Churn Rate

The video discusses the importance of online marketing and the ultimate goal of making sales. It introduces the concept of churn rate, which measures the effectiveness of online sales by comparing completed transactions to those initiated. A high churn rate is desirable, indicating successful transactions. Factors like pricing issues and website performance can negatively impact churn rate. The video emphasizes the need to address these issues to improve sales effectiveness.

What is the primary goal of online marketing?

• Increasing website traffic

• Building brand awareness

• Making sales

• Engaging with customers

How is churn rate defined in online marketing?

• The number of website visitors

• The ratio of completed to initiated transactions

• The average time spent on a website

• The number of new customers acquired

What does a high churn rate indicate?

• The website has high traffic

• Many transactions are abandoned

• Few transactions are initiated

• Most transactions are completed

Why might a transaction not be completed due to pricing?

• The payment method is not accepted

• The product is out of stock

• The price is higher than expected

• The website is too slow

What website issue can lead to a lower churn rate?

• High-quality images

• Fast loading times

• Poor website performance

• User-friendly navigation