Planning an Internet marketing strategy? Will you get the best ROI from a CPA, CPC, PPL, or a hybrid model? And how will you track your CPM and determine your CTR?
HUH?
If you’re new to business and trying to learn how to market on the Internet, your first reaction will be complete bewilderment. Come to think of it, why am I suggesting this happens only to people who are new to business? I’m betting you’d find Fortune 500 CEO’s who don’t know their PPC from their CPA
Egads! And they say government employees talk in acronyms and jargon. They never came up with anything close to what you’ll find on Internet marketing forums and bulletin boards.
Daunting as it is, you’ll need to know this stuff eventually. So, pour yourself a strong cup of something and plow through these definitions:
ROI (Return on Investment)
If your $1000 advertisement results in $1500 in sales, your ROI is $500.
Impression
The number of times a banner or advertisement is served (displayed) on a Website. If 10 people visited the web page containing the banner, you would have 10 impressions. If one person viewed it 10 times, you would still have 10 impressions.
Hit
This is a (poor) method of measuring Website traffic. A hit is registered each time a browser request is made from a web server. If you have a web page containing four graphics, each page display will count as five hits.
Page View
This is a more effective way to measure web traffic. A Page View refers to each time a page is displayed. So, if you have a web page with four graphics, each time the page is displayed counts as one page view but five hits.
Unique Visitors
This is the number of individuals who visit your site in a defined time. If 200 people visit your site this week, that is 200 unique visitors. If one person visits your site 200 times, that is one unique visitor.
Stickiness
This refers to the length of time that a visitor spends at your site over a given period of time, or sometimes to the number of web pages that your visitors typically download.
CAC (Customer Acquisition Cost)
This is the cost of obtaining a new customer. You divide your total acquisition expenses by your total number of new customers. For example, if your $100 ezine ad produces 30 new customers, your CAC is $3.33.
CPM (Cost Per Thousand)
This is an advertising model based on the cost of 1000 impressions of your ezine or web ads. If