3-3 vocab
Average Order Value (AOV): Measures the average monetary transaction value for all customer orders, providing insights into purchasing behavior.
Cost of Goods Sold (COGS): The cost a company pays for the goods it sells; it includes the cost of the raw materials along with the direct labor and manufacturing costs used to produce the goods.
Cost Per Click (CPC): A digital marketing metric that represents the price an advertiser pays each time a user clicks on their ad.
Cost Per Impression (CPI): A digital marketing metric representing the cost an advertiser pays for every impression of their ad.
Cost Per Mille (CPM): A digital marketing metric representing the cost an advertiser pays for every one thousand impressions of their ad.
Customer Acquisition Cost (CAC): The cost to acquire a customer.
Customer Lifetime Value (LTV): A marketing metric that estimates the total revenue a customer will generate over their duration of time as a customer.
Gross Margin: The difference between a company's sales revenue and its cost of goods sold (COGS), divided by its sales revenue, expressed as a percentage.
Gross Profit: Sales revenue minus cost of goods sold (COGS).
Net Profit: Gross Profit minus all expenses, and often referred to as a company's "bottom line".
Return on Ad Spend (ROAS): A digital marketing metric that measures the return on ad dollars spent by comparing the revenue generated to the cost of running the ad.
Return on Investment (ROI): Measures the gain or loss generated on an investment, compared to the amount of money invested, and is normally expressed as a percentage.