An acronym is only useful if it changes what you do next.
The list
- CTA
- Call to action
The instruction that tells someone what to do next: book a table, call us, shop now. Test it: if someone reads only your last line, do they know what to do?
Our version: the sentence that turns attention into action.
- CTR
- Click-through rate
Clicks divided by impressions. If 1,000 people see an ad and 20 click, the CTR is 2%. A low CTR usually means the hook isn't doing its job.
Our version: how many people cared enough to move.
- ROI
- Return on investment
What you got back compared with what you put in: (return minus cost) divided by cost. Spend $1,000, get back $1,500, and your ROI is 50%.
Our version: was it worth it, in one number.
- ROAS
- Return on ad spend
Revenue from ads divided by ad spend. $4,000 in sales from $1,000 in ads is a ROAS of 4. It ignores your other costs, so it isn't the same as profit.
Our version: what each ad dollar brought back, before costs.
- KPI
- Key performance indicator
The few numbers you and your marketer agree will show whether it's working. Pick them before you start, and keep the list short.
Our version: the numbers we agreed to be judged by.
- SEO
- Search engine optimization
Making your website and listings easy for search engines to find, understand and show. For a local business that starts with a complete Google Business Profile, a clear site and good reviews.
Our version: being the answer when someone asks.
- CRM
- Customer relationship management
The system where you keep track of who your customers and leads are, and when you last spoke to them. A spreadsheet counts if you actually use it.
Our version: remembering people on purpose.
- CPC
- Cost per click
What you pay each time someone clicks your ad.
Our version: the price of a curious person.
- CPM
- Cost per mille
What you pay for every thousand times an ad is shown. Useful for comparing how expensive attention is on different platforms.
Our version: the price of being seen.
- UGC
- User-generated content
Content made by customers or creators instead of by the brand. It's also the name for paid creator content that's made to feel native to the feed.
Our version: your story, told by someone else.
- CAC
- Customer acquisition cost
What it costs, in total, to win one new customer. Compare it with what a customer is worth over time.
Our version: the real price of a new regular.
- LTV
- Lifetime value
What a customer is worth to you over the whole time they buy from you. If LTV is well above CAC, growth is sustainable. If it isn't, it's a leaky bucket.
Our version: why regulars matter more than one-offs.