If you are planning to start an online consulting business or a new member of the online consulting family, you may have heard of some phrases that you didn’t quite get the meaning of. In this article, we listed 18 online consulting business buzzwords for you! Some of these words are commonly used not only in e-consulting business but also in every business sector and daily life. Moreover, we explained these words in a way to see them in a different way, tools to help you grow your online consulting business. Let’s dive in!
80-20 Rule: Also known as Pareto Principle, it is about the imbalance of inputs and outputs. It means that 80% of outputs come from %20 of inputs. To be more clear, let’s look at a few examples of how the Pareto Principle works. According to the Pareto Principle, %20 of the sales reps generate 80% of total sales. Pareto Principle in business relates to time management. Pareto Rule can help you to prioritize your goals and use your time effectively.
Action Plan: The first step to a successful business is to make an action plan. In essence, an action plan is a checklist for the task you need to accomplish. Setting your goals, making a plan, and keeping up with them are crucial for any type of online consultancy business.
B2B: If you are wondering what B2B means, you are at the right place. B2B stands for “business to business” and is a form of transaction between businesses, meaning your primary target is another business.
B2C: If you are familiar with the term B2B, then you probably know what B2C means as well. B2C is an abbreviation for “Business to Consumer” and means that the end-user of your products is consumers, not companies. In a B2C business, you sell your products or services directly to the consumers and there is no middle person involved. For example, as an online consultant, you offer your services directly to your counselees.
Bandwidth: Actually bandwidth is a technology term, but nowadays business people have borrowed it and are using it every day. It is used in the capacity of taking on work commitments. As you know by now, planning your workflow is highly important to achieve your goals and your time is limited. When you don’t have the capacity to do a new task or take in a new client, you can simply say “I don’t have the bandwidth for that”.
Benchmarks: When you have a type of online consulting business, you have to do an analysis of the relevant sector and what you do is called benchmarking. Benchmarking is a process of measuring the products, services, and processes of your competitors, it can help you identify opportunities, systems, and show a way to improve your own business. If you don’t know where to find industry benchmarks, search engines are the best place to start.
C2C: Another term that is similar to B2B and B2C is C2C, and after reading the explanations of those terms, you can guess what C2C means. C2C or “customer to customer” is a business model where customers trade with each other using channels such as eBay, Amazon or Etsy.
CAC: Customer Acquisition Cost means the approximate cost to get a new client. To calculate CAC you should divide your expense four sales and marketing operations to the number of new clients. It helps businesses evaluate their future business plan and optimize their sales and marketing activation budgets.
Consultancy: The dictionary definition of consultancy is the activity of giving advice on a particular subject. If you think about starting an online consultancy business, it means that you will offer your expertise on a topic to others to help them. Becoming an online consultant has several benefits and click here to learn how to become an online consultant and offer your knowledge to others!
Core Client: As an online consultant you offer your expertise and knowledge to several customers. However, before becoming a consultant, you have to define your target audience and this will help you determine who your core client is. Core client or core customer can be defined as your “most important customers” who you have or will have a long-standing relationship and continual dialogue. To get the best of your consulting business, you’ll have to define your core clients and adjust your workflow accordingly.
Core Competencies: As a consultant, what you do on a daily basis is giving advice to your customers about your expertise. You may be an expert on more than one thing, but there is an area that you are the best at among your abilities and that is your “core competence”. You have to identify and develop your core competencies to achieve your goals in online consulting. Don’t forget to read our article on how to be a successful online consultant.
Customer Retention: This term is related to customer satisfaction and loyalty to your business. Customer retention means a business’ ability to turn new clients into loyal and continuous ones. If your customer retention rate is high that means your customers continue to use your product or service consecutively.
E-Consultancy: We explained what consultancy is above and e-consultancy is pretty much the same thing. However, the medium is changed; you connect with your counselees online to share your wisdom rather than face-to-face meetings. Check out our article on what e-consultancy is and learn why you should get into the online consulti
KPI: You may have heard of this term before. KPI Stands for key performance indicators, meaning a quantifiable measure used to evaluate the success of an employee or an organization. Defining the KPIs of your online consulting business can be tricky. However, you can try asking yourself questions such as “What is the desired outcome?” or “What are your plans to track your progress?”.
Opportunity Cost: Originally an economics term, opportunity cost means the forgone benefit that would have been derived by an option not chosen. You may be asking “Why opportunity cost is important” for your online consulting business. For every business decision you make, you should consider the opportunity cost by defining the cost and benefits of every option.
ROI: Return of Investment, ROI is a measure of the efficiency of the investment and actions. To calculate ROI, the benefit or return is divided by the amount of the investment and multiplied by 100. ROI is a ratio of performance evaluation of your investment.
SWOT: Let’s learn what SWOT Analysis means. What SWOT stands for is Strengths, Weakness, Opportunities, and Threats. With a SWOT Analysis, you can develop your business strategy and identify your strengths and weaknesses, discover new opportunities and learn threats and take precautions. Doing a SWOT Analysis is crucial for your online consulting business.
Webinar: There are many terms that have been in our lives for a long time, but whose popularity has increased in recent years. The webinar is one of them. With high-speed internet connections, the number of live streams was boosted. Webinar means simply web-based seminar. Presentations, lectures, workshops, keynotes can go live with webinars to the public or for specific groups of viewers. You can host a webinar whenever and wherever you want. If you want to learn about webinars and how to conduct a successful webinar visit our article!
Now, you have learnt the crucial terms of the online consultancy world. Do you want to see more information about online consultancy? Check out our blog! If you have an idea to build your online consultancy business you can click here and explore Gurulize or get your free trial from here.