An Introduction to Digital Marketing

Learn the basics of digital marketing and how it can help your company reach its goals.

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An Introduction to Digital Marketing FAQs

Key performance indicators (KPIs) are a type of performance measurement that track how successfully businesses, teams, or individuals are progressing towards important goals or business objectives. KPIs help provide a focus for strategic improvement.

In digital strategy, KPIs help track progress and measure the performance of digital strategy goals, such as conversion rates, website traffic, social media engagement, churn rate, and customer lifetime value (CLTV).

Marketing ROI, or MROI for short, is the return on investment your company receives from all of your marketing activities. It refers to all profit and revenue growth from all of your different marketing channels, including digital marketing.

There are many different types of digital marketing, and measuring the MROI of all of them can give you a clear picture of the value of your marketing spend, and help you focus on the right channels. Email and social media are two of the most important digital marketing channels.

The basic formula is MROI = (Marketing Value − Marketing Cost) / Marketing Cost.

This core formula applies the same way to every campaign on every possible channel. However, there are many more detailed and nuanced ways to calculate MROI. Be sure to pick the way that works best for your business, and consider using an ROI calculator to get started.

The four elements of RACE — reach, act, convert and engage — cover the entire customer journey, from reaching the target audience to engaging and retaining them. With a focus on digital marketing, it’s designed to help your business plan and execute your online marketing strategies.

A sales funnel is a marketing term used to capture and describe potential customers’ journeys, from prospecting to purchase. A sales funnel consists of several steps, the actual number of which varies with each company’s sales model.

A sales funnel helps marketers understand a customer’s purchasing journey while identifying the stage of the customer’s journey. These insights can be used to decide which marketing channels and activities will best guide the customer towards a purchase. A sales funnel also allows marketers to tailor and optimise their activities and messaging to increase conversions.