Cost Per Conversion

Cost per conversion (CPC or CPCon) is a term used in online advertising to refer to the total cost paid for an advertisement in relation to the success in achieving the goal of that advertisement. Cost per conversion is the ratio of the number of advertisement views and the number of successful conversions (purchases, signups, participation or whatever the objective of the advertisement is) resulting from those ad views.

Cost per conversion is the same as cost per acquisition. We use CPA instead of CPC because CPC is more commonly used to refer to cost per click.

 

Originally published 04/13/18.

Banner Ad

A banner ad is a form of advertising on the World Wide Web delivered by an ad server. This form of online advertising entails embedding an advertisement into a web page. It is intended to attract traffic to a website by linking to the website of the advertiser. 

 

Originally published 04/13/18.

 

Big Data

Big data is a term that describes the large volume of data – both structured and unstructured – that inundates a business on a day-to-day basis. But it’s not the amount of data that’s important. It’s what organizations do with the data that matters. Big data can be analyzed for insights that lead to better decisions and strategic business moves.

 

Originally published 04/13/18.

DMP

A DMP is a centralized data management platform that allows you to create target audiences based on a combination of in-depth first-party and third-party audience data; accurately target campaigns to these audiences across third-party ad networks and exchanges; and measure with accuracy which campaigns performed the best across segments and channels to refine media buys and ad creative over time.

Lead Magnet

A lead magnet is an incentive that marketers offer to potential buyers in exchange for their email address or other contact information. 

Lead magnets usually offer a piece of digital, downloadable content, such as a free PDF checklist, report, eBook, whitepaper, video, etc.

 

Originally published 01/22/18, updated 03/22/18.

Attribution Model

An attribution model is the rule or set of rules, that determines how credit for sales and conversions is assigned to touchpoints in conversion paths. For example, the Last Interaction model in Analytics assigns 100% credit to the final touchpoints (i.e., clicks) that immediately precede sales or conversions. In contrast, the First Interaction model assigns 100% credit to touchpoints that initiate conversion paths.

 

Originally published 01/22/18, updated 04/13/18.

Ad Exchange

In simplest terms, an ad exchange is an online marketplace that allows advertisers and publishers to buy and sell ad inventory.

Once publishers add their impressions into the marketplace buyers then decide which impressions they wish to purchase using technologies like demand-side platforms.

This enables advertisers to quick buy ads across a range of websites instead of negotiating with each publisher. Although it is a more efficient way of buying ads a lot of questions have risen lately regarding the quality of the overall inventory of ad exchanges.

 

Originally published 01/22/18, updated 03/22/18.

Ad Recall

A measure of advertising effectiveness in which a sample of respondents is exposed to an ad and then at a later point in time is asked if they remember the ad. Ad recall can be on an aided or unaided basis. Aided ad recall is when the respondent is told the name of the brand or category being advertised.

 

Originally published 01/19/18, updated 02/22/18.