E-commerce terms in plain language

12 terms · in Marketing · Show all terms

A

• A/B Test

  An A/B test shows two versions of a page, element, or offer to different visitors at random and measures which one converts better. It replaces opinion with…

  Marketing

• Abandoned Cart

  An abandoned cart is a shopping cart that a visitor filled but did not check out. Abandoned cart recovery is the follow-up sequence, usually email or SMS with…

  Marketing

• Affiliate Marketing

  Affiliate marketing pays a partner, such as a blogger, influencer, or comparison site, a commission for each sale they send to a store. Sales are tracked with…

  Marketing

• Average Order Value (AOV)

  Average order value (AOV) is total revenue divided by the number of orders in a period. It shows how much a typical customer spends per checkout. Raising AOV…

  Marketing

C

• Conversion Rate

  Conversion rate is the share of store visitors who complete a purchase, calculated as orders divided by sessions over the same period. It is the most useful…

  Marketing

• Coupon vs. Automatic Discount

  A coupon is a discount the customer must enter as a code at checkout. An automatic discount applies by itself when the cart meets a rule, such as a minimum…

  Marketing

• Cross-sell

  A cross-sell suggests products that complement the item a customer is buying: a case with a phone, laces with shoes, a filter with a coffee machine. Unlike an…

  Marketing

• Customer Lifetime Value (CLV)

  Customer lifetime value (CLV, also LTV) is the total profit a store expects from one customer over the whole relationship, not just the first order. It is…

  Marketing

• Customer Retention

  Retention is the share of customers who come back and buy again within a given period. It is the counterpart of acquisition: acquisition fills the store with…

  Marketing

• Customer Segmentation

  Segmentation divides a customer list into groups that share a trait, such as total spend, last order date, location, or product interest, so each group gets a…

  Marketing

U

• Upsell

  An upsell offers the customer a higher-value version of what they are about to buy: a larger size, a better model, or a bundle with extras. It raises average…

  Marketing

W

• Win-back Campaign

  A win-back campaign targets customers who bought before but have gone quiet, typically after 30, 60, or 90 days without an order. It usually runs as an…

  Marketing