What is CPM, CPC, CTR, CPA? Digital Marketing Terms You Should Know

For an effective and measurable marketing, it is necessary to analyze the underlying dynamics well. For a correct analysis, it is necessary to know the terms that will be needed. You can find the marketing terms that will be needed especially for companies in the e-commerce sector, where marketing is the focus, in our article that we have compiled for you. We tell knowledge about What is CPM CPC CTR CPA? Digital Marketing Terms You Should Know in this article.

Digital marketing, the rising star of recent years, has become a rapidly developing area of the online world. Digital marketing method, on the other hand, is the name given to the marketing process of a company or brand in the digital environment.

When we say what is digital marketing, it is basically the development of marketing methods using digital channels. The marketing method made through social media, computers and mobile devices is one of the most efficient marketing techniques today.

When it comes to digital marketing or what is digital advertising, when it is said, what is digital advertising, it is the process carried out to promote products and services that need promotion in online environments. Digital advertising is carried out in digital channels as in the name.

What is CPM CPC CTR CPA? Digital Marketing Terms You Should Know

In the e-commerce sector, companies need digital marketing dynamics to deliver their products and services to consumers. In the digitalizing world, concrete data is needed to develop the right marketing strategies and to make the right consumer analysis. In order to have a better command of the marketing world and to create effective campaigns, the marketing terms that companies need should be known.

What are the Marketing Terms Companies Should Know?

We have listed some digital marketing terms that should be known as the return of digitalization in e-commerce.

  • Call to action – CTA
  • Cost per mille-CPM
  • Cost per click – CPC
  • Clickthrough Rate – CTR
  • Cost per action – CPA

What is CPM CPC CTR CPA? Digital Marketing Terms You Should Know

When we say what is cpm, first of all, we need to have information about cpm expansion. The Turkish equivalent of CPM, which means cost per mille, means cost per thousand impressions. It is a term that is frequently used in the digital sense in the advertising and marketing industry and should be known. CPM provides the determination of the budget to be paid for the advertisement display. Advertising costs are determined according to ad impressions, that is, impression rates.

How to calculate CPM is a very important issue for businesses dealing with digital marketing. The CPM ratio is obtained by dividing the cost by the number of ad impressions and multiplying by 1000.

Call to action (CTA) is one of the important terms that enables potential customers to turn into customers. CTA includes marketing messages used in marketing activities to encourage users to buy. Defined as a call to action, CTA is a marketing term that enables marketers to take that step in areas where they want their audience to take action.

  • “Subscribe now”
  • “Start shopping”
  • “Buy now”
  • “Add to Basket”
  • “Create demo account”
  • “Read more”

CTA is a marketing term that is frequently used in the e-commerce industry and means a call to action. Having messages that will encourage users to buy is an effective method in converting visitors into customers.

As a result of the increasing use of social media and digital platforms today, actionable messages should be created in accordance with these media. For example, youtube CTA requires a separate strategy, Instagram CTA requires a separate strategy.

Youtube is a very effective platform in terms of directing ads to e-commerce sites and informing about campaigns. The call-to-action messages of these advertisements appearing during the video breaks should be suitable for the operation of youtube and the target audience should be determined correctly.

CPC, which is frequently used in the digital marketing industry, is used as a price unit in advertising. Cpc value is a term that reflects the amount paid by the advertiser. Cpc value; It varies according to the type, value, content of the advertisement, the medium in which the advertisement is advertised and many different factors.

Cpc stands for cost per click. The cpc value varies according to the channels. When we say what is Youtube CPC, CPC, which means cost per conversion, is evaluated according to segments such as referrals, clicks, sales, and the cost is calculated according to the advertisement published on youtube.

CTR (Clickthrough Rate), which stands for clickthrough rate, is a marketing term that shows the clickthrough rate your company gets from its marketing campaign. Click-through rate, which is among the marketing terms frequently used in digital marketing, is a statistic that shows the number of clicks received in campaigns.

Click-through rate, which is an important metric for campaigns, provides important contributions to companies in measuring the success of their campaigns.

Importance of CTR for companies

  • It gives information about the progress of the campaign.
  • Indicates whether the target audience has been reached.
  • The effect of the given message on click-through rates is analyzed.

When we ask what the CTR ratio should be, companies need to make some adjustments to achieve these ratios. 60 percent is considered a good CTR rate. However, this rate may vary depending on the type of campaign, the determined target audience, expectations and goals.

Factors affecting the CTR rate;

  • Target audience
  • The company’s goals and objectives
  • Type of campaign
  • Identified keywords
  • Quality of content and accuracy of keywords
  • URL structure
  • Timing
  • Design quality
  • Status of competitors etc.

What is CPM CPC CTR CPA? Digital Marketing Terms You Should Know

CPA, which stands for Cost Per Action, is a term that is frequently used and needed in the digital marketing industry. cpa, which means cost per acquisition in marketing activities; It is a term used to analyze consumer behavior on e-commerce sites. It is used to analyze various actions such as sales, clicks, demo requests, form fillings.

What does CPA do in a few items?

  • It enables visitors to be directed to the site with site advertisements.
  • It provides the analysis of the actions and behaviors of the visitors directed to the site.
  • It enables the determination of the advertising budget according to the actions and behaviors of the visitor to the site.
  • A payment will not occur unless the purchase is made.

When it comes to digital marketing, digital advertising and marketing activities come to the fore. Google ads, which is the platform where e-commerce companies manage their advertisements in the digital field, is an area where all the terms we mentioned above are used.

Google Ads, formerly Google AdWords, which has become a new sector and frequently needed with the acceleration of digitalization that started to operate in the 2000s, is a tool that enables businesses to promote in online marketing and makes it possible to manage all advertisements from a single center.

With Google Ads, you can show your ad in all online channels and analyze all your ads. While the use of Google Ads requires a detailed and professional use, it also requires correct and on-site advertising strategies.

There are multiple Google ads ad models available. These;

  • Display network
  • Search ads
  • Remarketing ads
  • Shopping ads
  • Youtube ads

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