But in General, A blog is a word that means weblog and it’s something that can be updated in real-time.

It usually contains the thoughts and opinions of the person who is running them, and they’re typically written by someone with an expert or specialist knowledge about the topic.

Bottom of the Funnel

The bottom of the funnel is a term that is used in the eCommerce industry to describe a period of time when a potential customer begins to explore a product.

It represents the period before a purchase is made and usually occurs after an online shopper has been exposed to an advertisement for a product.

A customer’s journey at the bottom of the funnel may include viewing multiple pages on the website, scrolling through blog feeds, or flipping through various social media posts.

The goal of such content is to prompt customers to make their first purchase with your company.

Bounce Rate

The bounce rate is the number of visits to a web page where the visitor leaves without viewing any other pages on the website.

The bounce rate is important to the eCommerce industry as it can help companies determine how interested a visitor is in their site and help them refine their marketing strategies.

A high bounce rate could indicate that your content isn’t relevant to visitors or that visitors don’t understand why they should spend time on your site instead of moving onto another one.

A low bounce rate could suggest that you are keeping visitors engaged by providing relevant information in the proper areas and not putting yourself in a position where Google’s algorithms (and potential visitors) see your site as irrelevant or unhelpful.

Brand

The brand is the identity of the business, the face of the company. The term simply refers to everything that communicates your brand’s values.

The brand is the most important and powerful tool in an eCommerce business. An established and well-known brand can make selling online much easier because it will be recognized by a large number of consumers, which means they’re more likely to buy from you, instead of taking their business elsewhere.

Branding

Branding is a set of different characteristics that are used in order to create an impression in the minds of the customers.

It includes everything from the logo and colors, to the fonts and layout.

Brick and Mortar Store

Brick-and-mortar stores are physical storefronts where customers can go to purchase products in person.

Sometimes, these stores are referred to as in-person stores in order to make them more distinct from what an online retail business is.

These kinds of stores are usually found in shopping malls, dress shops, or fabric shops. These kinds of stores are also known as traditional brick-and-mortar stores.

Business Blogging

Business blogging is the act of creating a blog post that is related to business. A blog can be considered a type of content marketing.

Blogging about an organization’s own products or services is an example of this. Business blogging has exploded in recent years, and many organizations have taken advantage of it.

Not only does it provide them with free marketing, but it also helps them to connect with their audiences on a more personal level which generates customer loyalty in the long run.

Business to Business (B2B)

The term B2B is an industry term that stands for business to business.

It’s used in the context of eCommerce to refer to online transactions between two companies.

These types of transactions are often considered less risky and more reliable because one company acts as a “seller” and the other as a “buyer.”

In these cases, exchanges are typically regulated by private contracts.

Business to Consumer (B2C)

Business-to-consumer, or B2C, refers to transactions where one company acts as a “seller” and Consumer acts as a “buyer.”

In this type of transaction, there is a risk that the buyer will not pay for their purchase or that they’ll make too many returns.

These types of transactions are common in the retail industry and B2C eCommerce is no different.

Buyers Persona

Buyers Persona in the eCommerce industry is a representation of your ideal customer based on demographics and psychographics.

The persona of the buyer is the buyer’s assumed attributes, needs, and preferences in an eCommerce environment.

This is mainly due to their lifestyle, occupation, age, income level, marital status, family size, purchasing frequency, etc.

Clients can create a buyer persona by identifying these same characteristics in themselves and then determining how they may differ from others.

It’s important because this allows businesses to put themselves into the shoes of their customers or target market.

This can prove to be advantageous as it will help them determine which products offer the best value, price point, and overall benefit for their customers.

C

Call to Action CTA

Call-to-Action refers to the button that is used on a website with the intention of directing users to click it.

The CTA can essentially be used for an array of different purposes, one being to purchase a product or service online.

Campaigns

A campaign in the eCommerce industry is a group of related marketing tasks that are coordinated.

A campaign can be used to promote an event, collect email addresses, generate traffic, sell products, increase brand awareness, or just about anything.

Cart abandonment rate

Cart abandonment rate is the rate of visitors who added items to their shopping carts on an eCommerce site but left without completing the purchase.

The metric can be calculated by taking the total number of visitors who initiated checkout divided by the number of all orders placed.

You can learn more about the latest cart abandonment rate here https://baymard.com/lists/cart-abandonment-rate

Cascading Style Sheets – CSS

The Cascading Style Sheets are a type of code that is used to describe how HTML layouts should be displayed in the browser.

Chargebacks

A chargeback occurs when a customer disputes a charge because they falsely believe they didn’t make the purchase.

The customer could be unhappy with the product or service and ask for their money back. It is possible to recover from this type of transaction, but it can be tedious and time-consuming.

Churn Rate

Churn rate refers to the rate of customer loss in a particular period over a total number of customers in that period.

The higher the churn rate, the less likely you are to gain new customers.

It is also an important measure of business health and how many customers are actually buying products from you each month.

Click-Through-Rate (CTR)

The click-through rate is how many people click on certain elements on the website.

A high click-through rate will make it easier to generate more sales because the higher your CTR, the less money you will have to spend on advertising.

A low CTR will mean that you’ll end up spending a lot of money without getting much in return.

Some factors affecting your CTR are whether or not your website is mobile-friendly, how good your website content is, and how long your ads are.

Click-through rates are usually calculated on a monthly basis.

Click-to-open rate (CTOR)

CTOR is a click-through rate for a particular page. It is the number of clicks on a specific link to open a page divided by the number of impressions on that link. The result is usually expressed as a percentage.

The term CTR stands for click-through rate and CTOR stands for click-to-open rate.

The difference between CTR and CTOR is that when it comes to CTR, the focus is just on the clicks, while in CTOR, the focus is also on whether or not someone was able to actually open up the content when they clicked on the link.

Clicks

Clicks refer to any and all clickable links that exist on the page. Along with links, we also include buttons and banners.

Closed-Loop Marketing

Closed-loop marketing is a way of engaging with customers through various channels. It can include one-to-one communications, tailored messages, and custom offers that are personalized to the customer’s needs.

This operates as a process where customers can expect a sense of personalization from the company.

This means they expect to have their needs met and addressed by the company so they can maintain an ongoing relationship with them.

How do you implement Closed-Loop Marketing?

There are six steps to follow if you want to implement closed-loop marketing.

  1. Reach out to customers through email, SMS, apps, push notifications, and social media platforms.
  2. Gather the contact and demographic information for each of your customers. You will need this to personalize and tailor the communications you send out.
  3. Adapt to their behavior, needs, desires, or preferences by using customer analytics or insights that are provided by tools like Google Analytics.
  4. Implement a simple marketing system to replicate these steps with all of your customers. This will ensure that every one of them is treated fairly.
  5. Continuously monitor your marketing process to make sure it is working as intended and keep tweaking it over time.
  6. Through A/B testing, let customer analytics guide you to what performs best with customers so you can optimize your business processes for greater impact.

Cohort Analysis

In the eCommerce industry, cohort analysis is fundamental to determining the relationship between marketing activities and revenue growth.

For example, checking whether a particular advertising channel brings more revenue by segmenting your customers into cohorts based on the acquisition channels will enable you to make informed decisions about where you should spend your money for maximum ROI.

In general, cohort analysis is a statistically significant subset of a sampling population that is followed over a period of time to measure the effects of an intervention or treatment. Cohort analysis will look at a group of people and identify those who have been exposed to an event, such as Millennials.

Then, it will follow this group over time and monitor how they find themselves different from those who have not been exposed to that event, such as Generation Z.

In doing so, you could figure out whether the effect of this event has been beneficial or negative for these two groups.

Comma Separated Values (CSV)

Comma Separated Values in the eCommerce industry are the most common type of executable file for data extraction. CSV files can be created as a result of spreadsheets, databases, emails, and other files.

CSV is used by applications like Excel, Google Analytics, Google Sheets, Constant Contact, Shopify, and many more. The columns are separated by commas and rows are separated by line feeds or newline characters.

The following table gives an example of a CSV file:

“Header”,”Value1″,”Value2″,”Value3″

“Name”,”Adam”, “N/A”, “Male”

“Company”,”Microsoft”, “Acme Inc.”,”US”

“Date Of Birth”,”1/1/1990″, “N/A”, “”

As you can see, CSV files are quite easy to read and learn how to work with.

Due to their popularity, these files are often used as a data export format in different software.

They’re also used as a reference for data import purposes. While the data cannot be directly imported to other programs, it’s often used as a reference for import accounts.

Content Management System (CMS )

A Content Management System is software that is used for the creation and management of content. When there are too many pages on your website, it can be time-consuming to update them all.

A CMS makes it easier to manage these pages. This software has many different functions. These functions can include scheduling posts, adding tracking codes, adding meta tags, reordering posts, and giving access to different users who are responsible for editing specific pages.

A CMS can include customer relationship management (CRM) functions to keep track of customers who have visited your website, what pages they visited, and so on.

This comes in extremely handy for remarketing purposes (“remarketing” is the practice of showing ads to people who have already visited your site).

A CMS can be used with or without a content management framework (CMF). A CMF is basically a design template that allows you to create content within the system.

In eCommerce, a CMS is needed because it gives you the freedom to control your site – add pages and remove pages, and add images and text in the way that best suits you.

An example of an eCommerce CMS would be Shopify.

Content marketing

Content marketing is the art of producing content to promote a product or service. The goal of content marketing is to entice potential customers, inform them about the company, and create trust with them through their interactions with your company’s content.

The word “content” comes from Latin contentum, which means “to fill” or “to supply.” So, when you’re providing information on something that will fill someone’s needs, you’re giving them content. Content can come in many forms- newspapers articles, magazines articles, books.

Content marketing in the eCommerce industry is the use of content for the purpose of driving traffic, leads, and sales. Content marketing includes publishing articles to your site or blog, videos on YouTube, guest posts, social media shares, influencer marketing, social bookmarking/sharing/liking, etc.

Content Optimization System (COS)

A Content Optimization System (COS) is a system that automates the process of optimizing the content on a web page.

The COS provides a way of measuring what content is or isn’t working for a specific audience and then making adjustments accordingly.

The COS also does this through automation, meaning it doesn’t require time from a human being to make these adjustments.

Conversion

Conversion in the eCommerce industry is the action of a customer converting to a buyer.

It’s important to know that conversion rates can be used as a way for marketers and retailers to measure the effectiveness of their advertisements and marketing campaigns.

Conversion rates vary depending on the product type, industry, and company size.

Conversion Funnel

The conversion funnel is a customer journey that leads to a decision to convert.

The conversion funnel is the process your potential customers go through before finally purchasing your product or service.

A salesperson can help guide them through this, but you also need to pretty much build it for them too if you want them to buy anything from you.

Though people at different stages of the funnel are driven by different motivations, there are always five steps they’ll need to complete before converting:

  1. Building awareness
  2. Gathering information
  3. Evaluating and comparing alternatives
  4. Making a commitment.
  5. Performing an action.

Conversion Path

A conversion path is a path a customer takes to become a sale.

The conversion path starts with a single touchpoint and, depending on the customer’s response, it will be followed by subsequent touchpoints or they will bounce back.

Touchpoints can be made up of anything from an advertisement, a social media post, a website pop-up, an email message, an online chat session, or any other interaction with your brand.

An eCommerce conversion path is where your customer will come to the website and they follow a certain route until they make a purchase.

Conversion Rate

The conversion rate is the percentage of people that you are able to convert into sales.

Conversion Rate is the percentage of people who buy something from your online store. If you want more people to buy from your store, it is important to have a high conversion rate.

Formula to calculate conversion rate

Conversion Rate = the total number of sales/number of people who visited your store.

Conversion rate optimization (CRO)

Conversion rate optimization can be defined as the methodology of testing different elements of your website to see what will result in an increase in conversion rates.

The goal is to find solutions that will improve the visitor experience, make it easier to use your site, make any necessary or additional features more accessible, and increase conversions.

Cookies

A cookie is a small computer file stored on your device. It tracks and stores information about the user’s browsing activities such as items they’ve viewed, ads they’ve clicked, and length of time spent on site.

Cookies are also used to maintain a connection to a session that has been previously established. This ensures that the server knows whether the visitor is logged into their account or not, which can keep you from having to type in your password repeatedly.

What do Cookies do?

Cookies enable a website to recognize a user’s web browser. They store data about each session with the website and determine how often or for how long someone visits.

Websites use cookies to measure which pages are popular and which visitors are interested in certain products.

What types of Cookies exist?

There are three main types of cookies identified as first-party, third-party, and session cookies.

  1. First-Party Cookies come from the website you’re visiting directly.
  2. Third-Party Cookies originate from a domain other than the site you’re visiting.
  3. Session Cookies are set for a limited time and expire when you leave the site.

How to delete Cookies?

If your cookies have been deleted, websites may not recognize you as a visitor. So if you’re having trouble, try clearing your cache and deleting browsing history from within web browser settings.

CRM – Customer Relationship Management

CRM software is also known as customer relationship management software. This type of software helps with the management of relationships with customers.

This includes aspects such as communications, marketing, sales, and service. CRM software provides personalization to help increase the effectiveness of interactions with individual clients. It is an effective way to produce customized experiences for each person.

Customer relationship management (CRM) is the act of managing customer interactions. The goal is to build, maintain and measure customer relationships. CRM refers to various digital or analog techniques used for that purpose.

Customer Relationship Management is a business strategy that provides companies with access to customer information and feedback.

Cross-Selling

Cross-selling is the act of selling an additional product to someone who has already made a purchase.

The purpose is to increase sales by targeting potential customers that are more inclined to buy similar products after making a purchase.

For example, some sites will offer discounts or rewards on other products that are related to every purchase that is made.

Crowdsourcing

Crowdsourcing is a way to get funds for an organization. The process of funding typically involves members of the public providing funding to the organization in return for compensating them with products or services that are being offered by the organization.

There are some companies that engage in crowdsourcing on a regular basis. An example is Kickstarter, an online business platform for creative projects.

Customer Acquisition Cost (CAC)

Customer Acquisition Cost (CAC) in the eCommerce industry is calculated by the cost of generating one new customer through marketing, sales, and distribution.

It includes all marketing activities like advertising, public relations, internet marketing (such as search engine optimization), social media expenses (such as Facebook ads), and events.

It also includes administrative costs like salaries for salespeople, event staff, and company executives.

Customer experience

The customer experience is what customers perceive or feel as a result of their interaction with a product, service, company, and employees.

It is very important for eCommerce companies to ensure that customers have a good customer experience and can find everything on their website easily (i.e., by having an easy-to-use navigation bar).

A good customer experience will lead to more customers buying from your company.

A customer experience can be enhanced by certain actions, such as: developing a great relationship with customers and giving them the products that they want to buy at affordable prices.

Customer experience in the eCommerce industry is vital for companies to ensure that customers come back and/or share their products and services with other people.

A bad customer experience can lead to the breakdown of customer relationships.

The term “customer experience” is relatively new, which means that it has only recently begun to be used by companies and people who work in the eCommerce industry.

Customer lifetime value (CLV)

The CLV is the “total revenue minus all costs associated with a customer, accrued over the lifetime of that customer”. This tells you how much it cost on average to acquire and retain a single customer.

It’s important to note that this is not just about calculating how much it costs to acquire a customer but also includes what you spend on the day-to-day operations that relate to that customer.

Using this can help you predict what your business will need in order to sustain its growth.

Customer service

Customer service in the eCommerce industry is very important because it plays an integral role in retaining customers.

The customer service team should be able to handle any question or complaint that the customers might have.

They should request feedback on their experience so they can fix any issue that the customer might have.

An example of what customer service will look like during a phone call:

  1. Step 1: Greet the customer with their first name and ask them if they need help or not
  2. Step 2: Listen to what the customer needs and ask them questions to get more information about what is happening
  3. Step 3: Put them on hold, agree on a solution, and solve their problem

Customers

Customers in the eCommerce industry are people who order products or services from a business over the internet.

D

Demographics

Demographics in the eCommerce industry comprises a variety of aspects. This includes a person’s background, religion, socio-economic status, psychology, and behavior, etc.

In general, Demographics refer to the study of the human population and all their characteristics such as age, income, education level, interests, and religion. This is a very broad subject that focuses on more than counting people.

For instance, what you enjoy doing in your free time is considered part of your demographics.

Digital Commerce

Digital commerce is the act of buying and selling goods, services, or information online where all transactions are conducted via digital data.

Digital Commerce is also referred to as eCommerce. Ecommerce can be done through a site’s store locator, by phone, or by email.

However, Ecommerce is typically performed over the internet using websites that sell products or services in addition to social networking sites that connect buyers and sellers.

Discount code

A discount code is a type of deal in which the person will get a certain percentage off the cost of their purchase. Sometimes, this can be given in terms of cash or store credit. You typically find these types of promotional codes on coupons, flyers, and other advertising materials.

Almost every eCommerce store offers some type of discount code to its customers. When somebody uses this, it can save them money and incentivize them to purchase the product. This is good for business owners because they are able to increase their revenue while also providing a benefit for their consumers.

Discount Coupon

A discount coupon is a piece of paper or Digital Code with a certain amount of money that you have to turn in to the company in order to get a discounted price.

This can be a way for a company to advertise their products, but they also have the benefit of being able to offer a more affordable price for their service or product.

In some cases, the discount coupon will only be valid for one day. In other cases, it can last from one week up until one year.

Discount rate

The discount rate is the amount by which you can reduce the price of an item or service in order to attract more customers. It’s also the interest rate that is charged on late payments.

Domain name

A domain name is the name of your website.

Domain names are either 2 or 3 words long and contain at least one word that you specify. For example, google.com, amazon.co.uk, facebook.com

This is what you enter when looking for a website on the internet so it’s important to choose a good domain name because it helps people find your page.

Dropshipping

Dropshipping is a retail business model in which eCommerce retailers do not keep goods that are for sale in inventory, but instead obtain items from wholesalers or manufacturers to meet the needs of the customers.

Usually, drop shippers are able to keep their prices low because they don’t need to pay for storage space or order fulfillment costs.

E

eBay

eBay provides a platform to engage in commerce. It also allows you to start your own business, find inventory, and develop the infrastructure needed to stay in business.

Ebook

An eBook (also known as an ‘electronic book’) is a digital copy of any book in digital form that is usually available on the internet for download onto your mobile device or your personal computer.

It can be read on an electronic device like a Kindle, iPad, or any other device that supports eBooks.

eCommerce

eCommerce can be defined as the process of buying and selling goods, services, and information on international computer networks such as the internet.

Ecommerce can be done in a variety of ways, including via mobile devices. It usually involves a website or a phone app that facilitates the buying or ordering process.

eCommerce CRM

An eCommerce CRM or eCommerce customer relationship management system is a computer program intended to help customers and businesses of the e-commerce industry create and maintain relationships.

eCommerce CRM Glossary

A CRM can also increase your business’s efficiency and make it easier for you to conduct day-to-day tasks such as follow-ups, lead management, etc.

To put it simply, eCommerce CRM is a system that:

  1. Aids in collecting all of the necessary data to provide a 360-degree view of customers’ interests and preferences.
  2. Allows you to manage your sales and marketing processes, as well as interact and connect with consumers on a regular basis.

eCommerce SEO

eCommerce SEO is the process of optimizing an eCommerce store so that it is more visible to potential customers who are using a search engine, such as Google.

It involves the use of certain keywords and phrases. These help to increase a site’s rank in a search engine’s results, resulting in an increased amount of traffic being directed towards the site.

eCommerce SEO is a marketing strategy that focuses on search engines. Unlike regular SEO, it doesn’t put an emphasis on website content or social media. It does focus on keywords, referral traffic, backlinks, and page rankings.

eCommerce glossary terms PDF

Editorial Calendar

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An editorial calendar is a schedule for what you will post on your blog or social media. It allows you to have a good idea about when you should post something, and makes it easier to plan ahead.

Email

An email is a message that you send to someone using the internet.

Email can be used for professional correspondence with clients, brief updates to your manager at work, or even something as personal as a letter to your loved one.

There are several different types of email. For example, there are ‘reply’ emails that are sent in response to a prior message, and then there are ‘bounce’ emails that have been sent to the incorrect email address – this is because the intended recipient has either changed their email address or they no longer have an account on that server.

Email Marketing

Email marketing is a way to communicate a message through a targeted group of people. The company sends an email to a pre-selected group of people who meet certain criteria.

After the email has been sent, it will be delivered to the inbox of those who have signed up for it.

One thing you may want to remember with this type of marketing is more effective than other forms of marketing such as social media or SEO. That means that instead of reaching your entire database, you’re only going to reach targeted people who have signed up for the emails from you.

With this method, some people will unsubscribe from your emails which can result in a decreased number of potential customers.

However, if an individual takes advantage of the free trial, then they will be added to a list.

Another thing you should consider with this type of marketing is that it’s a lot cheaper than other types of marketing available which means that there is a greater chance for your business to have success with email marketing.

In short, Email marketing can be effective if done correctly.

Employees

Employees are a type of worker that is hired to work in a company. Employees have the job responsibility of serving customers, filling orders, or providing services.

The responsibilities can vary from one company to another and also depend on the position they hold in the company. In some cases, employees may be required to multitask.

In eCommerce, there are various types of employees that an owner may hire.

Consultant: A consultant is a professional who offers advice based on his/her skills and experience in a particular field with an aim to help people achieve their goals in a cost-effective way.

Customer Service Representative: The representative is an employee who usually answers calls and takes care of eCommerce customers to ensure they are satisfied.

Logistics Specialist: This person ensures that the company has an efficient system for transporting its products from one place to another so as to meet the needs of customers at all times.

Marketing Specialist: This is a person who manages and implements eCommerce marketing strategies to increase brand awareness and attract potential customers.

Online Store Manager: An online store manager oversees the operation of the entire web store including all functional areas like product management, customer service, billing and payment processing, and inventory management. He/she works with other departments within the company to ensure that all processes are executed without any glitches.

Content Writer: A content writer is a professional who writes articles, blog posts, and other pieces of writing for various online platforms such as eCommerce websites, social media sites, and blogs.

Editor: An editor is a person who ensures that the content of an eCommerce website or blog meets high standards.

Web Developer: A web developer has knowledge about various programming languages and programs used in the development of websites. He/she will have the responsibility of making sure that the eCommerce website is functional, user-friendly, and efficient in terms of loading speed.

UX Designer: UX stands for user experience. A UX designer has the responsibility of making sure that the eCommerce site is intuitive so that customers can easily navigate through the site and find the products they want.

Marketing Manager: The eCommerce marketing manager has the responsibility of coming up with various strategies to help grow the company’s web store. He/she is responsible for increasing traffic, conversions, and revenue using various methods such as email campaigns, blog post writing, social media campaigns, and more.

CEO (Chief Executive Officer): The CEO is the head of a company and makes decisions that affect the entire business. He/she is responsible for planning strategies for the future, setting goals, and monitoring the progress to ensure that they are achieved in time.

Engagement Rate

An engagement rate is a form of measurement in which you can assess how engaged your followers are with your product or content.

The higher the percentage of followers that interact with your content, the more likely they are to see your content in their feeds.

Event-triggered email

Event-triggered email campaigns are a popular way to get a high return on your marketing efforts. These campaigns are triggered by a certain event, such as a purchase or customer feedback.

An example of an event-triggered campaign is when you get an email asking if you want to share your thoughts on a novel after you read it.

Event-driven email campaigns have been proven to be one of the top-performing strategies out there. According to Campaign Monitor, when compared to broadcast email campaigns (which are sent when you want), event-triggered campaigns resulted in:

  1. 70% higher open rates
  2. 152% higher click rates
  3. 38% lower unsubscribes

Evergreen Content

Evergreen content is something that is timeless, relevant, and engaging for your customers. It’s content that doesn’t need to be refreshed or updated on a regular basis.

Evergreen content can be anything from blog posts to video tutorials, infographics, podcasts, animations, illustrations, surveys, and quizzes.

Keep in mind that your evergreen content does not have to be brand new for it to still be effective.

Evergreen content is a type of content that can be used in many different ways while still achieving the same goal.

There are some key components to creating evergreen content:

  1. Research trends and popular content on your topic by looking at current publications and books, and observing what type of information people want and need.
  2. Make sure to create original content that will keep visitors on your site for at least 5 minutes or more.
  3. Publish your article with strong headlines that get people interested in reading it.
  4. Add keywords to all graphics, titles, and tags whenever possible. This allows others to find you when searching for related topics.
  5. Create social media posts containing short quotes from your article to generate more interest in the content.

F

Facebook

Facebook is a social media website that was founded in 2004 by Mark Zuckerberg and his roommates from Harvard University.

Facebook allows you to interact with people all across the world as well as keep up to date on what they’re doing. You can message people, post links, share photos, and much more.

Facebook also has products for businesses to sell items, promote brands, and create pages.

Companies search for employees on Facebook because it’s a free channel to find qualified candidates from all over the world.

If you have already been referred to a company through Facebook or have heard back from them, most likely they searched for your information on Facebook.

Feedback

Feedback is an important part of the eCommerce business because it helps you to identify where you need to improve or change something.

The best way to understand feedback is to ask for it and listen carefully as your customers share their experiences with your products.

The following are some things that you should do:

  1. When someone gives you feedback, thank them for taking the time to share their thoughts and feelings about your product or service.
  2. You can also let them know that their feedback will help improve what you offer in the future.
  3. Use the feedback as a way of improving your product or service by making changes based on what customers want.
  4. Make sure that any changes you make are communicated across all platforms so that everyone is aware of them.
  5. Respect feedback with an open mind because it will help you improve your business.

Forward Pick Location

Forward Pick Location is a term that is sometimes used in the eCommerce industry to signify where you can pick up your order.

This means that if your order hasn’t been delivered yet, you’ll have to go to this location and collect it or wait for the postman.

You might be wondering: how do I find my forward pick location?

There will be a link with details about where exactly you should pick up your parcel on the dispatch note/tracking page. Click on it and simply follow the instructions on screen. The address will also show up directly on the map as well as directions for getting there.

This is why knowing your forward pick location is important!

Fulfillment

One of the most common terms for an eCommerce business owner to be familiar with is fulfillment. There are a variety of ways fulfillment can happen, but it is typically associated with shipping. Shipping fulfillment is a way of getting your products to your customer.

A more detailed explanation of how it works would be that a company will have a warehouse or distribution center where they use tools and technology to organize and store their products.

They then use software to send buyers information about their purchase and once they have been paid, the company will schedule a delivery date or timeslot for when they will send out their purchased product.

This process is very time-intensive as there are many steps that need to be taken before it can ship out from one location to another.

When a company ships out its products, they are fulfilling the business relationship with the buyer by providing them with all of the information about where their product is and when they can expect it to arrive.

G

Gateway

A gateway is a company or service provider that provides an interface between an eCommerce platform and the various vendors.

Gateways are often used by large brands to manage orders, track inventory, fulfill orders, keep customer lists up-to-date, process payments, and ensure customers are provided with top-notch customer service. The major function of gateways is to convert data from an eCommerce platform into formats that are usable by other systems for processing transactions.

Goals

A goal is the end result of the actions that you need to take in order for it to be accomplished.

Goals are an important part of the development of your company. Setting goals will help you to define what you need to do to go about attaining them.

For example, if one of your goals is to increase sales by 50%, then you need to find out what would be needed to accomplish such a goal and take action.

To use our goal as an example, you need to figure out how much sales will be increased and make sure that the steps needed for it happen.

This can be done by focusing on marketing and promotions and getting new customers. This way we will see a difference in sales.

Google

Google is a corporation that specializes in internet-based services and products and operates the most popular search engine on the internet.

It also offers a range of other services including cloud computing, software engineering, advertising technologies, and investments to enterprises around the world.

Google makes use of its unique algorithm called PageRank or PR for short.

This algorithm rates web pages based on how many other sites link to them and how many links those sites have back to them. The more links, the higher rank.

Google Ads is a keyword-based online advertising service. Google Ads allows you to reach people who are looking for your products and services through the “Search Network” and the “Display Network.”

Once you create an account, you can use it to advertise on Google’s many different properties like Search, Gmail, YouTube, and more.

Advertise on Google’s search results pages (SERPS) with text ads or take advantage of Google’s longstanding partnership with publishers like Forbes and USA Today that will let your ads show up on their websites, too.

Get started by following these four easy steps:

  1. Create a Google Ads account
  2. Choose your language and country
  3. Select your target audience
  4. Set up your first campaign!

Google Ads is a pay-per-click (PPC) advertising service. This means that you only pay when somebody clicks on your ad.

Google Ads offers an Ad Rank system which means that if your ads are more relevant, they will generally get more clicks than less-relevant ads.

If you spend more money on advertising, your ad will generally appear higher up in Google’s search results or on other websites that are part of the Display Network.

If you pay for an ad with a high “Ad Rank,” you’re less likely to reach people who aren’t interested in your product or service.

Google Ads is free to use! You only pay when somebody clicks on your ad, which means you don’t have to worry about paying for advertisement space as you do with traditional print ads.

Google Analytics

Google Analytics is a free service that lets you track your website’s performance. It helps you see what people are searching for, click on and spend time looking at it.

It also has other features such as measuring conversion rates from one page to another, bounce rates from page to page, and more.

Google Keywords

Google Keywords is a Google tool that helps businesses and individuals to find the right keywords. It also provides forecasts about keywords based on search habits.

Google Trends

Google Trends is a free service by google by which provides information on the popularity of search terms. This information can be accessed by anyone with an internet connection.

The popularity of the search term, or keyword, is then determined according to how it has varied over time. This website is owned by Google, which is probably the most popular online search engine in existence.

The usefulness of Google Trends lies in its ability to provide insight into specific topics that are trending at the moment. It also allows you to find out about keywords associated with your overall interests because it will show you how popular they are.

You could use this website for something as simple as finding out about what’s hot on social media right now because it will tell you the top ten trending topics for that day.

It’s also possible to use Google Trends to research something specific, like how many people are searching for “yoga” in a certain area or what the month-on-month trend looks like for “yoga” in general.

Trends can be found within various industries too because you can view trending topics related to music, politics, and other markets. It can help you to stay up to date with the world around you as well as your products and interests!

Growth hacking

Growth hacking is a marketing tactic that is focused on innovative personal marketing, targeted growth with specific customer groups, and increasing customer value.

eCommerce Growth hacking is also an attempt to increase the number of people who are aware of a product, service, brand, or company by using new technologies to reach their respective customer bases.

The best return on investment for most businesses happens when they have 20%+ annual growth. Building an email list is one of the most effective ways to grow your online business.

We all know that eCommerce relies heavily on email marketing, but there’s so much more you can do with an email list!

H

Hashtag

A hashtag is the “#” symbol followed by a text string. When you see a hashtag on social media, it usually accompanies an update about a topic that’s trending.

People use hashtags to categorize their messages and it helps to get more exposure for a specific subject, which can cultivate an audience.

This is because other people who are interested in the tag will find what they’re looking for when they search for that hashtag. Tags can also be used to promote products, services, or organizations.

Hashtags also serve as branding methods because people will recognize certain brands with specific hashtags.

The best thing about these symbols is that they allow you to tag your posts so they can be found by all your friends or followers. Some of the most popular hashtags include #eCommerceGlossary, #eCommerceCRM, and #ShopeGrow.

HTML (HyperText Markup Language)

Hypertext markup language (HTML) is a computer markup language. HTML was developed in 1990 by the World Wide Web Consortium (W3C).

HTML is best known for its roles in defining 2D layouts of web pages and structuring e-mail messages.

The W3C defines four versions of HTML: “HTML 4.01, XHTML 1.0, HTML5, and MobileHTML”. HTML4 is what the majority of people are familiar with. It was written in 1998 and is still around because it’s backward compatible with the HTML2 spec.

XHTML1 became popular when it was introduced because it provides stricter rules than earlier versions of HTML. Most modern websites are built using this standard for SEO purposes.

HTML5 is the newest standard and it utilizes new tags, stricter rules for writing code, and other perks that improve page quality for Google bots.

I

Impressions

Impressions are a key metric. They represent the total number of times your ad has been seen on Google or Bing.

The more impressions you get, the better because it means that you’re reaching a larger audience and capturing their attention.

Inbound Link

An inbound link is an incoming hyperlink to a web page from another web page. The two most common types of inbound links are uni-directional and bi-directional. Uni-directional links point or lead visitors to a single destination, whereas bi-directional links allow visitors to return back to the original website that they came from.

Although it is an easy thing to track, Google has become cautious of sites that use the same link too many times and will actually punish them for doing so. This action is known as ‘over-optimization.

Thus, it’s best not to worry about inbound links too much since they will happen naturally on their own if you have a good site that people enjoy visiting.

That said, you can optimize your site’s inbound links by installing a plugin on your website that will show other sites the possible places where they could link to you or by adding keywords to page meta descriptions that are linked back to the main web page.

Inbound Marketing

Inbound marketing is a content-driven marketing strategy that focuses on attracting new visitors to your website by creating and sharing valuable, relevant content.

It’s the process of attracting the attention of people towards your business through various forms of content. It can include articles, press releases, social media posts, influencers, emotive language, etc.

The more traffic you make online with quality content, the higher it will rank on Google search results.

The goal is to make it easy for your target audience to find you based on long-tail keyword searches. As a result, they’ll be more likely to follow through with purchasing from you.

Infographics

An infographic is a visual representation of particular information. There are many different types of infographics, which can be used to address different topics.

An infographic can also be considered a mini-presentation that has been designed to look pictorial rather than textual.

The idea behind the infographic is that the reader will remember the information by understanding the general meaning through an aesthetically pleasing presentation of data.

An example would be how some brands will make posters for their products with text and images, where the viewer or audience would be able to quickly understand or grasp what they are seeing without having read it word for word.

Instagram

Instagram is a social media that allows users to upload photos and videos onto their profiles. Users can follow other people by using the “follow” button on their profile to see what they are uploading.

The photos can be filtered with different effects, which is why many people use this app because it gives them the freedom to make cool pictures.

Instagram has been growing in popularity in recent years, partly because of its influential filters that change the look of your photo.

Inventory

Inventory is the goods that are ready for sale in your store.

It refers to all of the things that an eCommerce business has for sale at any given time.

It may also refer to the money you have in your bank account, or if you are an actual business, it might refer to the inventory of products you keep on hand.

Immediate refund

An immediate refund is a type of refund where money is returned to the customer right after they ask for it. This is different than most refunds where they are issued once the product has been received. Most customers want an immediate refund.

Inventory Turnover

Inventory turnover is the total annual sales divided by the average inventory of goods.

The formula for calculating inventory turnover is:

Inventory Turnover = (Annual Sales) / (Average Inventory Over The Same Period)

This calculation can also be presented as:

Inventory Turnover = Annual Sales x 365 / Average Inventory For The Year

J

JavaScript

JavaScript is a scripting language that was originally designed to allow web designers and web programmers to create interactive effects within plain HTML documents.

While it is still used for this purpose, its scope has evolved to the point where JavaScript is now used in many non-web applications.

Since most eCommerce websites are built upon websites, JavaScript can be important in creating an effect on the client side for advanced customization of user experience and seamless integration.

K

Key Performance Indicator (KPI)

KPIs are metrics that measure if your company or business is performing well.

It helps you to measure your performance in providing goods and services to your customers.

If they’re not performing well, you can make changes in order to improve on them.

Keyword Ranking

Keyword ranking is the measure of how web crawlers rank a page based on the keywords used on it.

It also takes into account whether those keywords are relevant to a search engine query.

A good keyword ranking will not only show that a page has been found by a web crawler but all pages that have been linked to this one as well.

Keyword stuffing

Keyword stuffing is a technique that is used by those who are looking to rank higher. It is usually done through the use of adding certain keywords repeatedly to a web page.

This will cause the keyword density to increase and make a web page’s ranking better on search engines.

This method is frowned upon and can get you penalized by search engines for spamming. As practice dictates, it should be done in moderation.

L

Landing Page

A landing page is a page on a website that is designed to get people to take an action, usually signing up for an email newsletter or purchase.

Landing pages are most commonly associated with websites that offer online courses, products, or services.

Landing pages can also be used in other ways including for collecting names for petitions, conducting surveys, and promoting events.

Lead

A lead is a person who has shown some interest in a company’s products or services.

In the context of eCommerce, a lead can be registered on a website or sent an email with a link to download the relevant content.

Lead Nurturing

Lead nurturing is the process of engaging with potential customers or leads on social media.

This is done by creating content that they can consume and share, which helps to create a conversation between them and your brand.

These conversations are more than just your typical Facebook Likes and Retweets, but rather an actual discussion. Lead nurturing can be done through content or ads.

Lead nurturing is a strategy that research has shown to increase conversions and it can also help boost your eCommerce website rankings.

Lifecycle Stages

A lifecycle stage is a period of time in the customer’s purchase lifecycle. Some of the most common stages are Awareness, Consideration, and Purchase.

The Awareness stage is characterized by a low engagement with the brand. The company may have some impressions but not much else.

The Consideration stage is defined by an increase in engagement with the brand. They are browsing products, reading reviews, and asking questions about the products or services. The main goal during this phase is to get them into the site where they will make their purchase decision.

The Purchase phase corresponds to people who are ready to buy your product or service.

LinkedIn

LinkedIn is one of the top social networking sites in the world. It’s used for hiring, networking, and finding contacts.

The site connects you with headhunters, recruiters, hiring managers, and other professionals in your field who are actively seeking talented people like you.

It also allows you to share your resume online so it’s easy for employers to find you.

Listing fee

A listing fee is a fee that is paid every time a seller lists an item for sale. The buyer will pay the listing fee as part of the final purchase price.

Logistics

Logistics is the science of physical distribution and operations management. It includes how goods and supplies move from one place to another and why they move in different ways.

Logistics encompasses the activities and tasks that deliver items, information, or services from a source to a destination.

an eCommerce supply chain is often referred to as the “logistics chain” which consists of transportation, warehousing, inventory management, and materials handling.

Supply chain optimization (SCO) is an important part of logistics because it’s about designing processes that optimize inventory stock-keeping units (SKUs), fulfillment needs, demand forecasts, transport capacity, time-to-market pressures, and points of sale (POS) within a cost structure.

Long-Tail Keyword

A long-tail keyword is usually a phrase with three or more words. Long-tail keywords tend to have less competition, so they are easier to rank for and have a lower cost per click.

The success of a marketing campaign for a company’s business can be determined by the type of keywords they use to attract customers.

It helps businesses generate more traffic online and can also be used to increase sales.

A long-tail keyword will help you reach more people than if you were just using short-tail keywords because they’re easier to find on search engines.

M

Marketing Automation

This entry in the eCommerce glossary can help you to see what is marketing automation?.

Marketing Automation is the practice of using software tools to help streamline and automate repetitive marketing tasks in order to save time and focus on strategies that produce the best results.

Marketing Automation software like Marketo, Pardot, and HubSpot provides a number of different features such as:

  1. Triggering emails when certain events occur (e.g., when someone downloads your free white paper)
  2. Creating automated workflows to get an email campaign up and running in minutes
  3. Segmenting customers into lists so you can send highly personalized pitches
  4. Detecting and preventing spam

At the end of the day, Marketing Automation software is a tool that helps you save time while also providing benefits like:

  1. Enhanced results (e.g., more opens and click-throughs)
  2. Increased accuracy (e.g., fewer manual steps involved)
  3. Higher ROI (e.g., higher revenue per user)

Marketing Automation does come with a few downsides though. For example, it cannot:

  1. Provide you with a list of leads to contact yourself
  2. Write your emails for you ( But it can suggest certain words or phrases you can use to enhance your emails though)
  3. Create catchy subject lines out of thin air
  4. Detect spam on its own (you still have to help it by indicating which messages are SPAM)

What is the Difference Between Marketing Automation and CRM?

Marketing Automation and CRM are not one and the same. Here is what you need to know about how they differ:

Marketing Automation refers to software that helps streamline marketing tasks for marketers while also providing benefits like better results, higher ROI, and increased accuracy

CRM refers to software that helps marketers manage their contacts (e.g., leads, customers, prospects) and track interactions with these people over time.

As such, CRM is more of a tool that helps you keep track of your different relationships with people instead of helping you automate various tasks and function as a glorified messaging platform like Marketing Automation software can.

Marketing materials

Marketing materials are any type of advertising or promotional material that providers offer. These can be offered in various formats depending on what is being sold.

Audio and video advertising is also a very common type of marketing material.

Marketing materials also include any promotional or informative content that is made available on the internet, such as webinars and instructional videos.

All of these things can be important for driving sales to an eCommerce business.

Marketing materials are typically offered with the goal of driving sales. However, they can also be used as a way to build brand recognition and loyalty over time as well as educate potential customers about the various features offered by a company.

Merchant account provider

This entry in the eCommerce glossary can help you to see Who is merchat account provider?.

An ecommerce merchant account provider (sometimes called a virtual merchant account provider) is a company that provides businesses with the ability to process credit and debit card transactions online.

This company will provide merchants with services to set up their business, handle transactions, and provide backend support.

Customers use their credit cards to purchase goods or services online. This requires a merchant account provider to process the transaction at the correct time in order for money to be exchanged between the merchant and their customer.

Meta description

A Meta Description is a short paragraph that you use to describe your website for search engines. A Meta Description should be between 100-160 characters long.

A good Meta Description motivates readers to click through on your web pages in SERP.

The meta description is especially important if your site features non-optimized content, as the meta description will be used instead of the content.

eCommerce glossary terms PDF

Metrics

Metrics is a term used in digital marketing to refer to how your website is performing. Website metrics can include the number of visitors, page views, or online transactions completed for instance.

These metrics can be measured through Google Analytics and other data collecting software.

A high conversion rate is a metric that’s important for eCommerce websites because it tracks the percentage of people who actually buy something.

A good conversion rate means that visitors are finding what they’re looking for on your website and having success with their transactions.

There are many types of metrics. For example, you may want to measure the time spent on your site or the number of pages viewed before they leave. You can also view which sources led people to visit your sites, such as social media or paid search.

This can help you learn which channels are generating the most traffic for your site, and it may help you figure out where to focus future marketing efforts.

Metrics are used in eCommerce like Conversion Rate Optimization (CRO) which assists business owners in converting their website visitors into paying customers by making improvements to their website.

Metrics are important because it helps business owners keep track of their day-to-day business performance.

Microsite

A Microsite is a small website that is accessed by going through another website. This type of site allows the company to tackle a specific product or idea in greater detail without having to add it to their main site. Such sites are often used in eCommerce.

Ecommerce by nature is very different from traditional business as it involves a lot of online marketing and selling the product on the internet. It basically means that you sell your services or products without having to step out of your office/home.

Middle of the Funnel

The middle of the funnel is between awareness and conversion. When someone becomes aware of your product or service, they’re still not 100% sure if it’s what they want to buy. At this point, you want to give them any information they could need like testimonials, reviews, or relevance to their specific situation.

Users who are about to convert into customers are those that are at the end of the funnel. These people may have needed more information than at first expected, but now know everything they need in order to purchase. Include tips for brands on how to keep these customers coming back for more.

Industry professionals would say that the middle of the funnel is between awareness and consideration.

Mobile Commerce (m-commerce)

Mobile Commerce (m-commerce) refers to the use of mobile technologies for the purpose of buying and selling products and services, or generating leads.

Mobile Commerce refers to any purchase made on a phone, such as through apps, texts, websites, and social media posts.

In Digital Marketing, Mobile Commerce has three functions: attracting new customers; delivering customer engagement; and generating leads.

Mobile devices now account for more than 50% of retail traffic. By 2020, 75% of all digital interactions will be via mobile devices. Retailers can’t afford to have a mobile commerce strategy.

Mobile Marketing

Mobile marketing is a form of digital marketing that focuses on mobile devices such as smartphones and tablets. Mobile devices offer advertisers the chance to reach consumers at their moment of decision, where they are most likely to respond. Consumers now spend more time with their mobile devices than watching television.

As marketers work to make the now-ubiquitous smartphone an even more powerful advertising medium, it’s important to understand what types of ads are available for different screen sizes.

Marketers are leaning toward the idea of “mobile moments”—times when people are using their phones while doing other activities—to target ads to consumers who are in the market for a new product or service.

For example, an ad for a hotel might appear in Google search results when it’s time to book a vacation. Similarly, marketers are beginning to leverage the idea of location-based marketing by sending messages directly to specific consumers based on patterns of where they shop and live.

Mobile Optimization

Mobile optimization is all about optimizing websites for mobile devices. The need for mobile optimization has increased because of the increasing use of mobile devices to access the internet; and for this reason, it is important that your company’s website or app can be accessed on a mobile device.

Mobile devices do not always have the same screen size as a desktop computer, and this means that sometimes content appears different on these devices. In order to make sure that your site is viewable correctly on mobile, you should optimize it using various methods, such as Mobile-friendly website design, CSS media queries, or responsive website design.

Monthly Recurring Revenue (MRR)

This entry in the eCommerce glossary can help you to see what is monthly recurring revenue?.

Monthly Recurring Revenue is the total revenue generated every month by recurring subscription payments.

MRR also includes revenue from contract services that are paid based on usage or time, rather than based on a flat monthly fee.

N

Native Advertising

Native advertising is an advertising format that appears to be the content being delivered from a website or service.

The advertiser wants to have greater control over the environment in which its ads are shown and for this reason, native ads will often appear as part of a user’s content stream.

In order for native advertising to work, it should be closely aligned with other content on the platform that it is being hosted on, and the platforms should have considerable reach and influence over their users.

Since they’re closely integrated into the platform, advertisers can tailor their messages to the tone and demographic of the publisher’s audience, thereby improving engagement rates.

For example, if you’re reading an article on hunting gear on your favorite hunting blog, you probably won’t mind seeing a banner ad for a hunting gears store nearby.

Net Promoter Score (NPS)

The Net Promoter Score (NPS) is a customer satisfaction metric that measures the willingness of customers to recommend a company or its products to others.

It’s calculated by asking customers one question: “Do you recommend this company?” The answer is then classified as a “Promoter” if the answer is 9-10, an “Engager” if the answer is 7-8 and a “Detractor” if the answer 1-6. These classifications are then weighted and that’s how you get your NPS score.

A score of 0 means that you are likely to discourage people from buying your product because you had an unsatisfactory experience. The higher the number, the more likely you are to encourage people from buying your product because you had a satisfying experience.

News Feed

A News Feed is a type of technology which is used to show the most recent information on a social media site such as Facebook, Twitter and LinkedIn.

It displays the latest updates from friends and companies. A News feed algorithm monitors users’ activity and updates their feeds accordingly based on their interests.

Niche

Niche refers to a small or narrowly-focused market. Niches are typically smaller than markets that are focused on larger subjects like finance, business, and marketing in general.

The definition of niche is important because it helps us talk about how specific our topics are in the digital realm (especially in regards to marketing). A niche can be any topic, interest, or subject matter.

No-Follow Link

No-follow links are links which don’t contribute to the search engine rankings of the website you are linking to. Google is known not to look at these links in any way when calculating their rank.

O

Off-Page Optimization

Off-Page Optimization is the process of all the measures that can be taken outside of the actual website in order to improve its position in search rankings.

This can include getting your business listed on directories, creating and sharing relevant content, or doing other link-building activities that might result in someone linking to the page you want to rank.

Omni-channel Management

Omni-channel management is a strategy to develop a business’s customer experience. It entails digital and physical interactions which causes a company to have a competitive advantage.

It focuses on the needs of the consumer and provides them with better shopping experiences.

To adopt an omni-channel strategy, you need to think about your customers’ needs and how to satisfy them, while also assessing what resources you have available that could help you provide these services.

On-Page Optimization

On-page optimization is the practice of optimizing web pages for specific keywords in order to improve search visibility and traffic.

It involves aligning page-specific elements like title tags, headings, content, and internal links with keywords.

On-page optimization may also refer to a collection of techniques that search engines use to determine a website’s relevance for a specific keyword or phrase.

An example would be increasing the number of internal links from your site back to your eCommerce product pages, so shoppers have more opportunities to find and purchase items.

Open rate

This entry in the eCommerce glossary can help you to see what is open rate?.

Open rate is the percentage of people who open your email.

The higher your open rate, the more emails you’ll receive in return (e.g. sales, leads, etc.). There are lots of factors that affect your open rates including subject lines and when you send out emails. If

you do not have any tracking in place, you could conduct a split test with two emails to find out your open rate. You could create a subject line that encourages your audience to open your email and then another that doesn’t have this appeal.

Once you have sent both emails, you can compare the number of people who opened each email and see which one performed better.

An email with a high open rate is very beneficial to your business because the more people who read your email, the more likely they are to engage (e.g. buy your product or service).

Order Fulfillment

Order Fulfillment is when the seller sends the item to the buyer. For example, if you buy something on eBay, the seller will pack it up and send it to you.

Organic Traffic

Organic traffic is those visitors that land on your website from unpaid sources, aka essentially free traffic.

This is usually considered to be ‘better’ traffic, because it’s less likely to be associated with spam or robots.

Organic traffic refers to website visits that are not paid for – these are generally more trusted forms of traffic.

Outsource

Outsourcing is when a company takes their work to another company. This means they don’t have to do the work themselves.

Why would they do this?

They may want to hire people who are more experienced or better at the work. Outsourcing is common in the eCommerce industry because it allows companies to focus on their own products and business strategies while still having access to a strong workforce.

P

Page Rank (PR)

Page Rank is one of the most important factors in how search engines rank webpages. Page Rank is a score based on both popularity and relevance of a webpage with the result being a number from 1-10. PR usually ranges from 1-10, but it has been known to go as low as 0.

Pageviews

A pageview, also known as a “page impression,” is the number of requests to load a page on a webpage. It is typically measured in visits or hits.

A webpage can have multiple pages so if one person visited the site and visited two pages, it would count as two pageviews (or impressions).

Paid Traffic is the act of using marketing techniques to generate traffic on your website. This can be done by investing in paid advertising or other paid traffic solutions.

Paid Traffic can be used to drive traffic to your website. This can be done through various different forms, including paid search marketing, Amazon ads, Facebook Ads and more.

Partial shipment

A partial shipment is a shipment of a product without the entire quantity which was ordered. The partial shipment will be shipped to the customer but not all at once.

Partners

This entry in the eCommerce glossary can help you to see what is partners in eCommerce?.

Partners in the eCommerce industry are businesses that help add value to a company by providing products or services. They can be a retailer, distributor, supplier, manufacturer, vendor or any other kind of partner business.

Path length

Path length or The appropriate page URL length is 75 characters long. As for indexing documents with long URLs (over 75-120 characters), they are generally indexed quite well, although there may be difficulties in the ranking.

URL formatting for SEO is important because it helps to include the targeted keywords, which can help your website rank on search engines.

Pay-Per-Click (PPC) Marketing

Pay-Per-Click Marketing is an advertising technique where advertisers are charged for each click on their advertisement.

Advertisers are only charged when someone clicks on it, not when the advert is shown to people or loaded, which means that it’s much more affordable than other forms of online advertising.

Pay-Per-Click (PPC) Marketing is a term that refers to one of the many types of internet marketing where the advertiser would pay every time they received clicks on their website.

Payment Card Industry (PCI) compliance

PCI compliance is a set of security standards created by Visa and MasterCard to ensure that customer information is safe. These standards apply to any organization, service provider, bank, or merchant that handles cardholder data.

The PCI Security Standards Council provides materials and tools to help businesses assess and comply with the PCI DSS (Payment Card Industry Data Security Standard).

Payment gateway

A payment gateway is the service that allows you to take payments online using different kinds of cards. There are many different kinds of payment gateways, and they all have their own unique advantages.

Different payment gateways offer different rates for the amount you charge per transaction, so they can be a great way to supplement your income if you’re running an e-commerce site.

Payment service provider

A payment service provider is a company that provides services to process payments, either directly by the provider or through a third party.

These services may include authorization, authentication, settlement, and other related services.

Personalized emails

This entry in the eCommerce glossary can help you to see what are personalized emails?.

A personalized email is an email that contains an individual’s name or other identifying information. Personalized emails are often used by eCommerce websites to increase customer engagement and conversion rates.

Personalized emails often include the recipient’s first name, last name, or personal information related to their purchase, such as order number or product name.

Some shoppers may find personalized emails annoying, but this is usually only true for those who receive many of them on a daily basis.

What are the Benefits of Personalized Emails?

Although personalized emails are often used by eCommerce websites to increase customer engagement and conversion rates, there are several other benefits as well. Personalized email messages are more likely to be read than non-personalized ones.

They also help give retailers a more personal touch, making it more likely that customers will be willing to buy from them again.

Point-of-sale (POS) system

A Point-of-sale (POS) system in eCommerce is a software that’s used for the payment processing. The POS system provides the payment processing that the merchant needs for all of their areas in their everyday business.

The POS can accept payments in cash, debit cards, credit cards, wire transfers and it even has support for barcode scanning.

A merchant can use any one of these options to process payments, cash is the most popular payment method when using a POS system because it doesn’t involve any account creation or anything else.

This is because when dealing with cash transactions, there are no charges incurred during transactions like when you’re using credit cards for example.

Product bundling

Product bundling is a marketing technique used by some retailers to offer a set of products as one package. When retailers offer products as bundles, they may charge less for the package than they would if purchasing those items individually.

Retailers may bundle goods together and sell them at a lower price than it would cost to buy each item individually. The number and type of goods in the bundle vary widely.

Product Recommendation Systems

This entry in the eCommerce glossary can help you to see how a product recommendation system works.

Product recommendation systems are a service provided by eCommerce websites which you can use to make a purchase based on what other people have bought.

There are a number of ways to use these systems including following your previous product selections, browsing a particular category, or seeing what others with similar shopping habits have chosen.

Product reviews

This is when customers share how they feel about the products that they have bought through an eCommerce site. Product reviews are important because they help people make decisions on what to purchase.

They can be posted by customers on the eCommerce site or through other websites such as Amazon. Product reviews are also useful for people writing product pages to complete them with useful information about the products.

Profit margin

Profit margin is the percentage of profit that remains after deducting operating expenses from total sales. It is also known as gross profit margin, net profit margin or return on investment (ROI).

Often eCommerce sellers will try to maximize their profit margins by reducing overhead costs and thus increasing their ROI.

Q

Qualified Lead

A qualified lead is a potential customer who is closer to becoming a customer than an anonymous visitor or subscriber. To qualify as a lead, the person has to have provided their contact information and has had at least one interaction with the company.

Qualified leads are more qualified because they have shown some level of interest in your product or service before.

A mailing list subscriber or web site visitor may not be contactable but that doesn’t mean that they are not interested in what you have to offer. A qualified lead provides you with closer access to your target audience through their email address.

Qualified leads can help you generate new business and increase your success or ROI.

Stay tuned for the more terms to this eCommerce glossary!

Quick Response Code – QR Code

Quick Response Codes, also known as “QR Codes” were originally developed for the automotive industry to track parts. They are now widely used in many other areas, including eCommerce.

QR codes can be read by smartphones or certain types of scanners, so they are a great way to promote any business where customers might not have access to WiFi or an Internet-connected device.

One type of QR Code is the Trackable QR Code, which will help you track the location of the object that it is attached to. This can come in handy if you want to keep tabs on your company’s inventory without searching through every nook and cranny in the warehouse!

It also provides real-time data for operation managers who need to know where their products are, when they were delivered, etc.

Many eCommerce businesses will use QR Codes in order to allow customers to download coupons or leaflets that can be redeemed in store.

This is a great way to market your products and encourage foot traffic in any brick-and-mortar shop you operate; the customer has instantly developed a connection with your company, and is more likely to want to return for future purchases.

This method of advertising is very cost-effective, which means that you will be able to spend less money on campaign strategies.

eCommerce glossary terms PDF

R

Receipt templates

A receipt template is simply a blank form for you to use when you create your emails. It tells the recipient how much they’ve paid, what items they bought, and what their total purchase price is.

These are important because the email you send to your customer needs to have all of this information. If it does, they’re able to double check that their order has been processed correctly while also learning exactly what they’ve bought.

Recurring payment

A recurring payment is a payment that is made on a frequent basis. For example, a customer may choose to make a monthly donation.

A recurring payment is a way for customers to purchase automatically from an online store.

Recurring payment in eCommerce can be achieved with subscription services and one-time payments.

  1. Subscription services allow a customer to pay for a product or service on a regular basis, such as monthly or yearly.
  2. One-time payments are when customers will automatically be charged for a product or service after they have paid the initial fee.

Repeat revenue

Repeat revenue in eCommerce is a way of measuring the amount of money that a retailer earns from the customers who have bought from them before.

It’s important because it helps retailers understand how much they can expect to make over time.

Responsive Design

A responsive design is an eCommerce site that adjusts its layout and elements to different devices such as smartphones, tablets, and computers.

A responsive design allows for a potential customer to use any web-enabled device to navigate the website and find what they’re looking for.

Return On Investment (ROI)

ROI is a measurement of the return on an investment. It’s a measure of performance and tells us how well a business is performing in comparison to its costs. It can be calculated for an individual investment or for the whole company.

In eCommerce, ROI is often used to measure the efficiency of marketing campaigns. The campaign’s effectiveness can be measured by calculating the difference between the money spent on the campaign and the increase in revenue it generates due to increased sales.

The ROI can be calculated by looking at two different aspects: cost-based and extension-based investments. Cost-based investments are ones that have a known return in monetary value.

RFM Analysis

RFM Analysis is basically another way of segmenting your customer base according to the three main factors that are used for making purchase decisions.

These three factors are Recency, Frequency and Monetary Value or RFM.

The RFM analysis also goes by other names like Customer Lifetime Value (CLV) or Customer Lifetime Value Index (CLVI).

RFM analysis basically means taking a holistic view of your customers’ behavior, which will make it easier to design personalized offers for each group.

S

Search Engine Optimization (SEO)

Search Engine Optimization or SEO is the process of improving the visibility of your website content in search engine results.

The good thing about SEO is that there are only a few things to do right. It’s just about making sure you’re on the right track and not off-pisting.

Step 1) Perform Keyword Research – This means that you need to find out what words people are searching for on Google, Amazon, etc. These are called keywords or key phrases.

So for example, if I were an eCommerce shoe store, I would want to know what words people might enter into Google when looking for shoes so that my site appears when they search for these keywords or key phrases. That way someone who is searching for kanye west shoes, will find my shop on the first page of Google.

Step 2) Write Amazing SEO-friendly Content – Once you know what keywords or key phrases people are likely to search for that pertain to your business, then it’s time to write some content that uses these same words and phrases so your site appears in the search engine results when people use these words and phrases.

Step 3) Optimize Your Site – This consists of following some code-level technical SEO best practices that ensure your site is technically sound and ready to rank well.

SEO can be used in various marketing campaigns, leading to an increase of your web presence across the globe. Moreover, content created for SEO purposes can be used across all marketing channels.

Search Engine Results Page (SERP)

A SERP, also known as a “search engine result page,” is the search engine page that is generated when a user enters a query into the search engine. The SERP consists of the list of all web pages that are relevant to the search query.

Segmentation

Segmentation is a strategy that can be used to create groups of customers with similar needs. In eCommerce, segmentation may be used to target different demographic groups, such as gender or income level.

The idea behind segmentation is that you use marketing techniques tailored to the needs of different customer segments in order to appeal to them and provide more relevant and personalized information.

Different types of segmentations:

  1. Demographic: This type of segmentation targets specific age groups, genders, and other demographics. It might also divide buyers based on their interests or lifestyles.
  2. Psychographic: This type of segmentation categorizes buyers based on their attitudes, beliefs, values, opinions and behaviors. For example, many brands will try to target customers based on their lifestyles, which are then categorized by psychographic variables.

Service Level Agreement SLA

A service level agreement or SLA is a contract between the provider of goods or services and the customer. It determines how certain aspects of things like warranties, penalties, and fees are paid. This is an important aspect for business owners to take note of because it can affect their profits if they are not properly aware.

For example, if a warranty is included in an SLA and the product was not fixed within the defined timeframe, the customer will be given some sort of compensation.

Shipping

Shipping is the process in which items are sent from one location to another. Shipping companies are typically hired by sellers to send their goods.

A carrier transports goods from the factory, warehouse, or store of the seller to the buyer’s destination.

UPS, DHL, FedEx are examples of carriers for shipping items.

Shipping label

Shipping label refers to the label on a package that identifies it as items that are ready to be shipped.

Shipping labels are usually generated by software, which would require you to input some particulars about the shipment.

Typically these particulars include the destination of the merchandise, the date, and some information about any possible hazardous material contained within the box.

You can also make your shipping labels more personal by creating one with your own photo showing off your products.

Shopping Cart

A Shopping Cart is a virtual shopping cart that allows you to gather items from a web store and pay for them later by going back to the site.

Social media

Social media is a tool that allows you to communicate with other people through social media platforms.

There are many different types of social media platforms, including Facebook, Twitter, LinkedIn, Pinterest, Instagram, and Snapchat.

Social media is important for eCommerce because it can be used for marketing techniques.

Social Proof

Social proof is a type of marketing tactic where the company creates the illusion that they are popular and their product is in demand.

It can also be argued that they are using people as an advertisement, which is not always the best way to advertise for your company.

However, there are some benefits to using social proof such as:

  1. If you’re new and looking for a good eCommerce store, checking reviews offers a great insight into what products and stores might offer the best value.
  2. If you’re considering buying from a specific store or product line, it can help if you know that others have had success with it.
  3. Bloggers and other content providers can mention products as part of their posts and videos which can increase sales for those who listen to them.

The good news is that it doesn’t cost much money to provide social proof as all you need is a third party site such as Amazon or Ebay and customers will start leaving feedback on their own accord, which increases the chance of other customers coming back for more products.

The bad news is that you can’t control the type of feedback that is left and it might not always be positive.

Social proof is a form of marketing tactic where the company creates the illusion that they are popular and their product is in demand which can increase sales as well as help those new to the industry find good eCommerce stores.

eCommerce glossary terms PDF

Social share buttons

Social share buttons allow users to share the content of a page, such as an article or photograph, on social media channels.

Users can share the content by pressing the appropriate buttons which then take them to another page where they can publish it.

Social Signals

A social signal is a positive indicator on your website, which lets you know that users are engaging with the content.

Many sites use social signals to monitor viral content, engagement, or growth rates. Social signals can include both the number of shares and the rate at which content is shared.

Social signals work because they tell Google, Bing, MSN, Yahoo!, and other search engines that your site is popular or well-regarded. In turn, this popularity helps you rank better in organic searches.

Social media sites are becoming an increasingly important part of search engine optimization, so this term will become increasingly important in years to come.

Social Signals are not only positive sign on website but also affect your eCommerce Business which you can read more in detail about.

Software as a Service (SaaS)

Software as a Service (SaaS) is the licensing of computer software on a per user basis, typically through a web-based application.

It is often used for business purposes and includes programs that provide customers access to an organization’s IT infrastructure without any need to maintain the hardware, install the operating system or configure it.

Stock keeping unit (SKU)

SKU is a term used in the retail industry to refer to a particular product a company keeps in its inventory.

A stock-keeping unit, or SKU, is a code that represents one item within an establishment’s selection. A SKU number can be viewed as the “barcode” of an item.

Each time an item is sold, the SKU number must also be recorded as it will give away what has been sold and what needs to be restocked.

Store Credit

Store credit is a store’s way of providing customers with discounts or rewards for future transactions. Store credit can also be given as a form of customer appreciation.

A store may provide store credit by giving the customer a coupon, points, or other items that are valued at an equivalent value.

Suppliers

Suppliers are the entities that provide raw materials for an eCommerce company to manufacture or produce the products.

The suppliers are responsible for delivering the product on time, at a certain quantity and price.

T

Technical support

Technical support at this point boils down to any form of assistance that is given out to a customer for an online platform.

It can be phone, chat, email, and good old-fashioned human interaction. The only thing that matters is if it’s helping someone with an issue on their website.

Third-party payment processor

A third-party payment processor is a company that accepts your customers’ payment information and processes it on your behalf.

For example, if you are using Shopify’s platform to sell online, they use a third-party payment processor.

The main benefits of using a third-party provider are convenience, security, and ease of use.

Third-party providers also provide much lower fees than what you would have to pay if you were to process transactions directly through your bank.

Time lag

A time lag is the delayed response or lack of response to a stimulus.

Title tags

A Title tag is the name of the work that appears in a browser tab, in bookmarks, and on Google search results.

More than just an identifying label for your content, it’s also a powerful SEO tool that helps to boost your content’s visibility.

The Title tag is generally displayed prominently at the top of the page. It can include important keywords and phrases to signal what your content is about.

Top of the Funnel

According to marketing experts, Top of the Funnel in eCommerce Terms Glossary is marketing terminology that refers to a stage in the sales process when a prospect is just researching and not yet ready to buy.

Traffic

Traffic is a measure of how many people are visiting your website. You can determine this by using Google Analytics, or another type of traffic tracking software, to track the number of visitors to your eCommerce site.

Improvements in technology have made it easier for you to gather data about your customers and understand what they want out of their experience at your store.

eCommerce glossary terms PDF

Transaction

Transaction is the amount of money that is spent by the customer. The transaction is also called a purchase.

Turnkey

A turnkey solution is a complete package that includes software, hosting, and domain for your ecommerce website.

The term is often used in the context of “turnkey Agent”, which refers to an agent who has all aspects of buying or selling property under his or her control.

Twitter

Twitter is a hugely popular social networking service that allows you to send and read instant messages, also known as tweets.

You can also follow other people who use Twitter and share status updates, photos, videos, quotes, etc. with them by using hashtags.

U

User Journey Map

A User Journey Map shows how users move through your website or app and when they take certain actions to complete their goals.

The map is contextual to the website or app, and it helps people see where the biggest opportunities for eCommerce growth are; they help teams create better experiences that meet customers’ needs exactly at critical moments of truth (such as conversion). It also forces you to think about what actions your users take before and after making a purchase.

A User Journey Map can be used for customer interviews, usability studies, and conversion testing to help teams understand the different stages of the user journey.

This map consists of four main elements: entry points, steps in the journey, drop-off points, and opportunities.

Unique purchase

A Unique purchase is a transaction that has occurred only once. For eCommerce this means a transaction has occurred on a single website and not been transferred to another website.

Unique Users

An Unique User is a person who logs in to the site and this is different from a Visitor, who is someone who has logged in to the site or made an enquiry about it.

Upselling

Upselling is a technique of persuading a customer to purchase more by suggesting a product that is more expensive.

Upselling is an effective tool in the process of online retail, because there are millions of people out there who can’t afford a full priced item. Upselling also helps increase revenues for companies. However, when an upsell decision does not go well it’s called ‘backfiring’.

Upselling has been around for centuries but it became popularized in the trench coat industry when they sold trench coats with hats and belts fitted to them (Sales-Moore).

What is the significance of Upselling in eCommerce?

The term ‘upselling’ was first coined by sales guru Dave Mattson. Mattson stated that upselling happens when you originally offer a high quality product at the desired price, but there are opportunities to improve upon this deal based on the customers needs.

By selling better products, companies can retain more customers for longer periods of time because they will be loyal to them and not switch over to their competitors, this is extremely beneficial for eCommerce businesses who are looking to retain long-term relationships with their customers.

User Interface (UI)

An eCommerce glossary or a list of terms that are used in the eCommerce industry to signify certain words and phrases can help you to make sense of things.

An eCommerce glossary is important because it allows you to increase your knowledge of certain words and phrases.

If you’re new to the industry, this article will help you gain insight into some of the most common terms used so far.

To answer the question from the beginning: “What is User Interface (UI)?”

A user interface (UI) is a’specific graphical environment that a user interacts with in order to use a computer system’. UI displays the elements in a manner that people understand, typically through sight and sound. UX is closely linked with UI.

V

Viral Content

Viral content is content that spreads quickly online, most commonly through social media. Viral content can be videos, blogs, images or other text-based items.

AIDA is a marketing acronym that explains the steps a consumer undergoes when they are buying a product or service. Each letter in the acronym stands for a stage of the purchase process:

  • Awareness – consumers learn about a product or service;
  • Interest – consumers begin to be interested in a particular brand or solution;
  • Desire – consumers develop a strong preference for one brand or solution;
  • Action – consumers take the final step toward purchasing.

The concept of AIDA has been around since 1898 when an advertising copywriter devised it in order to improve the effectiveness of his adverts. While AIDA is still used today, critics argue that it is an outdated concept as consumers now use many different ways to find information, not just from traditional media such as TV and radio.

Void

Void is a term used in the eCommerce industry and means that something has been canceled or not processed on time. You can also say that something is void if it is not valid, such as if you scratch off your lottery ticket and can’t find any matching numbers.

Void Transaction

Void Transaction is the process of cancelling a transaction that has been made by mistake. If you are not sure if your transaction was processed or not, then it would be best to void it so that it can be processed again.

An example of how committing the Void Transaction could be beneficial is if your card information changes. You can cancel the old transaction and process a new one with updated information.

eCommerce glossary terms PDF

W

Web analytics

Web analytics is the process of collecting, analyzing, querying and reporting data about your online business. This data includes information about your website visitors, what they searched for, how they found you, how long they stayed on your site and more.

The goal is to understand what your customers want so you can provide them with exactly what they’re looking for.

Web analytics is also used to identify where people are leaving your website due to the fact that there might be something not working or making sense.

This data can then be used to improve your conversion rate and maintain consistent content for all users.

Wholesale

Wholesale is the process of delivering goods to retailers who buy them in bulk to sell at their stores.

Y

YouTube

YouTube is a video hosting service that allows people to upload videos to the site. In turn, YouTube provides a way for their users to view videos, rate them, add comments and share them with other people.

YouTube was created in 2005 by three former PayPal employees. These founders wanted to create a video-sharing site where it would be easier for people to upload and view content with high quality at a regular speed.

It wasn’t until 2006 when YouTube opened up its website for users with its original interface where they could post, share or rate content. All of this was done without the need to register with the site first.

When YouTube was first launched, it allowed users to upload and share videos. After 12 months, YouTube shifted its focus on making the site more of a video community.

Today, you can create an account with your email address so that you can subscribe to other channels, communicate within the community and have a better option of keeping track of your uploaded/shared videos.

Conclusion

If you’re new to the eCommerce industry, this glossary should help give you insight into some of the most common terms used so far. You’ll have a better understanding of what people are talking about when they mention things like “AOV” or “CPC.”

As always, if there’s anything else that confuses you, just reach out and we’d be happy to answer your questions. Have any of these terms been useful for you? What other words do you need explained? Install Adnabu Backup and restore App from Shopify App store today!

Author

My goal with Shop eGrow is to make an all-in-one eCommerce Growth Portal. I will share tools, tips, and resources I have researched and used on my ecommerce journey. If you have any questions regarding the above, please do not hesitate to contact me by using the contact page.

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