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Incrementality

Incrementality

Noun

[in-kruh-men-talitee]

In marketing, incrementality is a metric of how marketing and advertising increase desired conversion rates, such as revenue, website traffic, and profitability. It refers to growth, traffic, and revenue that can be attributed to marketing efforts.

Incrementality can point to how much a certain campaign, channel, or project affected metrics like revenue and traffic. The point of incrementality is to prove the impact of a marketing variable by isolating it. Incrementality can be measured in a few ways, including holdout tests and multivariate tests.

Example: To test the incrementality of a new newsletter design, Cole ran a holdout test with two subject groups. He found the new design increased click through rates by 6%.

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I
Independent software vendor (ISV)

Noun

[in-dee-pen-dint sohft-ware venn-der]

An independent software vendor (ISV) creates, markets, and sells software that runs on one or more computer operating systems (OS) or cloud platforms. In other words, an ISV is a company that distributes its own software. ISVs often distribute their software on marketplaces. Hardware providers, operating systems, and cloud platforms can all offer ISVs on their marketplace, but they'll only accept, or ISV certify, the ones with the best or most relevant software.

Independent software vendors build software for human use, which distinguishes them from original equipment manufacturers (OEM) who normally develop software for backend use. Computer hardware and operating system companies (for example, Microsoft, Apple, and Google) often include ISVs in special partnership programs. This is because the more applications that can run on a platform, the more value it can generate for the platform provider.

When it comes to cloud computing, ISVs often sell their software on a software as a service (SaaS) basis, through platforms like SalesForce AppExchange and Microsoft Azure.

Example: Joino developed its own software, which was ISV certified on Amazon Web Services (AWS). AWS sold the software to end users, and Joino enjoyed a healthy profit.

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Integration

Noun

[in·tuh·gray·shn]

Integrations, in B2B SaaS, are third-party applications that enhance the functionality of other existing hardware or software. Integrations leverage already existing technology and help to improve it. In the partnerships world, SaaS businesses will often partner together to sell their software and integrations to their overlapping customer base.

Example: Technology partners are other software companies that your product is built to integrate with, or who build integrations for your product themselves.

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