A
A/B Testing: A method of comparing two versions of a webpage, email, or advertisement to determine which one performs better.
Affiliate Marketing: A performance-based marketing strategy where affiliates earn a commission for promoting a merchant’s products or services.
Average Order Value (AOV): The average dollar amount spent by customers per order.
Analytics: The process of collecting and analyzing data to make informed business decisions.
Attribution Model: A framework that determines how credit for sales and conversions is assigned to touchpoints in the customer journey.
B
Backorder: Products that are out of stock but available for customers to purchase, with delivery delayed until restocking.
Bounce Rate: The percentage of visitors who leave a website without taking any action, such as clicking on a link or making a purchase.
Bundling: Selling multiple products together as a single package at a discounted price.
Business-to-Business (B2B): Transactions between businesses, such as a wholesaler and a retailer.
Business-to-Consumer (B2C): Transactions where businesses sell directly to individual consumers.
C
Cart Abandonment: When a customer adds products to their shopping cart but leaves the website without completing the purchase.
Conversion Rate: The percentage of visitors who complete a desired action, such as making a purchase.
Customer Lifetime Value (CLV): The total revenue a business can expect from a single customer over the duration of their relationship.
Cross-Selling: Encouraging customers to buy related or complementary products in addition to their original purchase.
Click-Through Rate (CTR): The percentage of people who click on a link after seeing it, often used in email or ad campaigns.
D
Dropshipping: A retail fulfillment method where the store doesn’t keep inventory but instead transfers orders to a third party for direct shipment to the customer.
Dynamic Pricing: Adjusting prices in real-time based on demand, competition, and other factors.
Data Feed: A file that provides structured data about products, such as for Google Shopping or marketplace listings.
Demand Forecasting: Predicting future customer demand based on historical sales data and trends.
E
Email Marketing: Using email to promote products, build customer relationships, and drive sales.
eWallet: A digital wallet that allows customers to store payment information and make online purchases securely.
Encryption: The process of encoding data to protect it during transmission, ensuring secure online transactions.
Exit Intent: A technology that detects when a user is about to leave a website and triggers targeted offers or messages.
F
Fulfillment: The process of storing, packing, and shipping products to customers.
Free Shipping Threshold: A minimum purchase amount customers must reach to qualify for free shipping.
Fraud Prevention: Tools and strategies to detect and prevent fraudulent transactions in ecommerce.
Flat-Rate Shipping: A shipping fee that remains the same regardless of order size or weight.
G
Gross Merchandise Value (GMV): The total value of products sold over a specific period, excluding returns and discounts.
Google Ads: An advertising platform where businesses pay to display ads in Google search results and across its ad network.
Gateway Page: A landing page designed to lead visitors to specific areas of a website or to complete a particular action.
Geotargeting: Delivering content or advertisements tailored to a user’s geographic location.
H
Heatmap: A data visualization tool that shows how users interact with a webpage, highlighting popular and overlooked areas.
Headless Commerce: A decoupled ecommerce architecture where the frontend and backend are separated, offering more flexibility in design and functionality.
Hyper-Personalization: Using real-time data and AI to create highly tailored shopping experiences for customers.
Hosting Provider: A service that provides the infrastructure necessary for a website to be accessible on the internet.
I
Inventory Management: The process of tracking and controlling stock levels to ensure products are available without overstocking.
Integrated Payments: Payment systems seamlessly connected to an ecommerce platform for secure and efficient transactions.
Influencer Marketing: Partnering with social media influencers to promote products and reach targeted audiences.
IP Tracking: Monitoring the location and activity of website visitors based on their IP address.
J
Just-In-Time Inventory (JIT): A strategy where products are manufactured or ordered only when needed to minimize storage costs.
JSON-LD: A lightweight data format used to structure ecommerce product information for search engines.
Joint Venture: A strategic partnership between two businesses to collaborate on a shared ecommerce project.
Journey Mapping: Visualizing the steps a customer takes from discovery to purchase and beyond.
K
Key Performance Indicator (KPI): Metrics used to measure the success of a business, such as sales growth or customer retention.
Keyword Research: The process of identifying popular search terms to optimize ecommerce content for search engines.
Kitting: The process of bundling multiple products into a single package for sale.
Knowledge Base: A self-service repository of information for customers, including FAQs and how-to guides.
L
Landing Page: A standalone webpage designed to drive a specific action, such as purchasing a product or signing up for a newsletter.
Logistics: The planning and execution of product storage, transportation, and delivery.
Loyalty Program: A rewards system designed to encourage repeat purchases by offering points, discounts, or exclusive perks.
Lead Magnet: A free offer, such as an ebook or discount code, used to capture customer email addresses.
M
Mobile Optimization: Designing an ecommerce website to function seamlessly on smartphones and tablets.
Marketplace: A platform where multiple sellers list and sell their products, such as Amazon or eBay.
Micro-Conversion: A small step that leads toward a primary conversion, such as signing up for a newsletter.
Merchandising: The practice of displaying and promoting products to maximize sales.
N
Net Promoter Score (NPS): A customer loyalty metric that measures the likelihood of customers recommending a brand.
Newsletter: A regularly distributed email used to share updates, promotions, and news with subscribers.
Native Advertising: Ads designed to blend in seamlessly with the content on a platform.
Niche Market: A specialized segment of the market targeted by specific products or services.
O
Omnichannel: A multichannel approach to sales and marketing that provides a seamless customer experience across all platforms.
Order Management System (OMS): Software that tracks and manages the order lifecycle from purchase to delivery.
Organic Traffic: Website visits that come from unpaid search engine results.
Onsite Search: The search functionality within an ecommerce website to help customers find products quickly.
P
Payment Gateway: A service that processes credit card payments for online purchases.
Personalization: Tailoring the shopping experience based on customer preferences, behavior, or demographics.
Product Feed: A file that contains structured data about a store’s inventory, used for advertising and listing purposes.
Pre-Orders: Allowing customers to purchase products before they are officially released or restocked.
Q
Quality Assurance (QA): The process of ensuring products or services meet specific quality standards before reaching customers.
QR Code: A scannable code used to direct customers to specific product pages or promotional offers.
Quick View: A feature that allows customers to view product details without leaving the current page.
Quarantine Stock: Inventory held temporarily due to quality or compliance issues.
R
Retargeting: Advertising strategy aimed at re-engaging customers who visited a website but didn’t complete a purchase.
Return on Investment (ROI): A measure of profitability calculated by dividing net profit by total investment cost.
Referral Program: A system where customers earn rewards for referring new customers to the brand.
Reverse Logistics: The process of managing product returns, exchanges, or recycling.
S
Search Engine Optimization (SEO): Techniques used to improve a website’s visibility in search engine results.
SKU (Stock Keeping Unit): A unique identifier assigned to each product for inventory management.
Split Testing: Another term for A/B testing, comparing two versions to optimize performance.
Subscription Model: A business model where customers pay recurring fees for access to products or services.
T
Third-Party Logistics (3PL): Outsourcing fulfillment operations, including warehousing, packing, and shipping, to an external provider.
Transactional Email: Automated emails sent to customers after specific actions.
U
Upselling: Encouraging customers to purchase a more expensive version of a product or add premium features.
User Experience (UX): The overall experience a user has while interacting with a website or app, emphasizing ease of use and satisfaction.
Unique Selling Proposition (USP): A factor that differentiates a product or brand from its competitors.
URL Redirect: A technique to send users from one web address to another, often used after rebranding or restructuring a site.
V
Value-Added Tax (VAT): A consumption tax applied to goods and services at each stage of production or distribution.
Virtual Reality (VR): An immersive technology that allows customers to experience products in a simulated environment.
Visitor Behavior Analysis: Tracking and analyzing how visitors interact with an ecommerce site to optimize performance.
Voice Commerce: Using voice-activated devices to search for and purchase products online.
W
Web Hosting: A service that provides the infrastructure to store and display a website on the internet.
Wishlist: A feature that allows customers to save products they are interested in for future purchase.
Warehouse Management System (WMS): Software that helps manage inventory, picking, and shipping within warehouses.
Wholesaling: Selling products in bulk, typically at a lower price, to other businesses rather than directly to consumers.
X
XML Sitemap: A file that lists a website’s pages to help search engines crawl and index them effectively.
Cross-Selling (X-Sell): Another term for promoting related products to customers, often abbreviated as X-Sell.
XaaS (Anything as a Service): A broad term for services offered over the internet, such as SaaS or PaaS.
Y
Yield Management: A pricing strategy based on consumer behavior to maximize revenue, often used in ecommerce for dynamic pricing.
YouTube Marketing: Promoting products or brands through video content on YouTube.
Year-Over-Year (YoY): A comparison of metrics like revenue or traffic over the same period in the previous year.
Yellow Tags: A retail term referring to clearance or sale items, often used to denote promotions online.
Z
Zero Inventory: A dropshipping strategy where no inventory is kept on hand; products are shipped directly from suppliers.
Zone Pricing: A shipping strategy where rates are based on the distance between the warehouse and delivery address.
Zoomable Images: High-quality product images that allow customers to zoom in for detailed views.
Z-Score Analysis: A statistical method used to measure performance against a benchmark in ecommerce.
Transactional Email: Automated emails sent to customers after specific actions, such
