Defining Advertising Terms And Acronyms ∫ The Webmaster's Edge

Jul 3rd

2008

Defining Advertising Terms And Acronyms

Written by User Image

Bradford (Who am I?)

Posted @ 10:57 am

Advertising terms and acronyms can be confusing especially for the Webmaster who is just starting out. I will define many of those terms and acronyms in this post, but I am 100% certain that there are many more to define. If you know of any, or have a question about any, please comment below and I’ll get right on it! I will be adding the list to the Wiki and updating it in future Blog posts.

Banner: An advertisement in a defined set of pixel space such as 468×60 or 160×600. These are usually image-based ads, but they can also contain text and/or rich media.

CPA / Cost Per Action: This is a form of advertising where the advertiser pays based on specified actions taken by the end user. Some examples would be filling out a form after clicking on the ad or purchasing a product after clicking on the ad.

CPC / Cost Per Click: This is a form of advertising where the advertiser pays a certain amount per advertisement click or pays a specified amount for a specified number of clicks.

CPL / Cost Per Lead: This is a form of CPA advertising where the advertiser pays based on specified actions taken by the end user. These actions are based around the advertiser gaining a “lead” usually through the user filling out a form.

CPM / Cost Per Thousand: This is a form of advertising where the advertiser pays based on the number of ad views. The payment is based off of a certain dollar cost per 1000 ads viewed. M is the roman numeral for 1000 and is the reason for the M in CPM.

CPS / Cost Per Sale: This is a form of CPA advertising where the advertiser pays out when a sale is completed.

Impression: The ad has been displayed on a user’s browser. Do not confuse this with a pageview. A pageview can have multiple impressions (due to multiple ads) or zero impressions (due to ad blocking software). Typically though one pageview will mean 1 impression per ad you have on that page.

IO / Insertion Order: An Insertion Order is a formal order for advertising specifying all of the details of the campaign (creatives, cost, impressions, etc).

Inventory: Inventory is the number of ad impressions you have available over a specified period of time.

PPC / Pay Per Click: This is a form of advertising where the advertiser pays a certain amount per advertisement click or pays a specified amount for a specified number of clicks.

Rich Media: Rich Media is an advertisement that contains technology more advanced than just a static image or standard GIF animation.

ROI / Return On Investment: An advertiser’s return on investment is how much was earned/gained from an ad campaign minus the ad campaign’s expenses, also known as “The Bottom Line”.

RON / Run Of Network: A run of network ad campaign is one that runs on all websites in a given network of sites.

The Fold: The Fold is the viewable area of a webpage without scrolling. The Fold is defined differently by different advertisers and ad networks. It is most commonly the first 400-600 pixels of a website.

7/14/08 UPDATE: These terms can now be found in the Wiki filed under Advertising Terms.

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