The curse of knowledge. It’s what happens when we know a lot about a particular topic, we assume that others have the same level of knowledge as we do. So we talk about the topic as though it’s general knowledge, dropping jargon and abbreviations left, right and centre.
When it comes to industry acronyms, we’re all guilty of this. And marketing acronyms are no different.
Here’s your guide to all the marketing acronyms and business abbreviations you’ll ever need. Whether you work in marketing or want to understand what the heck your marketing team is talking about, this is the guide for you.
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A-Z of marketing acronyms
ABM = Account Based Marketing.
A marketing approach where you focus efforts and resources towards nurturing specific high-value accounts or individual companies rather than a broad audience.
ATL = Above the Line.
Advertising in the mass media to reach a large audience. Things like TV, radio and billboard ads are all types of ATL marketing.
ATL is usually much harder to track because of their mass audience nature.
BOFU = Bottom of the Funnel.
The last step in the customer journey or sales funnel. At this point, potential customers have moved through the awareness and consideration stages and are near making a purchase decision.
BTL = Below the Line.
A marketing plan that’s all about directly speaking to a particular audience through personalised messages.
It’s more focused and easier to measure compared to larger-scale approaches like above-the-line marketing.
CPA = Cost per Acquisition.
A digital marketing metric that measures the cost a company incurs to acquire a new customer or lead through a specific marketing campaign or channel.
A key one for measuring the success of a campaign in monetary terms.
CPC = Cost per Click.
A digital marketing, paid advertisement term that refers to the amount of money an advertiser pays each time a user clicks on the ad.
CTA = Call to Action.
The thing that you want the audience to do next. Click on your link, read the blog, watch the video, subscribe etc. More on CTA’s here.
CTR = Click-through Rate.
A digital marketing metric that measures the percentage of people who click on a specific link or ad out of the total number of individuals who view it. This could relate to an email, a paid ad, or a social post.
How to work it out:
Total Clicks / Total Impressions * 100 = CTR%.
CX = Customer Experience.
The overall perception and interaction that customers have with a business throughout their journey, from initial awareness through to post-purchases.
DM = Direct Mail.
Sending something in the post (letter, postcard, gift etc) to prospects or customers as part of your marketing strategy.
GA = Google Analytics.
A web analytics tool that lets website owners see how their website is performing and what visitors do while they’re on the website (pages visited, time spent, etc).
MOFU = Middle of the Funnel.
The middle stage of the customer journey or sales funnel. At this stage, customers have shown interest in the product or service but might still be considering their options.
MQL = Marketing Qualified Lead.
A lead that has come from marketing-led activity.
PPC = Pay-per-click.
A digital advertising model used in Google Ads (the sponsored posts that appear in Google search results).
PPC means the advertiser pays a fee every time one of their ads is clicked.
PR = Public Relations or Press Release.
The same acronym for two different things, but both are kind of linked.
Public relations involves managing how businesses communicate and maintain their image with customers and stakeholders, which includes handling media connections and reputation.
Press release is a type of public relations communication where an official statement from a business is issued to the media (press) to release as news.
SEO = Search Engine Optimisation.
A set of techniques and strategies to make your website more visible and rank higher in search engine results when people search for relevant topics or keywords.
TOFU = Top of the Funnel.
The first stage of the customer journey or sales funnel. This is where customers are in the early phases of their interaction with a brand.
The top of the funnel is about creating awareness and attracting a wide audience.
UGC = User-generated Content.
Content (text, images, videos etc.) that’s shared by people who use the product or service rather than the brand itself.
WOM = Word of Mouth.
When people talk to each other about their personal experience (good or bad) with a product or service.
A-Z of business acronyms
APF = Average Purchase Frequency.
How often, on average, a customer makes a purchase from your business within a set timeframe.
How to work it out:
Total Number of Transactions / Number of Customers = APF
APV = Average Purchase Value.
The average amount a customer spends on your products or services in a single transaction over a specific period.
How to work it out:
Total Revenue / Number of Transactions = APV
B2B = Business-to-Business.
Businesses doing business with other businesses.
B2C = Business-to-Consumer.
Businesses selling products, services, or information to people.
CPL = Cost per Lead.
The average amount of money spent on marketing activity to acquire a lead.
How to work it out:
Total Campaign Cost / Number of Leads Generated = CPL
CRM = Customer Relationship Management.
A system that helps businesses store, organise and analyse customer data. Salesforce, Hubspot and Microsoft Dynamics and all examples of CRMs.
D2C – Direct-to-Consumer.
Selling directly to consumers (like B2C) but doesn’t involve a middleman (retailer).
For example, Brewdog selling beer on their website would be D2C, and Brewdog selling beer in Tesco would be B2C. It’s common for businesses to do a combination of both.
H2H = Human-2-Human.
Focuses on the idea that every business involves individuals with feelings, needs, and desires, whether it’s B2B, B2C, or D2C.
LTV = Lifetime Value.
Also known as Customer Lifetime Value. It’s a measure that estimates how much money a business can make from one customer throughout their relationship with the business.
To calculate LTV, you need to know the values APV, APF, and Customer Lifespan.
How to work out:
APV x APF x Customer Lifespan (years) = LTV
MRR = Monthly Recurring Revenue.
The predictable revenue that a business receives every month. It usually comes from licence or subscription-based services.
It’s a stable revenue that comes in monthly for an agreed set of time.
RFP = Request for Proposal.
A document used to get bids or proposals from vendors or suppliers for a project, service, or product.
It invites potential vendors to submit their proposals detailing how they can meet these needs.
ROI = Return on Investment.
How profitable or effective an investment is. It’s worked out by comparing the benefits of the investment compared to its initial cost.
SLA = Service Level Agreement.
A formal agreement between a service provider and a customer that outlines specific expectations and commitments regarding the quality, response time and other aspects of the service being provided.
They’re usually signed at the start of a B2B relationship.
SMB = Small and Medium-sized Business.
Companies that are smaller in size and revenue compared to large enterprises.
SOW = Statement of Work.
A document that explains what a project will include. It’s usually shared between two businesses to help everyone agree on what work will be completed including goals, tasks and timelines.
SQL = Sales Qualified Lead.
A lead that has come through from sales-led activity.
YoY / MoM / QoQ = Year on Year / Month on Month / Quarter on Quarter.
Time comparisons used in reporting to see how the performance compares from one time to another.
YTD = Year to Date.
The time from the beginning of the calendar year up to the current date.
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Beth’s our big-thinking, brilliantly creative problem solver. Her love for marketing and big, boundless energy make a pretty perfect recipe for a Campaign Manager. She won’t rest until you get the results you want.
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