• A/B Testing: A method used to compare different versions of digital ads or website landing pages in order to determine which one performs better. A typical A/B test for ads involves running the two ads simultaneously and then measuring which version gets a better response from the audience
  • Acquisition: New contact information from a member of the target audience acquired as a result of an ad
  • Ad Inventory:  Website publishers serve ads to visitors when they visit a web page. The number of potential ads that can be served is considered their ad inventory
  • Audience: The intended target market for an advert, usually defined in terms of specific demographics (age, gender) and psychographics (interests, behaviors)
  • Call to Action (CTA): A phrase included within an ad, or a graphic element such as a button, which invites the audience to take a certain action
  • Clicks: Number of times a user clicked on an ad
  • Click-to-Convert Ratio: The ratio of goal actions taken on your site that resulted from ads to clicks on ads
  • Click-Through Rate (CTR): The ratio of clicks on ads to the number of impressions that were delivered
  • Conversions: An action taken by somebody. For example: they have signed up with their email address, made a donation, made a call, etc. Note: clicking on a link to a website is not a conversion
  • Contextual: Ads that serve related to the content they are displayed near. These may be search ads (related to searches), or banner/video ads appearing near to related content
  • Copy: The verbal component of an ad
  • Cost per Acquisition (CPA): The total amount spent on an advertising campaign divided by the number of acquisitions that it led to
  • Cost Per Thousand (CPM)Metric that shows how much it costs to serve 1,000 ad impressions. Also used as a standard measure for buying display ads, as inventory is generally sold on a CPM basis
  • Creative: The graphic component of an ad
  • Demand-Side Platform (DSP): A system that allows advertisers to bid for and purchase inventory from multiple ad exchanges, through one single interface (i.e. TTD)
  • Escrow: An accounting term. Clients pay us money and that goes into their “escrow” account. We then spend money on the advertising out of their account
  • Flight: The time period/duration of a live campaign
  • Frequency: The number of times the average user saw an advertisement. Equal to impressions divided by reach
  • Gross Spend: Total amount of money the company spends on a campaign. RAD’s commission is included in this total
  • Impressions: The number of times an ad was seen. If one person sees an ad twice, that counts as two impressions
  • Insertion Order (IO): A contract that provides the specifics of an advertising deal (usually third-party placement). Can include the ad pricing model, ad rate, flight, CPM, etc.
  • Keywords: Words we use to target ads. Think of them as words people might search for to find your information
  • Key Performance Indicator (KPI): KPIs are measurable values that demonstrate how effectively key campaign objectives are being achieved
  • Landing Page: The web page users are directed to after they click on a display or paid search ad
  • Native Advertising:  Ads that appear to be part of the site. Most social ads (Twitter, Facebook) are native, as well as ads that look like news articles (e.g. “more you might like”)
  • Net Spend: Amount remaining after subtracting all campaign costs (fees, additional expenses, etc.)
  • Pixel: A snippet of code placed on a website to track conversions
  • Reach: The number of people who saw your ads
  • Retargeting: Finding people who have taken some form of action (landed on your landing page, signed up but not donated) and targeting them with ads to encourage them to either complete that action (actually signing up, making a donation)
  • Return on Ad Spend (ROAS): Marketing metric that measures the efficacy of a campaign. Common in acquisition campaigns
  • Trafficking: the process of setting up an ad campaign from a technical aspect