In Microsoft Excel, What Does 'Cell Referencing' Mean?

Cell referencing points to values in a specific cell or range of cells that you want to include in a formula or copy to another cell in Microsoft Excel.

Types
In A1 Reference Style, letters and numbers represent row and column headings. Columns go from A-IV. There are a total of 256 columns. Rows go from 1-65,536.
In R1C1 Reference Style, numbers represent both row and column headings. The location of a cell is indicated by the letter "R," followed by row number, and "C" followed by column number.
 
Significance New formulas automatically default to relative references. You can use cell references anywhere on your worksheet, on a different worksheet in the same workbook, or in two different workbooks (called a link).
 

Function Relative reference means that copying the formula to another cell adjusts the reference to reflect the number of the cell you copied to. In absolute reference, copying a formula to another cell does not change the formula. Use ($) in cell value.
=(A2+B2)
=(A3+B3) relative
=($C$3+$C$4)
=($C$3+$C$4) absolute
 
Considerations Use an absolute reference if you are referencing a cell value many times from several locations. This prevents confusion, and the formula from being changed by mistake.
 
Features Use a descriptive name if you reference a cell many times. Highlight the cell, click insert on the menu, select name, fill in the form and click "OK". Use the name whenever you reference the cell.