Funnel marketing glossary
Plain definitions of the terms used across the site, the blog and the Academy, from advertorial to VSL. Where the product handles it, the entry links there.
0–9
- 3-D Secure (3DS)
An extra authentication step in which the card's bank verifies the buyer, for example in their banking app. It usually shifts fraud liability to the bank.
A
- A/A test
A split test between two identical versions of a page. Both should convert about the same, so it checks that the traffic split and the tracking work before you trust a real test.
How ElasticFunnels handles it: A/B test tutorial (FAQ: A/A tests)
- A/B test
- Advertorial
A paid page written like an editorial article that leads into an offer. Affiliates use it to warm up cold traffic before the sales page.
How ElasticFunnels handles it: Advertorial and presell builder
- Affiliate
A marketer who promotes someone else's product and earns a commission on each sale or lead they send.
How ElasticFunnels handles it: ElasticFunnels for affiliates
- Affiliate network
A marketplace that connects vendors with affiliates and handles tracking and payouts, such as ClickBank or Digistore24. Networks that pay per lead or action are often called CPA networks.
How ElasticFunnels handles it: Network integrations
- AOV (average order value)
Revenue divided by the number of orders. Order bumps and upsells raise it.
How ElasticFunnels handles it: Order bumps and upsells
- Attribution
Deciding which ad, campaign or channel gets credit for a sale. Models differ in how they share credit between the touchpoints before the purchase.
How ElasticFunnels handles it: Marketing attribution models, explained
B
- BIN
The bank identification number: the first 6 to 8 digits of a card, which identify the issuing bank, card type and country. Used for fraud rules and payment routing.
How ElasticFunnels handles it: Fraud rules by BIN, country and velocity
- Bonferroni correction
A guard against false winners when one test makes several comparisons: the significance level is divided by the number of comparisons. It matters when you run 3 or more variants.
How ElasticFunnels handles it: A/B test sample size calculator
- Break-even ROAS
The ROAS at which ad spend is exactly covered by gross margin: 1 divided by your margin. A 40% margin needs a ROAS of 2.5.
How ElasticFunnels handles it: ROAS calculator
- Bridge page
See Presell page.
C
- Call center
A team that calls or takes calls from leads and customers to close sales, recover declined or abandoned orders and handle support.
How ElasticFunnels handles it: Call center on the customer record
- CAPI (Conversions API)
Meta's server-side way to send conversions: your server reports the purchase directly to Meta instead of relying on the browser pixel alone. Google and TikTok have equivalents.
How ElasticFunnels handles it: Meta Ads integration
- Cascade (payment cascading)
Retrying a declined card payment on another merchant account or processor, so a soft decline does not lose the sale.
How ElasticFunnels handles it: MID routing and cascading
- Chargeback
A payment the cardholder disputes through their bank, which reverses it and usually charges the merchant a fee. Too many put the merchant account at risk.
How ElasticFunnels handles it: Chargeback prevention
- Chargeback alert
A warning from a network such as Ethoca or Verifi that a customer has opened a dispute, sent before it becomes a chargeback so the merchant can refund first.
How ElasticFunnels handles it: Dispute alerts
- Click ID
A unique ID an ad platform adds to the landing URL (fbclid for Meta, gclid for Google, ttclid for TikTok) so a later conversion can be matched to the click.
How ElasticFunnels handles it: Funnel analytics and attribution
- COGS
Cost of goods sold: what the product itself costs you, before ads and fees. Needed for real profit and break-even ROAS.
- Confidence interval
The range the true difference between two variants probably lies in. If a 95% interval for the lift includes zero, the test has not shown a real difference.
How ElasticFunnels handles it: Reading a split test result
- Control
In a split test, the current version of the page. Every variant is compared against it.
- Conversion goal
The action a test or campaign counts as a success: a purchase, a lead, a click. Decide it before the test starts.
How ElasticFunnels handles it: What a split test counts as a conversion
- Conversion rate (CVR)
The share of visitors who complete the goal: conversions divided by visitors or sessions. 30 purchases from 1,000 sessions is 3%.
How ElasticFunnels handles it: A/B test sample size calculator
- CPA (cost per acquisition)
Ad spend divided by the number of conversions. In affiliate marketing, CPA also names an offer that pays a fixed amount per action.
How ElasticFunnels handles it: CPA calculator
- CPC (cost per click)
Ad spend divided by clicks. Compare it with your EPC: pay less per click than you earn per click and the traffic is profitable before other costs.
How ElasticFunnels handles it: EPC calculator
- CPM
Cost per thousand ad impressions. It is how most social platforms price reach.
- CRM
Customer relationship management: the system that holds every lead and customer with their orders, messages and history.
How ElasticFunnels handles it: CRM and automations
- CTR (click-through rate)
Clicks divided by impressions, for an ad, or clicks divided by visitors, for a button or link.
- CVR
D
- Descriptor
The name that appears on the customer's card statement. A descriptor customers don't recognise causes chargebacks.
- Downsell
A cheaper offer shown after a customer declines an upsell, such as a smaller pack or a payment plan.
How ElasticFunnels handles it: Upsells and downsells
- Dunning
The emails and retries that try to recover a failed subscription payment before the customer is cancelled.
How ElasticFunnels handles it: Subscriptions and rebills
E
- EPC (earnings per click)
Revenue or commissions divided by the clicks or visits that produced them. Net EPC uses net revenue instead of gross.
How ElasticFunnels handles it: EPC calculator
F
- First-party data
Data you collect yourself on your own pages and checkout, rather than data an ad platform or third party collects about your visitors.
How ElasticFunnels handles it: Funnel analytics
- Funnel (sales funnel)
The sequence of pages a buyer goes through, from the ad click to the purchase and the offers after it: for example presell, sales page, checkout, upsells, thank-you page.
How ElasticFunnels handles it: What is a sales funnel?
H
- High-risk merchant
A business in a category banks consider riskier, such as supplements, CBD or subscriptions, because of higher chargeback and refund rates. It pays higher fees and usually needs several MIDs.
How ElasticFunnels handles it: High-risk MIDs for CBD and nutra
- Hop link
ClickBank's affiliate link. It carries the affiliate's nickname so the sale is credited to them.
How ElasticFunnels handles it: ClickBank for affiliates
I
- IPN (instant payment notification)
A message a payment platform such as ClickBank or PayPal sends to your server when an order, refund, rebill or chargeback happens.
How ElasticFunnels handles it: ClickBank vendor integration
L
- Landing page
The page a visitor lands on from an ad or link, built for one goal: a sale, a lead or a click to the next step.
How ElasticFunnels handles it: AI landing page builder
- Lead
A person who has shared contact details, such as an email or phone number, but has not bought yet.
How ElasticFunnels handles it: Leads in the CRM
- Learning phase
The period after an ad set is created or significantly edited, while the ad platform explores who to show it to. Delivery and costs are less stable until it exits.
How ElasticFunnels handles it: Split testing without resetting ads
- LTV (lifetime value)
The total revenue a customer brings over their whole relationship with you, including upsells and rebills.
How ElasticFunnels handles it: Funnel analytics
M
- MCP (Model Context Protocol)
An open standard that lets an AI app use outside tools. An MCP server is a small program that lists its tools; the app starts it and calls those tools when a task needs them.
How ElasticFunnels handles it: Add an MCP server to Claude Code
- MDE (minimum detectable effect)
The smallest lift a test is designed to detect reliably. Halving it roughly quadruples the sample size.
How ElasticFunnels handles it: A/B test sample size calculator
- Merchant account
A bank account that lets a business accept card payments. The bank that provides it (the acquirer) holds the funds before they reach you.
How ElasticFunnels handles it: What is a MID?
- MID (merchant ID)
The ID of a merchant account. Many businesses hold several MIDs to spread volume, keep a backup and route payments.
How ElasticFunnels handles it: What is a MID?
- MID routing
Choosing which merchant account processes each payment, by rule (country, card type, amount, volume caps) or by rotation.
How ElasticFunnels handles it: MID routing
- MOTO (mail order/telephone order)
A card payment an agent keys in for the customer, for example on a phone order. It is card-not-present, without the customer entering the card themselves.
How ElasticFunnels handles it: Phone orders in the call center
- Multivariate test
A test that changes several elements at once and measures each combination. It needs far more traffic than an A/B test.
How ElasticFunnels handles it: Split testing
O
- Opt-in page
A page whose only goal is to collect an email or phone number, often in exchange for a free guide or discount. Also called a squeeze page.
How ElasticFunnels handles it: Page templates
- Order bump
A small extra offer with a checkbox on the checkout page, added to the order before payment.
How ElasticFunnels handles it: Order bumps
- OTO (one-time offer)
An offer shown once, usually right after the purchase. Often used for the first upsell.
How ElasticFunnels handles it: One-click upsells
P
- p-value
How likely a difference at least this big would be if the variants really performed the same. Below the significance level (usually 0.05), the result is called significant.
How ElasticFunnels handles it: Reading a split test result
- Page events
In ElasticFunnels, the graph behind a page that decides what happens on each visit: split tests, redirects, conditions, popups. Every visit starts at the Funnel Entry Point.
How ElasticFunnels handles it: Open a page's events
- Payment gateway
The software that sends card details from your checkout to the processor and returns the approval or decline, for example NMI.
How ElasticFunnels handles it: NMI integration
- Payment processor
The company that moves the money for a card transaction between the card networks, the customer's bank and your merchant account.
How ElasticFunnels handles it: MIDs, processors and gateways
- Pixel
A snippet from an ad platform that runs in the visitor's browser and reports page views and conversions back to the platform.
How ElasticFunnels handles it: Meta Ads integration
- Postback
A server-to-server call that reports a conversion to a tracker, network or ad platform, usually with the click ID, so the sale is credited without relying on the browser.
How ElasticFunnels handles it: Affiliate tracking and postbacks
- Presell page
A page between the ad and the offer that warms the visitor up: a story, a quiz or an article. Also called a bridge page.
How ElasticFunnels handles it: Presell and advertorial builder
Q
- Quiz funnel
A funnel that starts with a few questions and uses the answers to recommend an offer or segment the lead.
How ElasticFunnels handles it: Quiz funnel builder
R
- Rebill
A recurring charge on a subscription or continuity offer, taken on a schedule after the first order.
How ElasticFunnels handles it: Subscriptions and rebills
- Refund rate
Refunded orders divided by all orders. Rising refunds eat into the revenue a test or campaign looked like it made.
- Revenue per visitor (RPV)
Revenue divided by visitors. It combines conversion rate and order value, so it is a fairer test metric than either alone.
- ROAS (return on ad spend)
Revenue divided by ad spend. $5,000 from $2,000 of ads is a ROAS of 2.5.
How ElasticFunnels handles it: ROAS calculator
S
- S2S (server-to-server) tracking
Tracking where conversions are reported from one server to another, with postbacks or APIs, instead of through browser pixels and cookies.
How ElasticFunnels handles it: Affiliate tracking
- Sample size
The number of visitors each variant needs before you judge a test. It depends on the conversion rate, the lift you want to detect, the significance level and the power, and is fixed before launch.
How ElasticFunnels handles it: A/B test sample size calculator
- Session
One visit: the pages a visitor sees from arriving until they leave or go idle. Split test conversion rates are usually per session.
- Soft decline
A temporary card decline, such as insufficient funds or a bank timeout, that may succeed on a retry or on another MID. A hard decline, such as a stolen card, will not.
How ElasticFunnels handles it: Retrying soft declines
- Split test (A/B test)
Showing two or more versions of a page to comparable visitors at the same time and keeping the one that performs better on the goal you set.
How ElasticFunnels handles it: Split testing under one URL
- Statistical power
The chance a test detects a real lift of the size you planned for. 80% is the usual target.
How ElasticFunnels handles it: A/B test sample size calculator
- Statistical significance
A result is statistically significant when the p-value is below the significance level you set, usually 0.05 (95% confidence). It says the difference is unlikely to be chance, not that it is large.
How ElasticFunnels handles it: Reading a split test result
- Sticky assignment
Showing a returning visitor the same variant they saw first, so nobody flips between versions during a test.
How ElasticFunnels handles it: A/B test tutorial (FAQ: returning visitors)
- Sub-ID
A free-text tracking parameter on an affiliate link (sub1, sub2…) that affiliates fill with the campaign, ad or placement to see which one sold.
How ElasticFunnels handles it: Affiliate tracking
T
- Take rate
The share of buyers who accept an upsell or order bump: accepted offers divided by the buyers who saw them.
How ElasticFunnels handles it: Upsells
- Traffic split
The share of visitors each variant gets, such as 50/50 or 70/30. An uneven split is safer for the control but takes longer to reach the sample size.
How ElasticFunnels handles it: Setting the traffic split
U
- Upsell
An extra or upgraded offer shown after the customer has bought, often with one click and no need to re-enter the card.
How ElasticFunnels handles it: What is an upsell?
- UTM parameters
Tags added to a link (utm_source, utm_medium, utm_campaign, utm_content, utm_term) that say where a visit came from.
How ElasticFunnels handles it: Revenue by UTM source
V
- VAMP
The Visa Acquirer Monitoring Program, which watches merchants' fraud and dispute ratios and fines or restricts those above the thresholds.
How ElasticFunnels handles it: Chargeback prevention
- Variant
One of the versions in a split test. The control is the current version; the others are challengers.
- Vendor
The product owner who sells through an affiliate network and pays affiliates a commission on their sales.
How ElasticFunnels handles it: ElasticFunnels for vendors
- VSL (video sales letter)
A sales page built around a video that makes the pitch, usually with the order button shown after the offer is revealed.
How ElasticFunnels handles it: VSL funnel builder
Missing a term? Ask us on the contact page. More in the blog and the Academy.