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Look around, and you will find abundant stories of Cybercrime flooding the internet World. Attackers are finding newer ways to steal private customer data from businesses and using them for their own financial benefits. The consequences are even worse for companies whose business itself is solely based on the internet. The Akamai’s State of the Internet report says that over 8.3 billion malicious login attempts were identified in May and June this year. These are nothing but Credential Stuffing Attacks. Let’s learn more about it.What is Credential Stuffing
While creating a password for your online credit card or internet banking account, you are often asked to create a strong password consisting of a capital letter, special character, number, etc. Do you come up with something complex as aXZvXjkdA(0LJCjiN? The answer could well be a “No”.
Usually, we try and come up with something that we can remember easily. For instance, [email protected], which, though satisfies all the preconditions of making a password like it contains a capital letter, a number, and a special character – still is not the password that is hard to break nowadays. It’s worse when you use your birthdates, favorite movie names, favorite Basketball player names, spouse name or even your toddler’s name in your passwords. If this was not enough, we tend to use the same passwords for multiple site logins.
Now if even one of the site that you log in is breached by attackers, your login credentials stand exposed and ready to be exploited.
Attackers can then take your credentials and supply them into an automated tool. This tool can then run those accounts against a target site to see what credentials will work. Think about what they can do if they can gain access to a retail site or worse, your banking site? They are stealing sensitive information or even worse, transfer money to other accounts they create. This whole activity of fraudulently gaining access to others account is called as Credential Stuffing.
With Credential stuffing attack an attacker can use automated scripts and bots to try each credential against a target web site. It uses breached credentials in order to fraudulently gain access to online accounts, and can be considered to be a subset of Brute Force Attacks.Targets of Credential Stuffing
Apart from a normal Internet users, Credential Stuffing attacks are aimed at organizations in a variety of industries like banking, financial services, government, healthcare, education and more.Consequences of Credential Stuffing attacks
Victims of Credential Stuffing attacks face financial as well as other tangible losses. Here are some of them:
Almost all businesses store some amount of personally identifiable information on employees or customers, and these companies are legally obligated to protect this information. In case of an information breach, the company is bound to face reputation loss in the market.
Leaked customer data or business information can often invite regulatory fines. Governments and regulatory bodies can levy stiff fines based on the severity of the breach. These financial burdens can add up and devastate businesses of all sizes.
Companies are bound to incur operational costs due to investigations, remediations, and customer management arising out of Credential Stuffing attacks. The cost can scale to millions, depending on the scope of the attack.
Customer loss is revenue loss, and most companies are likely to lose customers if they are unable to protect their sensitive business data.How to prevent Credential Stuffing attacks
Taking some basic precautions is the best way to protect from Credential Stuffing attacks. Here is what all you can do:
Best practices for passwords – Adopt best practices when it comes to password management. Set strong and unfamiliar passwords and change them continuously. Also, do not use the same password for multiple logins.
Use VPN – With remote access becoming a way of doing business, use of VPN is necessary. A VPN software allows for a secure network connection even on unsecured networks so that employees can safely use their credentials to access the company network from wherever they are.
Two-factor authentication – Logins that follow a two-factor authentication offer great protection because the second access code is not stored in a database and hence cannot be trapped. In Two-factor authentication, a password is sent to phone or email and is valid only for 60 sec. This essentially downgrades credential-stuffing attacks to distributed denial of service threats, and hence they cannot penetrate that network’s defenses.
Firewalls – Firewalls identify malicious traffic and block the source IP address, shutting down the attack from the source.
Heard of Password Spray Attacks by the way?
You're reading What Is A Credential Stuffing Attack
A follow train (also known as a follow chain or a follow for follow group) is a group of people who follow each other on a social media platform (e.g Instagram, Twitter, TikTok).
Participating in a follow train is a popular method used by many to grow their social media followers (especially Instagram).
Follow trains help you to grow your social media followers quickly and easily.
The follow train is originated from Instagram back in its early days, and it’s still very popular in the present for one reason—it works.How does a follow train work?
A follow train works by sharing your social media handle, following others that interest you, and sending them a direct message telling them where you found them from (e.g. Reddit).
Let’s get into each one of the steps in detail.
Firstly, you’ll have to share your social media handle ‘link here’ in a follow train (e.g. chúng tôi in order for people to find and follow you.
In addition to sharing your social media handle, certain groups require you to write up a short description of yourself or the content that you post.
This is to allow people to know your niche, so they’ll only follow you if they are interested in your content.
Secondly, you can follow others that interest you.
A common fault in follow trains is that people don’t like to follow first. This can be due to ego, distrust, laziness, etc.
So if you do happen to follow others first, you can grow your followers at a faster rate then if you were to just share your social media handle.
Follow trains work because people follow each other, so someone needs to follow first in order for it to work.
The last step (and the most important one) is to direct message the person telling them where you found them from (e.g. Reddit).
This step is crucial because if you don’t send them a direct message, they won’t know that you’re doing follow for follow.
If you follow these three steps, you’re guaranteed to receive a follow back almost all of the time.Types of follow trains
There are various types of follow trains (not only Instagram).
Here is a compiled list of follow trains you can check out to grow your followers.
All of them are completely free to join and are great places where you can connect with people in your niche.Instagram follow train
Follow trains are widely used by Instagram users who want to quickly grow their followers.
One of the most popular follow trains for Instagram is the r/Instagram community on Reddit.
The community has a “Follow Friday” thread where you can share your Instagram handle with others every Friday.
The goal of the thread is to find new people to follow on Instagram and expand your follower-base in the process.
There are lots of people in varying niches on the “Follow Friday” thread—from photography to personal accounts so you’ll definitely find someone in your niche.
Hundreds of Redditors use the thread on a weekly basis to grow their Instagram followers. You’ll be surprised by the number of followers you’ll get when you first start using it.
I’ve personally used the “Follow Friday” thread for about 2 years now, met a lot of interesting people, and had meaningful conversations.
You can potentially gain hundreds of followers from the thread if you use it consistently.
A cool tip about the thread is that it resets every Friday at around 9 am EST.
So, it’s best to share your Instagram handle at that time for maximum visibility.Twitter follow train
A popular user who hosts Follow trains on a consistent basis is @toolzbabe on Twitter.LinkedIn Follow Train
(Insert indiehackers linkedin screenshot here)
LinkedIn is another platform where follow trains can be used to expand your network.
However, LinkedIn follow trains are not common as there aren’t as many LinkedIn users as compared to other social media platforms like Instagram or Twitter.
That being said, the most popular follow train for LinkedIn is started by a post on Indiehackers.
Indiehackers has various follow for follow posts like, “Hacking Twitter”, “Hacking Instagram”, and so on.
These posts are basically follow trains for various social media platforms.
In order to expand your connections on LinkedIn, you can use the “Hacking LinkedIn” post on Indiehackers.
Simply request to connect with the users that shared their LinkedIn handle and tell them that you’re from Indiehackers.
These “Hacking x” posts are only created once in a while, so you’ll have to be sure to look out for them.
They are incredibly useful if you want to expand your network quickly.Follow train rules
• You should always follow others back from a follow train especially if the person that followed you sent you a direct message.
• Try to write-up a short description about yourself or the content that you post so that people can easily identify your niche.Advantages of a follow train
Follow trains have existed since the early days of social media (particularly Instagram) and people are still using them to grow their accounts to this day.
Are you wondering why they’re still such a popular growth strategy?Quick way to grow your followers
Firstly, a follow train is a quick way you can grow your social media followers.
If you were to join a follow for follow group on Instagram now, all you need to do is to share your Instagram handle and people will start following you.
In addition, you can follow others that shared their handle. They’ll follow you back if you send them a direct message telling them where you came from (e.g. Reddit).
Follow trains are specifically catered for people who want to grow their followers by following others. This is also known as follow for follow.
As follow trains are made up of people looking to expand their follower-base through the means of following each other, everyone is like-minded.
Thus, the majority of people will follow you back and not unfollow.You can find new people to follow
Follow trains enable you to find new and interesting people/content to follow.
As people usually share a short description of themselves or the content that they post, you can easily identify people in your niche to follow.
Consequently, your engagement rate will increase as both parties are in the same niche, and enjoy each other’s content.
The thing about Instagram’s search is that you need to know the username of a person before you can find and follow them.
If you were to search for a keyword on Instagram, the top search results will be dominated with accounts with a large number of followers.
Follow trains give you the ability to find new people and content which cannot be achieved from an Instagram search.
After all, Instagram’s search is incredibly restrictive, so you can utilize a follow train to broaden it.Attract the right audience
It’s important to attract the right audience on Instagram as you don’t want people that are uninterested in your content to follow you.
If they do, it’ll negatively affect your engagement rate.
Naturally, you’ll be more inclined to like someone’s posts that are in the same niche as you.
This is because you have the same interests as them. Follow trains give you the ability to attract the right audience if you specify your niche.
If you’re a business, this is especially important. Attracting the right people can lead to more conversions and sales.
Instead of blindly following people from a list, you should focus on attracting the right audience, and a follow Train will enable you to do that.It’s time-consuming
If you’re utilizing a follow train, you need to be very consistent with it if you want to grow your social media followers quickly.
Joining a follow train is about sharing your social media handle with others. But that’s not enough if you’re looking to gain hundreds of followers.
In order to grow your followers by hundreds, you’ll have to constantly follow and direct message others first instead of waiting for them to do so.
This is incredibly time-consuming as you’ll have to dedicate at least an hour a day to follow and message various people.
In addition, social media apps like Instagram will impose an action block on your account if you follow or direct message others too quickly.
This will hinder your growth efforts.
In order to prevent to action block, you’ll have to be sure to follow and direct message in intervals of 5 to 10 minutes.
In addition to sharing your social media handle, following, and direct messaging others, you’ll have to watch out for the action block as well—which makes it time-consuming.
If you’re not consistent with it, you’re not going to get a lot of followers.Your feed may be overcrowded
Secondly, by utilizing a follow train, your feed may be overcrowded with posts.
This is because the more people you follow, the more posts you’ll have on your feed.
This makes it harder for you to like every post on your feed and you might miss the posts from people you care about.
Thus, it’s important that you mute people who post too much.
Overposters are one of the worst types of people on Instagram as they clutter your feed unnecessarily.
To identify overposters, simply visit someone’s profile and check the time frame between each post.
If the time frame between their posts is short (a few hours), then they might be an overposter.
If that’s the case, you have to make sure to mute the person’s posts right after following them.
You can do so by refreshing your Instagram feed right after following them.
Once you do so, their posts will most likely appear at the top of your feed where you can tap on the “triple dots” icon to mute them.Unorganized feed
If you’re not meticulous about who you follow, your feed might be filled with posts in varying niches.
This means that your feed will be very unorganized—from photography posts to memes to fitness.
To prevent an unorganized/messy feed, be sure to include a short description of yourself or the content that you post so that people can identify your niche and follow you only if they like your content.
In addition, you can explicitly mention that you’re only following back people in your niche.
This will make sure that your feed stays consistent (with posts within a niche).Conclusion
Growing your social media can be challenging, but it’s not rocket science.
There are many ways to grow your social media followers, and follow trains are one of them.
The best part about follow trains is that you can stop using them once you’re satisfied with the number of your followers.
The only restriction to watch out for is the rate in which you’re following or direct messaging others.Further Reading
In computing, a server is a computer that constantly runs. Serving whatever content and functionality it has been configured to perform. A classic example of this is a web server, which helps web pages that can vary depending on the user’s request. Servers can host any application that works on the server-client model. Online video games are another excellent example. A physical server runs the game server application for users to connect to.
Note: Both the physical hardware used as servers and the software that runs on them for users to connect are referred to as servers.
One of the issues that servers, as well as most other enterprise-grade computer hardware, have to deal with is high levels of specialization. Enterprise networking hardware, such as routers, switches, servers, etc., is all relatively space limited. These machines are designed to fit into server racks. Typically taking up one to four “U” of the height of a 48U 7-foot-tall server rack.
Note: A “U” is a standard unit of height for computer hardware designed to fit in server racks.
Not only do servers have limited space, but they also have limited cooling capacity and power limits. These restrictions mean that server hardware is designed to be as efficient as possible through specialization. Unfortunately, this means there is limited space for other hardware, such as hard drives. Hard drives are necessary to hold the operating system and run the server. Still, they’re also required to keep the vast store of data that the server may need to serve and the data it collects.Enter the Disk Server
Servers have some built-in and sometimes expandable storage. But this isn’t enough space for modern server needs. Additionally, many servers are not a single server but multiple servers acting behind a load balancer that helps to ensure that no one server gets overloaded. If you stored the actual data that the application runs on each server, you’d have a massive data duplication issue.
Another type of specialized hardware is used to get around all of these issues, the disk server. The disk server is designed to fit in a standard server rack and hold as many hard drives as possible. A disk server will also be kitted out with enterprise-grade connectivity so that data can be provided to the actual server as quickly as possible. In most cases, a RAID array will be used to provide some level of resilience to drive failure. And potentially a performance improvement, depending on the array’s configuration.
The disk server is a single point for storage drives to be located. Of course, with substantial data sets, even a single disk server won’t be able to provide enough storage space. So, multiple disk servers may be needed. A disk server should be directly accessed by actual physical servers in a properly configured network. The end user should not be able to connect directly to the disk server.NAS
In a home environment, the NAS server is essentially the same as a disk server. A NAS server provides network connectivity for a (smaller) number of hard drives allowing other computers on the same network to access that data. There are some differences, though. Most NASs can also run some low-end server functionality directly as they need to be less specialized than their data center cousins.
Note: NAS stands for Network Attached Storage.Conclusion
A disk server is a specialized computer device that holds as many hard drives as possible. It then provides access to the storage of these hard drives to configured devices, typically exclusively servers. In the home environment, the closest thing to a disk server is a NAS which offers most of the same functionality and some extra because of the reduced need for specialization. Both disk servers and NASs are designed to provide a high density of storage space to other devices on the network.
The GPU or Graphical Processing Unit is a dedicated microchip that is designed to specifically do graphics-related tasks at a much faster rate than a CPU or Central Processing Unit.
In general, GPUs handle the visual side of video games as well as video editing software, graphic design, 3D design and other similar tools. Recently, GPUs have also been put to use doing certain non-graphics tasks like cryptocurrency mining, which works well with their unique internal design.
Table of ContentsThe Difference Between a GPU And CPU
Every computer, whether a laptop, tablet or gaming console, has a CPU. The CPU is the brain of the machine. When you run software on your device, it’s the CPU that follows the instructions and does all the necessary math. Of course, every microchip executes instructions, so what makes a CPU special?
Most modern CPUs have four CPU cores, although this number is rapidly growing. The number of calculations a CPU can do at the same time is limited by the number of cores. But a CPU is very good at doing a small number of complex calculations of any type, very quickly, one after the other.
However, modern GPUs have a very different design philosophy. Instead of a small number of complex, full-function processing cores, they have hundreds or thousands of simple processor cores that are designed to execute instructions in parallel, specifically related to graphics.Are GPUs And Graphics Cards The Same Thing?
What is a GPU? The GPU refers specifically to the microprocessor itself, but of course a GPU can’t operate by itself. It needs other components to do its job. So let’s go over the different ways that GPUs are packaged.Graphics Cards
A graphics card is a discrete device that plugs into a standard slot on your computer motherboard. It consists of the printed circuit board, the GPU, memory, display connectors, power connectors and other various components that the GPU needs.
Graphics cards also have dedicated cooling systems that help keep the GPU within a safe operating temperature. The main benefit of graphics cards is that they can be easily replaced with newer models without the need to replace the entire computer or motherboard.Integrated GPUs
Integrated GPUs are built into the same housing as a CPU. So a computer equipped with one of these does not need a separate graphics card in order to work. Display connectors are provided by the motherboard and the GPU shares the same pool of memory as the CPU. Of course, the CPU and GPU also share the same cooling system and power supply.
Tablets and smartphones also have integrated GPUs, but these are part of a “system on a chip” package. On computers, only the CPU and GPU share the same package In the case of SoCs, the RAM, storage, peripheral controllers and other components that make up the entire system are all on the same silicon package.Dedicated GPUs
A dedicated GPU is distinct from a graphics card and integrated GPUs. It’s easiest to think of it as a graphics card that has been built into the computer. Laptops are the main devices that use dedicated GPUs.
Just as with a graphics card, the GPU has its own memory and cooling, but unlike a graphics card you can’t change or upgrade your dedicated GPU. There are a small number of laptops that use interchangeable GPU modules, but this is a rare exception.External Graphics Cards
A recent development, external graphics cards, make use of high-speed ports on modern computers. Thunderbolt 3 over USB C is the solution of choice. External cards can either be an integrated solution, or simply an enclosure which you can use with any graphics card that will fit.
This is a good solution for laptop users who want a more powerful GPU solution when at a desk. You can read more about external GPUs in our article about them.Understanding GPU Specifications
If you want to know how to choose between different graphics cards, have a look at our graphics card buyer’s guide for a detailed explanation of GPU specifications. If you just want a quick rundown, here are the key numbers that matter when it comes to GPUs:
The number of processors
The amount of memory
The total memory bandwidth
Special features, such as hardware ray tracing
Unfortunately, knowing these numbers or details won’t tell you much about how a given GPU or graphics card will perform. In the end what matters most is performance with the applications you want to run, which you can easily find in published benchmarks online.General GPU Computing Tasks
The last important thing to know about modern GPUs is that they can be used for certain non-graphics tasks. Since GPUs are essentially made up of a massive number of simple processors, any job that needs lots of calculations done in parallel may benefit from running on a GPU.
For example, the Nvidia brand of cards work with CUDA (Compute Unified Device Architecture) instructions. You can write software using CUDA so that it makes use of the GPU’s unique design to accelerate certain types of calculations.I Can See Clearly Now
What is the difference between a line of credit and a term loan?
A business line of credit and short-term loans are similar in that both give you access to working capital for your business. These two financial products just go about it in different ways.
With a short-term loan, you’ll receive a one-time lump sum of money. When you qualify for the loan, you agree to repay the principal with interest over a set period. Business loans follow a fixed repayment schedule, and you’ll know how much you must pay every month.
Business loans are a good option to fund a large, planned expense. For instance, if you’re looking to invest in a marketing campaign or purchase new equipment, a term loan may be a good choice.
A line of credit, meanwhile, allows you to access a certain amount, but you don’t receive the funds all at once. You draw from your line of credit on an ongoing basis, and there are no set repayment terms.When should you use a business line of credit?
A business line of credit is ideal for companies that are looking for flexible financing options. You have ongoing working capital needs and want to have the cash flow available to cover business expenses as they arise. For more information read our best options for startup funding.
For many businesses, cash flow varies monthly, and there may be discrepancies between the amount coming in and the amount going out. And expenses often come up that are hard to plan for.
A business line of credit gives you access to the funding you need, typically with lower interest rates than what you’d pay for a credit card. It can help you cover a variety of expenses, such as these:
Quarterly tax payments
Seasonal lulls in your business
EquipmentWhat is the difference between a secure and unsecured line of credit?
The line of credit you receive will either be a secured or unsecured loan. A secured line of credit requires some type of collateral. For instance, you could use property or equipment to secure the line of credit. Banks and credit unions commonly give out secured lines of credit. This collateral gives the bank more security because, if you default on the line of credit, it can collect on the collateral.
An unsecured line of credit doesn’t require any collateral. This is ideal for most business owners, because you’re not putting your business or personal assets at risk. [Related Content: How to Get a Traditional Bank Loan]
Did You Know?
While unsecured loans may seem ideal, be aware that they likely come with higher interest rates to offset the risk to your lender. [Related Content: Small Business Loan vs. Cash Advance]Pros and cons of a business line of credit
Like most financing options, business lines of credit have both benefits and drawbacks. Knowing both will help you understand if this is a good option for your business.Pros
It’s a flexible financing option. One of the biggest draws for many businesses is the flexibility a line of credit provides. You have access to a certain amount of money and can draw from it on an as-needed basis. Once you pay back the funds, you’re free to spend the money again.
It can improve cash flow. Cash flow is a problem for many businesses, especially if you have a seasonal business or clients who take a long time to pay. A line of credit can give you the funding you need for ongoing business expenses, and then you can pay it back once you have the funds.
You only pay interest on what you spend. With a line of credit, you only have to pay for the amount you spend. So, if you only end up spending a fraction of your line of credit, you’ll pay less interest overall.
It’s a better option than a credit card (usually). A business line of credit operates in the same way as a credit card, but they aren’t the same. A business line of credit tends to have a higher credit limit, and you’ll often receive a lower APR. Plus, you can use a line of credit for things like payroll, which may not be an option with a credit card.
It can help you build business credit. Your lender will report your payments to the three major credit bureaus, so a line of credit can help you build your business credit if you regularly pay on time. This can be helpful if you want to apply for a small business loan in the future.Cons
It has higher rates and fees. A line of credit is less expensive than using a credit card, but it is more costly than taking out a small business loan. You could get stuck with withdrawal and maintenance fees and, depending on your credit, a high APR. You should work with your lender to negotiate these fees.
It can be challenging to qualify for. Depending on where you apply, it can be challenging to qualify for a business line of credit. In particular, banks and credit unions tend to have a stringent qualification process and may require you to put down collateral. You should expect to provide comprehensive financial statements during the application process. [Read related article: 8 Factors That Keep You From Getting a Small Business Loan]
It must be managed carefully. A business line of credit can be great for covering short-term cash flow needs. As you would any type of debt, though, you must manage it carefully. It’s easy to find yourself trapped in a cycle of debt that keeps building on itself if you don’t stay on top of your payments from the start.How to qualify for a line of credit
If you’re looking for a flexible financing solution to manage ongoing cash flow needs, applying for a business line of credit could be the right move. However, the application process can be demanding, requiring you to share a lot of personal and business information.
Compare all your options during the application process. Using a lending marketplace is a good idea because it allows you to submit one application and receive quotes from multiple lenders.
[Check out all of our reviews of the best business lenders.]
Some of the requirements will depend on the business loan you choose, but here are a few of the things you need to qualify for a business line of credit:
Credit history: One of the first things your lender will want to see is your personal and business credit score. This information helps your lender evaluate how likely you are to repay the loan. A credit score over 700 will help you qualify for the best rates and terms.
Revenue and cash flow: Your lender will also want to see that your business brings in solid and steady cash flow. They’re looking for signs of stable and consistent growth over time. You can expect to provide bank statements, your business tax returns, profit and loss statements, and your financial projections.
Business history: Most lenders want to see that you’ve been in business for at least two years. If you’re a newer business, that doesn’t automatically disqualify you from funding, but you may have to put down collateral.
Once upon a time, a conversion in PPC was simple.
It meant someone completed an action you wanted – which usually meant a sale.
As marketing grew more sophisticated and measurement capabilities evolved though, the term “conversion” got more complex and nuanced.How Have Conversions Changed?
Instead of tracking one particular conversion, nowadays marketers focus on many desired user actions.
These “micro-conversions” let marketers know if they’re on the right track or not with their audiences.
For example, marketers may have just measured purchases in the past.
Now they measure other actions – like joining an email newsletter or attending a webinar.
It’s a natural evolution as the marketing ecosystem grew.
When paid search was the only tactic in town, you knew where your traffic was coming from.
Users went to search engines and websites. They usually did it on a desktop.
There are tablets, phones, search engines, and social media platforms.
Users are interacting with all of them.
Marketers have to sort out which combination of all these things brings them the best brand growth.
And conversions are key to that.Conversion Types by Goal
Typically, a conversion goal falls into one of these categories.Lead Generation
The conversion goal for these efforts is to generate a lead.
It can be in the form of an email, a phone call, or a similar action indicating a user is interested in what a company offers.
Platforms have even evolved where campaigns and ad formats can accomplish this without even taking a user to a website.
Campaign objectives like Lead Generation on Facebook make this simple for brands to do.
This can be through email nurturing, or a follow-up phone call from the business.Purchase Conversions
Typically associated with ecommerce, a purchase conversion is exactly what it sounds like – someone bought something.
However, many accounts will also take other actions into consideration to determine the overall value of a campaign.
For example, micro-conversions like “Add to Cart” may also be counted.Determining the Value of a Conversion
This is where things became more nuanced as marketing matured.
Back then, there was a single conversion tag.
It was placed on a brand’s website and only fired when the action took place.
Typically, it was on the page of a successful purchase, or after a lead is submitted.
Over time, platforms evolved to have their own measurement pixel.
This means instead of being a conversion that fired a tag loaded on a “success” page, the platform could now “see” everything a user does.
It would track all user movement throughout a site.
With all that tracking makes what a conversion is worth unclear.
It fluctuates depending on the purpose of each campaign.
Let’s take a look at some examples.Lead Generation Conversion Value
A lead doesn’t mean a sale, and in fact, it may miss a lot of information upfront to determine its overall value.
Lead generation is usually for custom-quoted sales processes that can’t be done totally online.
This can throw a wrench into easily seeing the worth of a lead.
Sounds great, right?
In that case, the cost per lead doesn’t matter, because there’s no profit!
Lead generation is a delicate balance between paying the right amount for a lead based on likely sales outcome.
How is this done?
Customer Relationship Management platforms like Salesforce, HubSpot, and others, will pull in data that reflects where the user came from when they submitted their information as a lead.
There are many ways to calculate ROI in these situations.
What you’re ultimately looking to wind up with is what the ideal cost per lead is, based on your average sales amount.
This will let you know what a lead is worth to your business, and therefore what you’re aiming to pay for one.Purchase Conversion Value
Though it might seem like purchase is more straightforward, it has its own nuances as well.
Some may buy right then, and some may not.
Another part of the purchase picture is the lifetime value of a customer.
Let’s say you sell a product, it’s $25, and it never really needs to get replaced.
That’s a different situation from a subscription box charging $25 a month, with an average customer staying for 15 months.
In the second one, more than the $25 can be spent to get a purchase.
On average it’s made back over the course of the customer’s stay.Conversions With No Attributable Source
Here’s the trick with marketing: it’s not all measurable.
It’s just not possible to know why every conversion happened.
And even when you get close to figuring it out, things like seasonality, holidays, elections, and competition shows up – it’s an ever-changing world.
Despite having more data than ever, it doesn’t create a perfect system of absolute measurement.
What about the conversions you can’t attribute like users who search your brand or come directly to your website?
This is where good, old fashioned gut and correlation data steps in.
Or if you turn off Facebook Ads and see the same thing?
That could mean those channels are giving you brand awareness.
Pay attention to those nuances.
Your marketing is a machine with many parts, and you can’t see all of them.
Your expertise will play a role in the money you put in.
And ultimately what you get out as your conversions.
All screenshots taken by author, October 2023
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