B2B SaaS Marketing Glossary

Account-Based Marketing (ABM) is a B2B marketing strategy that focuses on targeting high-value prospect accounts with personalized communication and requires close collaboration between marketing and sales teams.

Customer Acquisition Cost (CAC) is the total sum of sales and marketing expenses that must be spent to acquire a new customer.

Customer Lifetime Value (CLV) is a business metric that describes the total contribution margin of a customer throughout their entire customer relationship with a company, including past revenues and future expected sales.

A Marketing Qualified Lead (MQL) is a lead that shows significant interest in a product or service and is therefore more likely than a regular lead to convert into a paying customer.

Product-Led Growth (PLG) is a go-to-market strategy that focuses on using the product itself as the main driver for user acquisition, conversion, customer retention, and expansion by providing an outstanding user experience and viral product features.

A Sales Qualified Lead (SQL) is a potential customer who has gone through the sales process and shown enough interest that the sales team can treat them as an actively convertible customer.

Sales Development Representatives (SDRs) focus primarily on qualifying inbound leads generated through marketing activities and preparing them for the sales process. Business Development Representatives (BDRs), on the other hand, focus on outbound activities to identify new business opportunities and open new markets through active prospecting and cold calling.

Software-as-a-Service (SaaS) is a distribution model where software applications are provided over the internet as a service on a subscription basis without requiring local installations.